Men and women have their own unique ways of messing up personal financial situations. To be fair, the majority of working adults tend to have their money situations well under control, but people of both genders have a tendency to fall into a few common traps now and then. For men, troubles typically begin with tax filing irregularities, like sending in late or incorrect returns.
Plunking down too much money on dating is another bugaboo for guys who are active in the social scene. One pitfall that is oddly attractive to a certain kind of man is the get-rich-quick scheme. Other predominantly male errors in the financial realm include wasting resources on tobacco, alcohol, and vehicles. Finally, far too many males are reluctant to ask for help from financial planning professionals, which can lead to misuse of funds, lack of savings, and unwise budgeting. Consider the following points as warnings about how not to repeat the mistakes of others.
Ignoring Total Monthly Expenses When Budgeting
The primary aim of making a comprehensive budget is to lower total monthly cash outflow or expenses. For professional men who need a little help in this area, there’s one very powerful technique, and it’s to refinance all student debt into a single obligation. The huge benefit of making this move is that the new loan gives borrowers access to a fresh start and lower monthly payments. When you refinance education debts into a brand-new loan, it’s also possible to get better rates and more time to pay off the entire balance. All around, the idea is a winner because it gives people breathing room by immediately delivering more spendable cash each month.
Filing Late or Incomplete Tax Returns
Late, inaccurate, and incomplete tax returns can come back to haunt anyone. There’s really no reason to make this mistake because it’s so easy to avoid. Hire a paid accountant, not your friend who’s really good at math. Tax laws and forms are not about mathematics. They are legal documents. If you don’t have the proper training in accounting, spend the small amount it costs to have an experienced accounting pro do the paperwork and figuring for you. By working with a pro, you won’t have to worry about filing late returns or ones that contain incorrect information.
Overspending on Dating and Social Life
Make a dating budget to side-step this very old problem men still face today. When emotions and financial decision-making meet, the winner is usually the non-logical side of the equation. To avoid spending too much on social dating, include the category in your comprehensive monthly budget in order to control total costs. If you are struggling to figure out how to make this all work, take advantage of one of the many budgeting apps you can utilize right from your smartphone.
Investing in GRQ Schemes
Get-rich-quick schemes come in multiple sizes, shapes, and colors. Many are connected with investing offers that you receive in the mail or via email. They’re pretty easy to spot because they are too good to be true. When investing your hard-earned capital, work with a licensed financial advisor, CPA, or lawyer who specializes in helping individuals earn solid returns on their money.
The A&T Trap
Alcohol and tobacco are the bad news twins of personal finance. They collectively cost hard-working men huge amounts of money every year. There’s a simple solution to the A&T Trap, and that is to not use tobacco products of any kind and use alcohol in moderation, if at all.
The symptoms of vehicle hypnosis, an expensive disorder, include making frequent visits to car dealerships, taking test drives several times per month, and experiencing extreme mental satisfaction at the mere thought of Formula One race cars. In reality, the modern form of vehicle hypnosis tends to cause otherwise sane adult men to spend way too much on a new car or truck. Avoid the malady by making a realistic budget for a new car purchase before visiting a dealership. Put a reasonable amount down, negotiate for the best possible interest rates, and shop for vehicles that are both reliable and can last for more than five years.