5 Myths That Prevent You from Being in Control of Your Finances

A crisis can strike at any time and it can bring damage to your personal finance structure. But, if you’ve built it on a solid platform with constant income sources, positive balance, money back-up funds, there will be a while before the external crisis will affect your personal budget.

The lack of interest towards personal finance matters is the first possible factor for an unstable situation that can lead to financial crush. The lack of interest is the lack of control; and as the old saying goes: “if you don’t control money, it will control you”

Lack of Control
People have systems of beliefs that prevent them from having a healthy financial behavior. They seem to forget that if you don’t help yourself, nobody will. Having a detailed structure of your personal finance is a great tool to avoid getting into trouble. But there are plenty amongst us who live in partial or complete denial, because they have a set of popular beliefs, that I think are wrong, like:

If you work and you are honest, you should have enough money
The government has the duty to help you
Uncle Sam has to give you a job!
If you lack money, you can always borrow
You will work it out somehow!

This set of “values” inherited from our parents, heard from our neighbors and gleaned from our friends, creates a sensation of fake control over your personal finance. The fact that there aren’t so many out there who had severe issues caused by the lack of money make you believe that this will never happen to you too! After all, there are so many people out there, who have a much worse financial situation, right?

Honest Work
The economic reality in which we live in today is based on the cruel law of profit. The companies, whether they are private or national, follow a single purpose – to increase profits. As a consequence, they will try to minimize costs. A very important section of the costs consists of employees’ salaries. What happens today, when in many activity fields the salaries drop dead, is pretty eloquent for the situation that we all face. Therefore, honest labor hasn’t anything to do with economic calculation.

The Government Must Help Us
Huh? The Government has “the duty to survive”. It’s a system that wants to preserve its equilibrium state and will do whatever it takes to keep it that way. Even if we are being given the image of caring presidents and senators, truth is that their main task is to keep the monetary system active. And we are nothing else, but ordinary bricks in this giant wall.

In the present crisis, government is not the solution to our problem. Government is the problem. — Ronald Reagan

Uncle Sam Has to Give You a Job
The Government will give you a job only when he will have something to win out of this. This will be nothing more than a clever move to reduce the social tensions in order to balance the economic field. They don’t give us jobs because they love us but because they are helping the nation as a whole. On the other hand, not everybody will get a job. And you may or may not be the unfortunate one. Are you ready to face that situation? Is your financial level of education big enough so that you could start acting on your own?

You Can Always Borrow
First of all, who will give you money, if you don’t have any income sources? And, how long do you think you could leave out of loans; then take out more loans to pay the initial ones? Do you want to get in this never-ending debt circle? Don’t let this assumption affect your life and irreversibly mutilate it.

You Will Work It Out
You can do it once, twice… What happens if there are multiple crisis happening at the same time and all affecting your personal finances? Don’t let things get out of your control and treat your personal funds as seriously as you can. Be sure to check all your income sources as well as what you’re spending money on. Start having a disciplined financial behavior, by following these rules of thumbs: