If you thought that making money was one of the hardest things to do, then wait till you are in a position where you have to effectively manage a lot of money.
Again, winning a competition or something is one of the easiest ways to make money, but losing money is even easier. Have you stopped counting the number of times you’ve had to complain to your friends about how broke you are when you only got your paycheck a couple of days ago? Well, what happened to all that money?
Most of us, if not all of us, hope to save a lot of money in our lifetime. We want to become billionaires, but we can’t figure out how we end up spending all our money even when we do not purchase any luxury items.
What’s happening? Well, you are about to find out. In this post, we’ll be sharing with you 10 stupid things young people spend their money on.
As of 2014, Americans spent over $70 billion every year on lottery tickets.
It’s a wrong belief to think that you can get some kind of money miracle that will solve your financial problems and challenges forever if you are willing to pay a small price for purchasing a ticket or something that qualifies you to be a participant.
Here’s the thing. When you get a large amount of money without building the skills needed to manage that money, you’ll end up lavishing or mismanaging the money and probably running into debt, as a matter of fact.
Rather than waste your money on lotteries, invest in yourself. Start a business that you can build and scale up in no time. Convert your passion into a business. For instance, if you love writing, taking pictures, or editing videos, consider doing something that can generate revenue from doing those things.
- Fast food
Food is one of man’s basic needs. So, man is expected to eat every day, except in the case of certain conditions, like health conditions.
Because you are human, you are expected to eat every day as well, but how do you spend your money eating? Fast foods may be quick, but they cost you much more to get.
Also, you can become so addicted to fast food that you become used to buying some every day, wasting all that money on a daily basis. Plus, how healthy are these meals?
- Cheap clothes
It’s kind of tempting to think that you can save more money when you buy cheap, low-quality clothes. That way, we are able to buy more than enough. But guess what? The average person uses less than 30% of the clothes in their closet! Why waste money buying inferior, low-quality stuff that we might never wear?
It is important to use value as a bottom line when shopping, rather than going for cheap items. In the end, you’d be surprised to see that you’ll still save some money rather than fill your closet with clothes that do not fit.
- Cable TV
There’s cable, Netflix, ShowTime, Amazon Prime, and a host of other entertainment streaming platforms. You can’t use everything, and you can’t be everywhere. So, decide which is redundant and focus on the important ones.
- Unused gym membership
Gym memberships are great, but unused gym memberships are a total waste of money. You see, most people, especially at the beginning of the year after eating so much food during the festive periods, are eager and motivated to take off the extra fat, but only a few weeks down the line, they are nowhere to be found in the gym.
Unless you are convinced that you can work out consistently in the gym for a couple of months, signing up for a gym membership might be a total waste of time.
The odds of winning Powerball are reportedly 1 in 175,000,000 per ticket, which makes it a total waste of money to put your money into it every now and then in hopes that you’ll be the next winner.
It’s best to save and invest your money wisely rather than spend it gambling.
- Unhealthy stuff
Unhealthy stuff such as sugary foods, extra fats, cigarettes, and the like can pose serious health conditions, which will eventually lead to spending so much money trying to treat yourself.
Although they might seem inexpensive and totally cheap, an accumulation can result in so much money.
Our need to show the world the extent to which we can host a big party and be identified as the social media couple of the year can be tempting. However, spending so much money on a wedding is pretty much one of the stupidest things to spend one’s money on.
- Supposed freebies
Some marketing schemes can prompt you to purchase products that you do not need by attaching so-called freebies. For instance, buy so-and-so products and enjoy free shipping today. The offer ends today. Or “buy 3 packs of popcorn, get 1 free.
- In-App Purchases
Buying extra lives or buying a customized character in a game might sound fun to you, but is it even worth it? Could you consider continuing to play the game until you obtain the additional lives you desire without incurring any additional costs?
Now that you know that spending your money on fast food, lottery tickets, cheap clothes, and the like is a total waste of money, what are you going to do next?