Having lots of money is definitely a blessing. You don’t have to worry about paying the bills or buying things that you like. But the lack of it can definitely bring one to the brink of madness. And worse, fall into debt.
But a top financial advisor in UAE believes it is possible to make the ends meet by avoid money mistakes and mishaps that will cause financial troubles. If you are dead serious about getting on top of your finances, be sure to avoid these blunders:
- Mixing business with pleasure
When you are managing your business money, it is quite easy to spend it on your personal desires. It might start as simple spending, but in the long run, you will realize that you are spending your business assets to fuel your personal expenses. It would be best to separate both aspects. Be sure to create separate bank accounts for your business money and personal saving and do a separate accounting as well.
- Forgetting about your debt
Some people think that when they do not think about their debt or totally ignore it, it will just go away. But the truth is, that debt will stay and even go bigger since the interest will accumulate in no time. It would be best to grapple with it as early as possible and device a financial plan that would help you pay off your debt until the last cent. Once you are done paying, you can total forget about it!
This goes to people who own credit cards. Although there are individuals who are very cautious on swiping their credit cards, but it all comes down to paying the bill. Although your bill is relatively small, be sure to pay it on time. Letting it pass the deadline would definitely create a bad impression of you, plus, you can be fined with a stiffed fee should you not pay your bills on time. Settle the balance before that happens.
- Not having an emergency fund
This is definitely one of the most common blunders people commit. Since they think that are perfectly fine and healthy, there is no need for them to have an emergency fund. But, accidents and unfortunate things can happen without a warning. In times like this, you should be financially prepared. No matter how hard it is to save, you need to make emergency fund a priority.
Talk to finance and tax consultants in Abu Dhabi for more financial advice.