The Ten Most Common Mistakes People Make in Managing their Money:

I believe these are the reasons why so many people have a needless struggle with their finances. As discussed below were reasons why people struggle to manage their money


1. Poor debt management through excessive borrowing - not being able to live "within your means.”

2. Failure to monitor their financial position.

3. Lack of motivation (desire) to take action.

4. Lack of foresight in looking ahead.

5. Failure to set financial plans for the future. Most people don't plan to fail, but fail to plan.

6. Lack of knowledge. Financial ignorance can prove expensive.

7. Inadequate protection against unforeseen events (life and general insurance), such as death, disability and physical losses.

8. Procrastination in taking remedial action. And most importantly...

9. Lack of discipline in saving habits.

10. Poor investments: you either pay too much tax on them or inflation eats into your return, or both... so that your money actually goes backwards. Even worse, you could lose all your money if the company to whom you gave your money goes 'broke


source: Yahoo Money website