Common Myths About Money

I found this article interesting as Ive heard people say "If only I could win the lottery", If I had more money and/or this or that, I would be happy." I know the feeling all too well, as I was once one of those people. The fact is that we need to be content with what we have and be happy now. Happiness is not based on what you have or what you don't.... Happiness is a choice, & after all; money doesn't buy happiness. Despite the fact that people think that "The one that dies with the most toys wins" is just a myth. One could own all the materialistic things in the world & still be a unhappy person. It is sad that people are deceived to think that things can fill the void in their lives when that void can only be filled by our Creator. :)

Common Myths about Money

By Mary Hunt

SIGNS WERE POSTED EVERYWHERE throughout the mall: “The more you spend, the more you save!” Wow. Imagine that. Right there, I had all the justification I needed to charge my way through store after store. That’s just one of many money Myths that got me into a lot of trouble years ago. These lies are so easy to believe because we want to believe them.
Money on its own is neither good nor bad. Our beliefs and attitudes about money are what make it such a powerful force in our lives. And with good reason. Money determines where we live, what we drive and where our kids go to school. The trouble starts when our money beliefs are not based on truth.
Whether you are slightly uncomfortable with your financial situation, up to your eyeballs or someplace in between, the problem might be what you believe about money and its role in your life. Perhaps it’s time to replace your money Myths with a big dose of Reality. Then you can start rebuilding your finances and your future.

Myth If I just had more money, all of my problems would go away.
Reality If this were true, you would be problem-free right now. You make more money now than you did five or 10 years ago, don’t you? So your problems should have vanished by now.
Solution Stop wishing for more money and start managing the money you have. Write down how you will spend (or save) your next paycheck—every single dollar of it. Become a skillful manager so that when more money flows into your life, you’ll know where to put it for the greatest benefit.

Myth There’s stuff I simply cannot live without.
Reality No, there isn’t. Once your basic needs of food and shelter are met, just about everything else is optional. Well, there’s also transportation and taxes, but you get the idea. It’s easy to convince ourselves that we absolutely must have new clothes each season, new furniture, new cars, and all kinds of gadgets and services to make our lives easier and keep up with our friends.
Solution Make a pledge that you will never go into debt for “stuff.” Period. There’s nothing wrong with having nice things and enjoying life to the fullest—provided all of your bills are paid, you’re not incurring new debt and you’re saving for the future. Become brutally honest in defining what is a true need versus a desire.

Myth If I don’t buy things on credit, I’ll never have anything.
Reality If you don’t buy things on credit, you won’t have debt, but you will have options.
Solution If you want something you can’t afford, save first, then buy it. It’s a brilliant concept. You will appreciate things so much more knowing you really can afford them. Waiting builds financial maturity. Delaying gratification promotes self-discipline. Bonus: You’ll have time to change your mind, and that means fewer buying mistakes.

Myth These days it takes two incomes to keep up financially.
Reality It is possible to live well on a single income, provided you’re willing to stretch it. Amelia Warren Tyagi, coauthor of The Two-Income Trap, says that by the time the typical two-income family pays for the basics—an average home, a health insurance policy, a second car to get Mom to work, child care and taxes—they have less money left over at the end of the month to show for it than single-earner families.
Solution Are you curious to know the true value of your second income? Check out the Real Hourly Wage Calculator, free through November 2006 at debtproofliving.com.