“You only live once,” and 14 other money lies (including the BIG lie) we tell ourselves and others on the road to money trouble. 

Money lies can cost you your relationship, your savings, your future and your self-esteem.  Here are the 15 lies and 15 solutions.  Read The Real Secret to Money

 

1. You only live once.  You do only live once but it should be for a very long time.  It can be a good thing if it gets you unstuck to do something positive.  But this “live for the moment” thinking can get you in trouble if it is your justification for an expensive purchase that puts you into debt.  The credit card and retail stores really like this line.  They want you to spend like there is no tomorrow so they’ll make money on late payment fees.  Enjoy life while living within your means and taking care of your future with regular savings.  Don’t be so extravagant in your younger years that you spend middle age and retirement breaking your back to keep your head above water.
2. It’s on sale.  Sales are enticing but if you don’t need the product you have just wasted your money.  Slow your impulse just long enough to make a good decision about your purchases.
3. I think we can afford it.  Maybe you can but maybe you can’t.  Don’t spend your money unless you know you can afford it and it fits with your goals.
4. Let’s do it anyway.  You know that it’s a bad decision but the heat of the moment tells you to do it anyway.  Not every decision we make has to be calculated and considered but make sure the big ones are.  You might wake up in the morning wondering what you were thinking.
5. Put it on the credit card.  The beauty of credit cards is that you don’t have to count out the cash.  You don’t even have to have the money at all.  This invisible money and invisible debt makes it too easy to spend money you don’t have.  Stop and think for a moment if the dollar amount fits your budget.  Then decide.
6. That will look good with this outfit.  Accessories and add-on’s for clothing, cars, houses and much more can swell the cost of a purchase to far beyond what you planned.  Put the package together before you make the final buying decision.
7. I need it.  We need food, shelter, clothing and self-actualization.  Everything else is gravy.  Meet your survival needs of food, shelter and clothing first.  Your life goals should guide you toward those things that help you feel that you are a contributing member of society with high self-esteem (self-actualization).
8. I want it.  I want to visit the space station but maybe that’s not realistic for me at $20 million a trip.  There is no reason we can’t have what we want as long as our needs are fully met and the want fits in our financial plan.  Make sure you have a financial plan and life goals.  Then make your decisions based on those plans and goals.
9. I don’t know.  Ignorance of your financial situation leaves you out of control for big chunks of your life.  It can be difficult to face the facts and create a financial plan but it will make life easier for you.  Guaranteed.
10. I don’t care.  Some people don’t care what happens to themselves or others when they recklessly spend money.  A budget or a financial plan won’t solve this problem.  If you’re using this lie, you’d better figure out why before you self-destruct.
11. My children need/want it.  They might need it and they probably want it.  Help them make good choices and don’t just cave in to stop the whining and begging.  Teach them the difference between need and want.  Don't work yourself to tears.
12. It will make me feel good.  Retail therapy is not a myth it just doesn’t work well.  Research shows that shopping and buying raise the levels of feel-good hormones in some people.  The problem is that when the high wears off there is a low.  People then repeat the process over and over.  Find other things to make yourself feel good for a month and you will have solved the problem.
13. I’ll make up for it.  So you go out and blow the budget telling yourself that you’ll somehow make up for the trouble it causes.  This lie automatically assumes that you know it will cause trouble for someone somehow.  Accept that fact and stop doing it.  Think about the other people and the implications of your choice first.
14. A diamond is forever.  Did you know that if the South African diamond monopoly (cartel) had not invented the marketing tag line “A diamond is forever,” most women would not be wearing diamond engagement rings?  And the price of diamonds would be about half what it is today.  The sentiment should be more important than any mineral.  Don’t mortgage your future and pay for that diamond forever.
15. He/she will never know.  THE BIG LIE over little stuff.  One of the quickest ways to create conflict in a relationship and to send a marriage toward divorce is to lie about money.  Money issues are the number one cause of divorce and relationship trouble.  Lies about money undermine the liar’s self esteem and the foundation of the relationship.  Lies are like acid.  Lies magnify any existing problems and create new ones.  The solution: don’t lie and make amends for any past lies.

If you lie to yourself and others about money it is very difficult to lead a truly fulfilling life.

Read The Real Secret to Money

Think about your fundamental principles and values, your life goals and the people in your life and then make better decisions.