Reason One: Lack of knowledge: or more specifically, a lack of a desire to gain knowledge. Make
effort to read to read about financial matters and you will learn. make your money work for you by using magic of compound interest a t 7% interest per year your money doubles after approximately 10 years and at 10 % interest after 7 years. Remember rule of 72. Divide interest into 72 to see how long it takes to double your money (or reduce it because of inflation). So sooner you get started better. Many people don't know where to go for unbiased advise so they do nothing. Reason Two: Failure to set plans. Did you know that only 5% of population sets goals and only 2% have any form of written goals? Their actions have a sense of purpose - they are results oriented, they are motivated, they are positive - they are life's winners. Where do you want to be i n five years time? Without a plan it is easy to drift aimlessly, and live from day to day. If you have set goals you will know what you want to achieve. People fail to succeed because they never plan to succeed. It is not that they plan to fail, they fail to plan . So set your financial goals (targets).
Reason Three: Inefficient use of time and poor work habits. Time is like money - you can spend it or invest it in building a better you by self-development. When you waste you are wasting yourself. Plan your day - what do you really want to achieve today?
Reason Four: Lack of foresight. Achievers have an ability to look beyond immediate and into future. Although some may see your visions as dreams do not forget that you have to have a dream to make a dream come true. Unless you are fortunate enough to be left a legacy, only money you will ever have working for you is that what you save from current income and invest. People with vision can multiply their income by investing in growth investments. Work for your money then make your money work for you.
Reason Five: The need to conform. Dare to be different which is why majority of people are not successful. Don't be afraid take calculated risks. Remember people who make big money are ones who do opposite of what everyone else does - sell when everyone else buys and vice versa.
Reason Six: Poor debt management through excessive borrowing. Lack of discipline through poor spending habits and having no budget. Borrowing for things that loose value, so that with interest payments you pay much more article than it cost initially. (Especially new cars, furniture etc.)
