>>>> 1) Underestimating your budget...Research indicates that making an yearly budget rather than a monthly one works more effective, mostly since we feel less positive in our yearly estimations, so we are inclined to add a lot more buffering for unforeseen expenses. In one study, university students undervalued their monthly expenses by 40 % while overrating their annual expenses by 3%.

>>>> 2) Paying too much for housing...It's virtually out of the question to make headway financially unless you are able to save a substantial piece of your income. Ideally, one-third of what you earn. But a lot of people get tripped up by their housing expenses. Traditionally, financial consultants have encouraged buyers to spend approximately one-third of their income on living accommodations. But for a lot of people, particularly anyone with student loan debt, child care payments or other sizeable expenses, that's too big a piece.

>>>> 3) Falling into spending traps...Rewards credit cards come across as a smart choice in theory, but actually they promote spending beyond your means. Economic experts dub this phenomenon "buy quickening," since you ramp up your spending when that reward is so near. Rewards cards as well have a higher interest rate....About 2 percentage points, on average than cards that don't give any rewards

>>>> 4) Neglecting to negotiate prices...Even department stores frequently offer a bit of wiggle room on their tagged prices, and big-box stores generally will match their competitors prices. This talking terms trend has become so prevailing that the advertising firm Cramer-Krasselt called these pushy customers: [neo-hagglers.] But a lot of consumers neglect to recognize that prices are negotiable and don't bother asking for a better price.

>>>> 5) Relying on your Social Security...As people consider about upcoming retirement, today's mid-thirties should be reminded that the Social Security trust fund is scheduled to run out in 2037. That implies, if nothing is changed, benefits will be reduced to approximately three-quarters of what they're at present, because only money that's being paid into the system will be disbursed. Young professionals should be planning on funding the balance of their retirement with their own plans.

>>>> 6) Spending too much on gifts...Statistic has shown that the quantity of money people say they intend to spend on Christmas presents has been steadily going down since 2001. Consider becoming part of this movement by making your presents more meaningful and less costly. Rather than buying costly jewelry and electronics, look at cookbooks and museum dates. You can as well look up craft websites to find unique do-it-yourself gift idea.