“It’ll Cost Ya!” 10 Bad Habits that Can Break the Bank

It’s hard to have a conversation in the real estate world that doesn’t involve finances. Whether you’re planning to buy, sell or rent a home, your financial picture plays an integral role. So, since the retail world is already gearing up for the holiday shopping season, we decided to get a jump start on a few resolutions that may be impacting your financial health. Why wait for the new year to find out what some common bad habits could be doing to your checking account?

Here are ten bad habits that could be costing you:

1. Coffee – Though that morning cup of joe seems more than necessary most days, it is best to brew it at home before you leave for work. You may think it is just a few dollars each morning, but those few dollars can quickly impact your pocketbook. And, if it’s a caramel macchiato that you’re sipping each morning instead of that classic black cup, we don’t even need to tell you about the financial repercussions.

2. Restaurants – It doesn’t matter if you’re running out to grab a quick breakfast, joining friends for lunch or enjoying a nice dinner out, frequently eating in restaurants can do a number on your health and on your finances. This can be a hard habit to break, too; because, it seems that there is almost always someone who would love to run out for a quick bite to eat, right? If you must, set a limit on your restaurant allowances each week. 

3. Not Working Out – Do you own a gym membership? Do you use it? If you regularly use your gym membership, this is obviously not a bad habit that is costing you. But, if you keep a gym membership that you never use, not only are you negatively impacting your health, but you’re also wasting money by keeping it open. When it comes to the gym, you’ve got to use it or lose it!

4. Online Games and Apps – Whether you’re downloading your favorite music or playing games with friends, these days, building a farm can cost as much as buying the farm! These games and apps may seem like they cost just a few dollars here and there, but think about how those daily dollars can multiply. And, we’re just talking about casually playing these games. Some of them are addicting, too!

5. Alcohol – Love hitting up happy hour after work? The work crew and your favorite bartenders may love you too; but, your bank account certainly does not. Even if you’re enjoying daily drink specials when you’re out, alcohol is not cheap. Those happy hour tabs could be drying up your funds.

6. Cigarettes – As if you haven’t heard the health warnings for years, this bad habit also could have your checking account going up in smoke! At a minimum, the cost of a pack of cigarettes is at least $5 and some smokers commonly go through a pack each day. Multiply that $5 by the number of days in a week, month or year and you may be shocked at what this smoky habit could be doing to your bank account. Of course, just buying cigarettes doesn’t even factor in the additional insurance and medical costs that may go along with this bad habit.

7. Playing the Lottery – Sure, there is a fraction of a chance that anyone who plays the lottery regularly could hit it big. But, before you buy that daily lottery ticket, have you ever calculated just how miniscule that chance is? Maybe the cost of that lottery ticket should go directly into an interest-accruing savings account. Then, you won’t even care about whether or not you could win the lottery – you won’t need to!

8. Shopping – Now, we know that there are necessities, but there also are what we like to call “excess”-ities! Whether it’s groceries, clothes, tools or toys, take a look at your receipts and see what kind of spender you are. Shopping is one bad habit that cannot only deplete your savings, but also can rack up your debt.

9. Missing Credit Card Payments – Speaking of that shopping debt, maybe you’re just forgetful or maybe you think you don’t have enough cash to pay your favorite store bill this month; but, when you skip a credit card payment (or even pay just a few days late), you could be racking up additional fees and driving up your interest rate. The result of your forgetfulness could be damaged credit or higher bills. If you’ve got credit cards, pay them on time.

10. Not Budgeting – It doesn’t matter if you make $10,000 or $100,000, if you don’t have some kind of budget to work off of, you’re likely wasting some of that money. If you want to save for something or even if you don’t, getting familiar with your finances is ALWAYS a good habit!

Don’t wait for the new year to resolve to break some of the bad habits that could be hurting your bank account. Like most things in life, moderation can be the key to enjoying the things you love (whether they are good for you or not!) and finding a happy balance with your bank account.

This post is sponsored by PA Preferred Mortgage:
Pennsylvania Preferred Mortgage is a full service mortgage banker and is a member of the Prosperity Home Mortgage, LLC family. Specializing in residential and refinance loans, Pennsylvania Preferred Mortgage offers a wide range of mortgage products, including fixed and adjustable rate mortgages, jumbo loans, Federal Housing Administration (FHA) and Veterans Affairs (VA) loans, and renovation financing. Learn more at www.papreferredmortgage.com.