10 Money Mistakes That Keep You Broke

A few years ago, I made a financial mistake that stung.

I trusted someone else to manage my money because I thought they knew better. Turns out, nobody will ever care about your money as much as you do.

I lost savings. But worse? I lost time.

Since then, I’ve seen countless people—some making six figures—stay broke because of common money mistakes. The kind that aren’t obvious until it’s too late.

Here’s the truth: It’s not how much you make—it’s how much you keep and grow.

Let’s talk about the 10 biggest money mistakes I’ve made (and seen), and more importantly—how you can avoid them.

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Why Some People Stay Broke No Matter How Much They Earn

Here’s the brutal truth:
Most people don’t have a money problem. They have a money management problem.

Ever heard of "high-income broke"? It’s real.

People making $250K/year who still live paycheck to paycheck.

Because wealth isn’t about income—it’s about habits, decisions, and discipline.

And if you don’t master these 10 principles, you could be earning millions and still feel financially trapped.

Let’s dive in.

10 Money Mistakes Keeping You Stuck

1. Delegating Your Finances to Someone Else

Nobody will build your wealth for you. Not your financial advisor, not your accountant, not your spouse.

💡 Fix: Spend 15 minutes every week reviewing your accounts, tracking expenses, and learning about investments.

2. Thinking You’ll Save “Once You Earn More”

If you can’t save $50 when earning $500, you won’t save $5,000 when earning $50,000.

💡 Fix: Automate 10% of your income into savings before touching a cent. Pay yourself first.

3. Living With a Poverty Mindset

Rich people aren’t rich just because of money. They’re rich because they think differently.

Ever met someone who thinks:
❌ “Money is hard to get.”
❌ “Rich people are just lucky.”
❌ “You need money to make money.”

This mindset keeps you poor.

💡 Fix: Read The Psychology of Money and Think and Grow Rich. Reprogram your beliefs about wealth.

4. Mixing Business and Personal Finances

If your business pays your rent, groceries, and vacations—it’s not a business, it’s an expensive hobby.

💡 Fix: Pay yourself a salary. Separate business and personal accounts. Keep records.

5. Loaning Money to Family & Friends Without Boundaries

Ever loaned money to a friend and never saw it again? Exactly.

💡 Fix: Give, don’t lend. If you can’t afford to lose it, don’t loan it. If you do, set clear repayment terms.

6. Not Having Financial Accountability

Who’s keeping you in check?

If you don’t have someone calling out your bad money habits, you’ll stay in the same cycle.

💡 Fix: Find an accountability partner, join a money mastermind, or track your finances publicly (even if just with a friend).

7. Budgeting Without Tracking

A budget means nothing if you don’t track where your money actually goes.

💡 Fix: Use YNAB, Mint, or a simple spreadsheet to compare your budget vs. actual spending every month.

8. Investing in Things You Don’t Understand

If you can’t explain an investment in one sentence, don’t put your money in it.

💡 Fix: Before investing in anything, ask:
✔ “How does this make money?”
✔ “What’s the downside?”
✔ “Can I afford to lose this?”

9. Thinking You Need to Be Rich to Give

Wealthy people don’t start giving when they’re rich. They become rich because they give.

💡 Fix: Give 1% of your income to something bigger than yourself. It changes your relationship with money.

10. Gambling With Money Meant for Necessities

High-risk investments are fine—but not with rent money.

💡 Fix: Follow the 50/30/20 rule—50% for needs, 30% for wants, 20% for savings/investments.

The Simple Formula for Wealth

Now that you know what not to do, here’s how to actually build wealth:

Step 1: Increase Your Income (Active Income Growth)

🔹 Learn high-value skills (sales, coding, investing, content creation).
🔹 Negotiate your salary (most people never ask for a raise).
🔹 Start a side hustle—freelancing, consulting, online business.

📌 Challenge: Find a way to earn an extra $500 this month.

Step 2: Invest Before Spending (Automate Wealth Building)

✅ Live on 70% of your income.
✅ Invest the remaining 30% in:
💰 Dividend Stocks – Earn passive income.
🏡 Rental Properties – Build long-term wealth.
📈 Index Funds – Grow money safely.

📌 Try This: Instead of spending $5 on coffee, invest it. Over 10 years, that could be $10,000+.

Step 3: Build Passive Income Streams

You don’t need to be rich to start—but you do need to start.

✅ Buy a cash-flowing rental property.
✅ Invest in dividend stocks that pay you regularly.
✅ Create digital products that sell while you sleep.

📌 Your Goal: Build a system where you earn money even when you’re not working.

Your Wealth-Building Challenge

Let’s make this fun.

🎯 The 30-Day Money Challenge:
For the next 30 days, track every dollar you spend.

Then ask:

1. Was this expense necessary?

2. If I invested this instead, what would it be worth in 5 years?

💡 What Happens: You’ll see your money differently.

Final Thought: The Choice Is Yours

You have two options:
✔ Keep repeating old money habits and stay stuck.
✔ Or start building wealth, step by step, today.

Which step will you take first? Hit reply and tell me—I’d love to hear.

To your financial success,

Be Wealth Operator