The 5 Reasons You're Broke

Even employed people can still be broke—and if you’re in that camp, allow Steve Roy to help. On Dumb Little Man, the financial planner offers up the “five reasons you will always be broke:"

1. Your spouse is a spender: If one partner is out of touch with your financial situation, both will suffer.
2. You can’t accept reality: Many people just keep denying they need to take a real look at their finances—and maybe cut spending.

3. You have big dreams: Maybe you’re an entrepreneur, or you work for a company that promises wealth. That’s great, but until you see actual proof that you’re a millionaire, don’t spend like one.
4. You won’t budget: “Budget” is a scary word, especially to people who have no idea how to use a spreadsheet. But it’s a necessary evil.
5. You don’t track your money: All those morning bagels and afternoon candy bars add up to more money than you realize—probably enough money, each year, to take a family vacation.

But it’s not all bad news. Click for the complete article, in which Roy offers five solutions. (More budgeting stories.)