The financial decisions we make today can shape our lives for years to come. It’s easy to overlook how certain choices might lead to future regrets. To help you avoid potential pitfalls, here are 18 financial moves that could leave you wishing you’d done things differently a decade from now.
Buying Property Without a Garden
Before starting a family, having a house with a big yard might not have been at the top of your priority list, but moving is expensive and very stressful. When you start a family, you’ll regret not having the extra outdoor space for them to play.
Going for Your Dreams
We all have a dream career path that’ll land us a job that will make us happy. But for a number of reasons, we might choose to go for a different line of work. This might make you happy in the short-term but you’ll soon regret it.
Always Renting
“Paying rent gives your money to the property owner. But, by owning a house, you may build equity. Every time you make a mortgage payment, you add to your home’s value,” says RBFCU. If you always rent and never buy property, you’ll regret never having your own house.
Getting Married Young
When we’re young, our perception of a good marriage partner is really different from when we get older. While getting married young to your childhood sweetheart might seem like a nice idea when you’re a teenager, getting a divorce 10 years from now will be very expensive.
Not Going to University
Deciding to not go to university might seem like a good idea when we’re in our late teens and are itching to start working. But this is a financial decision that we’ll definitely regret, as it will limit the number of jobs we can apply for.
Not Getting Legally Married
Getting legally married instead of living with your partner can be a financially good decision. The Knot says, “Unlimited marital tax deduction is the biggest tax benefit a married couple can receive.” You won’t get these benefits and will waste money if you don’t get married.
Not Getting a Home Evaluation
Getting your home professionally evaluated before buying is really important. If you don’t have this done, you could be at risk of buying a house that’s not structurally sound and that will cost you a lot of money in repairs a few years from now.
Not Changing Careers
The world of work is always changing, and with technology on the rise, new jobs are appearing that never existed before. If you can tell that your line of work is becoming redundant, it’s better to change your career now than wait for real financial problems to start.
Going Back to College
You didn’t get the chance to finish university, and the thought of going back to school as an adult can seem daunting, but it’s the best thing you can do. The job opportunities that will be available to you with a degree make it worth it.
Starting a Family Young
There are some advantages to being a young parent, but starting a family young can put a big financial strain on the family. Young families often struggle to find suitable housing and well-paying jobs that suit their schedules. These difficulties can set a family back for years.
Smoking
According to NHS England, smoking costs England a staggering £2.6 billion in healthcare spending every year. Becoming addicted to smoking is a very expensive habit that will quickly cost you thousands of pounds if you don’t quit, and that’s just the cost of cigarettes, let alone the loss of your health.
Having an Alcohol Addiction
Not only is an alcohol addiction bad for your health and very upsetting for your family and friends, but it also has the potential to destroy your finances. It’s so easy to become dependent on alcohol and feeding the addiction could drain all of your savings.
Buying an Old Car
Buying an old car that was in good condition and was rarely driven might get you a good deal for your money. But in a few years, the repairs and insurance of the old car will become very expensive and you’ll regret not buying something newer.
Not Having Maintenance Done
Every home needs maintenance for it to stay in tip-top condition. If you neglect the maintenance of your home, you might see it begin to deteriorate in a number of years. Having maintenance done is the key to saving money in the future.
Moving Away from a School
If you and your partner don’t have any kids right now, you might not see the need to move to a house that’s close to a school. But moving is expensive, and you might regret not having moved close to a school when you have kids.
Moving Far from a Park
Similarly, young couples without kids might not see the importance of having a house near a park or some kind of recreational ground. But making a decision like this might turn into something you regret in a few years when you choose to start a family.
Not Signing a Prenup
Signing a prenup “could provide engaged couples — and their families — with financial peace of mind,” says the Financial Times. However, if you choose not to sign a prenup, you could be setting yourself up for lots of difficult, heated conversations and financial loss later on in life.
Getting a One-Bedroom House
One-bedroom houses are ideal for single people and young couples. But a one-bedroom property might not be a good idea for an older couple who wants to downsize. As your parents age, you might need an extra room for them to stay with you on occasion.