17 Common Money Mistakes That May Jeopardize Your Finances

Author image for JR Atkinson
JR Atkinson • Writer and Editor
Oct 22, 2026 10:00 AM EDT

Sometimes you make a decision that you don't realize will have a ripple effect throughout the rest of your life. 

I, for one, don't always make decisions thinking in the long term. Sometimes I'm all about the short term. I'm trying to get through today, and I'm not always thinking about tomorrow. This isn't a great way to live. It's good to live in the moment, but it's also essential to plan for your future. It can be overwhelming to think about, but it's necessary sometimes. Especially when it comes to money. Money famously doesn't grow on trees, and it can take a while to build up a base for yourself. It can take time, and a little bit of acumen. But it's hard to sift through all of the advice that's out there. There is so much of it out there that it's easy to get lost in the sauce. That's why it's nice to hear from real people every now and again. 

Advertisement
  • 01
    A stack of one hundred dollar bank notes in hand
    via Alexander Mils

    Scene is illustrative and does not depict actual individuals or events.


    A stack of one hundred dollar bank notes in hand

  • 02

    What's a financial mistake that can take years to recover from, even if you earn a decent salary?

    Gusepiolow financing a wedding longer than the marriage lasts
    via u/Cool-Dependent8013
  • 03
    Ok-Dimension-5429 Expanding your lifestyle to match your income. It's easy to waste any amount of money. There are people out there making a million per year living paycheck to paycheck. Stay grounded, save money, have an easy life.
    via u/Cool-Dependent8013
  • 04
    AbysmalMoose I bought my house at pretty much the worst possible time. I knew interest rates were about to go up, so we rushed to buy and ended up with a house that's... fine. I don't love it, but it's fine. Then, shortly after we bought, interest rates shot
    via u/Cool-Dependent8013
  • 05
    up and home prices in the area tanked. Now, five years later, my house is worth about $120,000 less than what I paid for it. The frustrating part is that if I'd bought the exact same house two years earlier, I would have paid roughly $300,000 less. And if I'd waited just one more year, I
    via u/Cool-Dependent8013
  • 06
    would have gotten a much worse interest rate, but the drop in home prices would have meant my monthly mortgage payment would have been about the same anyway and I would have saved that $120,000. So somehow, I managed to hit the tiny window where I got the worst of both
    via u/Cool-Dependent8013
  • 07
    worlds: an inflated purchase price and a house I don't particularly love, with enough negative equity that moving isn't really an option. I've managed to save enough that I could make another down payment if we had to move, but I don't think the whole selling your house to upgrade will be an option for a decade or more.
    via u/Cool-Dependent8013
  • 08
    dahvaio Treating credit cards as free money, taking on too much debt early on, living beyond your means, trying to keep up with your friends and or neighbors.
    via u/Cool-Dependent8013
  • 09
    A person looks at their credit card in their hand while typing on a computer
    via rupixen

    Licensed media provided as editorial context.

    A person looks at their credit card in their hand while typing on a computer

  • 10
    DOAIB Marrying someone who refuses to be financially responsible. Thank god we never combine finances it's probably the only reason we both were no completely screwed post divorce but sucks that I had to be the responsible one and they got to be irresponsible for years and both of us were left in the same spot post divorce.
    via u/Cool-Dependent8013

  • Money is not always an intuitive thing. It has taken me my whole adult life to figure out how to manage it, and I still have a lot to learn. Plus, things change over time when you start having different priorities and your life circumstances start changing. This is hard to keep up with, and if you don't have a trusted source around in your life, it might be easy to go the wrong way. That's why it's good to check in with your peers who are in the same boat as you and know what you're going through. It's also good to check in with people who may know a little bit more than you. They've been around the block, and they have some wisdom to impart to you. That's what this thread is all about. 

    Human beings, as different as we are, tend to have similar issues. We fall into similar pitfalls and make similar mistakes. It's why storytelling is so important; it reminds us of who we are and where we come from. We can all learn from each other's mistakes and goings-on, and it's good to sit back and reflect on that sometimes. It's a good thing to take stock of what often goes wrong and see what you can do to help fix it. That's what we're here to do today regarding finances. So many of us make the same mistakes, but that doesn't mean we can't avoid them. We can look around and see what we might be able to avoid if we spend a little time planning ahead. So keep scrolling and see if you can relate to any of these classic money mistakes.

  • 11
    InsideGrandiose7251 carrying high interest credit card debt while pretending your next paycheck will fix everything
    via u/Cool-Dependent8013
  • 12
    bethereds_2008 1. marrying the wrong person and going through a divorce that takes away half. 2. getting sick without healthcare. Number 1 cause of bankruptcy in our country. 3. buying a money pit of a house that has been neglected for decades and finding more and more problems.
    via u/Cool-Dependent8013
  • 13
    Nova Wildstar having your kid spend $150k on YouTube ads on your company card.
    via u/Cool-Dependent8013
  • 14
    ToastAbrikoos Feeling pressured into helping family while you re enabling and throwing the money in a bottomless pit, because they will always ask for more
    via u/Cool-Dependent8013
  • 15
    sennyonelove Financing an expensive car you can't afford, especially one that's unreliable and depreciates faster than it takes to sign the paperwork. People post on Reddit everyday about being upside down owing tens of thousands of dollars on 2015 Kias and Nissans that
    via u/Cool-Dependent8013
  • 16
    A person counts out one dollar bills in their hand
    via Sasun Bughdaryan

    Image depicted solely for explanatory purposes.


    A person counts out one dollar bills in their hand

  • 17
    no one will buy for a peanut. In fact, financing any expensive car in general and rolling over negative equity into new debt. It's a vicious cycle. Eventually people end up owing $50k plus on a base model Chevrolet toy compact SUV with no remarkable features and a joke of an engine.
    via u/Cool-Dependent8013
  • 18
    loljetfuel Poor use of credit. Most of the time, this means borrowing money you don't have a clear plan and budget for repaying promptly. But it can also look like failing to use credit when it makes financial sense. Credit is a tool, it doesn't have morality attached learn how and -- when to use it.
    via u/Cool-Dependent8013
  • 19
    browsingbananas Marrying someone who overspends
    via u/Cool-Dependent8013
  • 20
    escapefromelba Not investing for retirement as soon as possible - you lose years of compounding.
    via u/Cool-Dependent8013
  • 21
    MC_McStutter Having a child without an already established life. Leaving a job before having another one lined up.
    via u/Cool-Dependent8013
  • 22
    Witty_Committee_7799 Buying a home in a bad location. I rather overpay in a good location than underway for a bad location
    via u/Cool-Dependent8013
  • 23
    xyu_ Getting sick while American.
    via u/Cool-Dependent8013
  • 24
    PrestigiousBall632 Co-signing a car loan for my sibling seemed harmless. until they stopped paying. I ended up covering it for three years while my own credit tanked, and it took another two just to get back to where I started.
    via u/Cool-Dependent8013

Want More? Follow Us and Add Us as a Preferred Source on Google.

Tags

saving money finance money problems finances take my money financial money
Scroll Down For The Next Article