Davido once said, “For this life if you no get money, you go suffer.” In other words, if your personal finances are in shambles, you have a difficult and hard life ahead of you – especially in Nigeria. This might already be the case for some of you reading this, and some of you might just want to prevent such a situation.

The good news is, you’re in luck. We have compiled a list of five habits you should remove from your life if you want healthy personal finance. Keep in mind that this is not advice for your business but money you spend personally. Let’s go:

  • A Lack Of Financial Goals

You want to renew rent? Buy a new car? Pay school fees? Achieve a certain salary at a certain age? All of these things are financial goals that you will have to work towards. Not having a goal for your money and taking things as they come is a recipe for failure. You’ll start to notice that different will keep catching you off-guard and you’ll always be living from hand to mouth. Set financial goals today and put a plan in motion to achieve those goals. Very important.

  • Not Seeking Financial Advice/Seeking Wrong Financial Advice

The way everybody interacts with money is different. Some people are impulsive buyers for example, while other people are extremely good at saving. Know how you interact with money and seek advice ONLY from people that can help you improve the way you interact with money or sources that are at least in line with your financial goals. Always be careful where you seek advice from.

  • Not saving

Especially in a country like Nigeria, where there aren’t a lot of credit options (compared to the US, for example, where everything thrives on credit), SAVING IS NECESSARY. For the most part, the money you save is for emergency situations or things that you are planning for (rent, a new car, school fees, house repairs etc). According to savings platform PiggyVest, you should save at least 20% of your monthly income. Very useful advice.

  • Spending Above Your Budget

A lot of people don’t have budgets and those that do, struggle to stick to it. We get it, Nigeria is hard and the economy is not smiling. However, if you happen to keep a budget, do your best to stick to it and spend more than you’ve budgeted for on anything. This way you’ll always remain financially secure and never run out of money at inconvenient times.

  • Not Having A Retirement/Pension Plan

If you’re in paid employment i.e you earn a salary, this is for you. When you get old and you can no longer work for a salary, this is what you will fall back on. You don’t even have to be old. Also, it’s deducted automatically so you don’t have to worry about it. If something happens to you, people you choose will receive the money (could be your kids, wife, family or sibling). And if you aren’t in paid employment i.e you’re self-employed, then you should totally consider this option. There are several companies that offer services such that you can save money for when you no longer want to work. So even if you can’t live large now, you will be able to later in life.

There are other things that you have to pay attention to of course (bank rates, tracking your expenses etc) but these five that are listed above are some of the more relevant ones that you can start to take action on ASAP. As always, when you win, we win. To the moon!