7 Reasons Why You’re Always Broke

By John Cruz

Last Updated:

Have you ever stood in front of the mirror and asked yourself this question: Why you’re always broke?

You know you’re broke, you probably understand why you’re broke, but you don’t admit it or try to solve the problem by taking any action.

Then you think of things like:

  • I’m just an underpaid who is happy with my life.
  • My job doesn’t pay enough.
  • I love where I am and I wouldn’t change it for anything.

I can go on and on about the many EXCUSES as to why you’re always broke without even trying.

It’s a stupid part of what the world drills in our heads, which makes us say the idiotic things we say.

It’s also responsible for the reasons we don’t take any real action.

Now you do have some decisions that need to be made.

You can make some kind of change utilizing this post, or you can remain broke, living the paycheck to paycheck life you always never dreamed of.

What are these reasons?

1. You Don’t Act Your Wage


We all decide on how we want to make our living.

We made the decision to work at Arby’s, and we made the decision to bum around at mom’s place.

For some, you decided to start a home-based business or do something out of the ordinary.

Whatever the decision was, it was all on you.

Now, what you want to look at is what you can afford with that income.

Not at the new dining table or laptop, but rather, the smaller things that you feel are “nothing.”

I’m talking about the fancy restaurants, the fast-food joints, and the little knick-knacks you grab at the mom n pop stores.

For most of you, you can not afford half the stuff you buy.

But why do you do it?

We do it so that you can show others that you’re doing it.

Forget about others and forget about what they think.

Live life for you and act your wage.

Quit trying to impress your co-worker (that makes just as much money as you do), or both of you will be broke for as long as you remain there.

2. You Make Crazy Commitments


You just landed the manager’s position at McD’s, and your BFF that knows nothing about finances tells you to buy a house.

You go househunting and find that perfect house that has everything you ever wanted.

It’s a one-bedroom, eight-bathroom house, located in the ghetto.

You now have to worry about your belongings being taken and, most notably, a loan that you can’t even afford.

Most of that tiny little paycheck of yours goes into your mortgage, leaving you with nothing to spend.

You have that awesome house that you can call home.

That’s how it is until you have something like the recent pandemic that has you broke and not able to make those monthly payments.

This is all too common and one of the main reasons why you’re always broke.

Forget about making any long-term commitments and work with what you have.

Maybe start a blog, and build another stream of income, but please do not commit to anything that you can not handle.

At least not right now.

3. You Spend Too Much


This is a no-brainer, and you don’t need anyone to tell you this either.

We all like nice things, and that’s fine.

However, some of us like them just a little too much.

Too much that you come up with things like “I need retail therapy.”

If that is something you think is “a thing,” slap yourself and get it out of your head.

It’s not going to help you, and I can promise you that it will always keep you broke.

All you’re doing is making someone else rich.

All while you feel good about yourself because you got that beautiful pair of heels that you saw in a magazine.

Every t-shirt, pair of shoes, and any unnecessary purchase will add up.

I can tell you right now that you most likely have everything you need.

Leave all the wants out the door, and you might just be able to be a part of the few that have a little extra to spend.

Don’t, and you’ll be a part of the millions that are one paycheck away from a disaster.

4. You Give Into Advertising


Think about the last commercial you saw, the last thing a DJ said on the radio, or a recommendation you had from someone.

Whatever it is that you heard, it was advertising.

It was words of influence.

Words that would impact your buying decisions regardless of what you thought about it.

And yes, even if you thought the product was complete garbage.

It’s crazy how that works, but we all give into advertising, and it’s responsible for a lot of empty pockets.

So the next time you talk to someone who said “that was sooooo good,” try to ignore them, or you’ll probably be more broke than you already are.

5. You Borrow Too Much


We all need a hand at one point in our financial lives, but it NEVER has to get to that point.

How so?

Well, you don’t need the things you feel you need.

You don’t need that brand new car, and you don’t need to get a new house because everyone else is doing it.

There are more reasons not to buy a house than there are to buy one.

Try to remember the times when you didn’t have a job.

Remember how you survived without the new car, the credit cards, and even the new house.

All those things you pay monthly are not necessary.

You don’t need them, but for some reason, the more you make, the more you spend.

I mean, I know why, but 99% of you don’t.

Pay off those credit cards, cut your debt in half, and completely out of your life.

Unless you can manage credit card debt (which no one can), then you need to stop borrowing money.


And just because you have a high credit score and all the credit card companies are sending you all kinds of praises, you do not need to signup for anything.

6. You Fail to Invest


Investing is a huge part of creating any kind of stable financial life.

And, it’s a massive part of why you’re always broke.

Investing is the best way to make an extra income, and it’s the best way to keep you from becoming broke.

When living paycheck to paycheck, you might think that investing is out of the question.

Well, it’s not.

Being broke though can have you feeling helpless and in poor mental health.

It’s not something we want, but it’s something that can be fixed.

So, just because you’re always broke does not mean you can’t change things around.

Take a deep breath and tell yourself that everything is going to be okay.

We all inherit debt, and we all go through mental craziness as well.

Today, though, you might want to look into some of your investment options so that you can finally get out of the financial struggle you are in.

7. You’re Lazy


This should’ve probably been up there on this list, but everything you see is just as necessary as the other.

The problem here?

Everyone thinks they’re the hardest working bum out there.

They have a job, so there is no need for anyone to tell them they are lazy.

Even if their house can be featured on an episode of Hoarders.

Just because you have a job does not mean you are a hard worker.

Maybe you work hard at making your boss rich, but that does not make you a hard worker.

It’s what you do outside of that job that makes you a hard worker or not.

Can you maintain the homefront and work a job at the same time?

Of course, you can, but that is not what usually happens.

It’s also one of the reasons why you’re always broke, to begin with.

You focus too much on your job that you don’t consider looking into where your money is coming from and, most notably, where it is going.

Why You’re Always Broke – My Final Thoughts

I can sit here and tell you all the reasons why you’re always broke, but it’s useless if you aren’t going to take any action.

Think about your current situation, see what needs work, and do what you can do to improve on it.

Being broke is not a part of life, and it’s not something you are born with.

It’s something we put upon ourselves, regardless of what we think.

Now, you can get out of it, or you can keep living the broke, paycheck-to-paycheck life.

The decision is yours and one that can make or “break” your pockets.

I do recommend you act like you’re broke as it is one way to help prevent you from being always broke.

It sounds a bit stupid, but trust me, it works.

You can also check out our guide to saving money if you need some advice in that department.

These are my two cents and don’t forget to subscribe to our newsletter to get updates.

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