15 things you won’t hear money experts say

For many people, financial success is one part hard work and another part discipline. While there can also be a lot of privilege and luck involved, knowing what not to do when it comes to money can have a huge influence on your long-term financial wellbeing.

Whether you’re looking for ways to lower your bills, cut things out of your budget, or just want some money tricks to save cash, remember these 15 phrases as things money experts will never say when it comes to making smart financial moves.

Even though having children means many new expenses – from childcare to medical bills to extra groceries – that doesn’t mean it’s safe to stop saving money.

“Having kids who depend on you means you have even more reason to build up savings and create financial security for now and in the future,” says consumer-finance expert Andrea Woroch.

Providing financial security for your children may mean saving for emergencies, retirement, school or university, and unexpected healthcare bills such as braces. “Finding extra room in your budget may seem impossible when you have kids, but there could be areas in your monthly spending where you’re wasting money without realising it.”

Don’t miss these personal finance tips you were never taught – but need to know.

Your mental health can have a big impact on various aspects of your life, including your finances. The idea that everyone should manage their money the same way sets many people up for failure.

Daniella Flores, Founder of ILiketoDabble.com, says that failing to acknowledge the impact of mental health struggles on a person’s finances is a mistake. “It can be very damaging to someone trying to get their financial ducks in a row, but struggling in a way that others don’t experience.”

Flores spent years struggling and feeling shame for the way her own mental health issues (PTSD, ADD, and bipolar disorder) impacted her financial life. “I thought the way I handled money throughout my life meant that I was bad with money,” she says. But her therapist showed Flores how her mental health affected her finances, and she was able to change her financial management strategy to suit her needs.

You might find the odd personal finance personality that recommends avoiding credit cards in favour of debit cards. Yet the anti-credit card position is one that most money pros believe to be misguided.

Lauren Keys, co-founder of TripOfaLifestyle.com, says “When you use a credit card, you can tap into tons of benefits like cash back on purchases, an increased credit score (with proper use), fraud protection, extended warranties and return windows, free roadside assistance and more.”

However, she does note that it’s critical to avoid overspending and pay off your credit card balance every month so you don’t have to dig yourself out of debt.

Doing so can help you enjoy the benefits of a credit card while avoiding high-interest fees. Keys suggests using your credit card as a debit card – only spending the money you have available now.

These are the credit card rules you should never break.

A smart investment strategy has the potential to help your savings grow over time. Yet no financial advisor, no matter how experienced, can tell the future. And if you come across anyone who tries to promise that an investment will beat the market, it’s a giant red flag.

Sandy Yong, the award-winning author of The Money Master, says, “Financial experts know that the stock market can be volatile and no one can predict the market. Also, the historical performance of a fund or a stock does not predict the future.”

Investing your money in the stock market always involves some level of risk. There’s no such thing as a guarantee where investing is concerned.

You may have heard it many times, but it doesn’t constitute sound financial advice. There are plenty of times where paying a lot of money for a product or service doesn’t make good financial sense.

“Any financial expert worth their weight knows that you do not always get what you pay for,” says certified financial education instructor and founder of Frugal Confessions, Amanda L. Grossman. “The fact is that you can pay a lot for something that is worth very little, and you can pay a little for something that is worth a lot.”

Check out these habits of cheapskates you can follow to save money.

There’s no question that high-interest debt can put your household budget under stress and lead to bad credit. However, all debt is not created equal, and there are times when borrowing money could be a good financial move in the long run.

“Debt is a very valuable tool that can unlock financial flexibility, and more importantly, can enhance your returns if used for the right purposes,” says Kyle Kroeger, owner of TheImpactInvestor.com. “Debt tied to an asset that is income-producing and/or has the ability for capital appreciation is one of the most powerful things you can do with your money.”

Kroeger does recommend the use of caution where debt is concerned. “Of course, debt used to purchase consumable goods like clothing, electronics, etc. is not good and should be avoided in all circumstances,” he says.

When you do borrow money, good credit can work in your favour.

Don’t miss these steps to get out of debt.

One subject that virtually all financial experts agree on is the need for emergency savings.  “There are few absolutes in personal finance – because personal finance is personal; however, the emergency fund is one of the few exceptions,” says Vee Weir, owner and founder of Vee Frugal Fox. “Most people can’t afford a $400 emergency!”

Weir says that with inflation, high cost of living increases and life in general, it’s important to have at least one month’s worth of expenses saved up.

There seems to be a wide range of general personal finance rules and strategies. The truth, however, is that no two people’s finances are the same. Understanding that your situation is unique can go a long way toward helping protect both your financial and mental health.

“Your financial plan should reflect you and your life,” says Dr Jay Zigmont. “Comparison to others, general rules, or averages results in an apples to oranges comparison.”

Read on for the best money-saving tips from self-made millionaires.

Whether you’re a new investor or a seasoned professional, it’s important to remember that risk and return go hand in hand. So, if you come across an investment opportunity that seems unbelievably good, it might just be unbelievable.

“Consider this,” says financial advisor, John Hagensen, “why would a stranger offer you this unique opportunity rather than keeping it a secret for their own benefit? If an investment truly offered the safety of government bonds with the potential growth of stocks, all of the country’s available capital would be allocated there.”