Two reasons why you are poor and in debt: They are wealth killers

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Many Ukrainians unknowingly hinder their financial success and avoid accumulating wealth. If you forget about some patterns of behavior, you can significantly improve your financial situation and create a basis for long-term material well-being.

You are preventing yourself from escaping poverty, and there are two reasons for this, writes Newtraderu. We tell you what prevents you from getting rich and how to improve the situation.

1. You live beyond your means

This is one of the main enemies of financial well-being. Constant expenses that exceed your income, frequent use of credit cards or loans to support a standard of living that you cannot afford. Living paycheck to paycheck and not being able to save money is a clear indication that you're living beyond your means.

To deal with the situation, start by keeping a close eye on your expenses and creating a realistic budget that matches your income. Prioritize between needs and wants, and find ways to cut unnecessary expenses.

2. You depend on one paycheck

Limiting yourself to just one source of income, usually a job, can leave you financially vulnerable. Successful people often develop multiple sources of income to increase their financial capacity and ensure stability.

Consider starting a side business, freelancing, investing in dividend stocks or creating passive income through real estate or online projects.

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