Surprise! You probably make a lot of money mistakes, and they can cost you a lot – like many hundreds or thousands of dollars.
Here is a look at five common and expensive money that many do. See how many apply to you and how much money you can hold in your pocket (or your retirement accounts) by changing your ways.
] Mistake # 1
: Being oblivious to recurring charges
This mistake is easy to do because it involves costs that are largely hidden. If you are not in the (good) habit of regularly reviewing your credit card bills, you may not notice that you are being charged certain amounts on a regular basis – and often unnecessarily. (Worse still, many automatic monthly fees increase over time, which most don't notice.)
For example, you have stopped going to your local gym three years ago, but you forgot to cancel your membership so you have forfeited over $ 40 every month. Over three years it would amount to a hefty $ 1,440. Likewise, you can pay $ 150 or more to your cable company every month even though you're streaming most of your entertainment. Cutting the cord in favor of paying for some cheap streaming services can save you $ 100 a month – $ 1200 a year. You can even pay for subscriptions at an earlier address!
Mistake # 2: Staying at work for a long time
You may think you've done well to have stayed in your current job for many years, but to maximize your income, you might want to think about going further.
According to Forbes "Working in the same company for over two years on average will make you earn less over your lifetime by about 50% or more."
People at the human resources company Automatic Data Processing studied data related to 24 million workers and found workers receive the biggest increases in salary when they have been at work for at least two years but not more than five years.
An added benefit of job jumping to increase your income is that it can also increase your social security benefits because they are based on your income history. By earning more, you will likely be able to suck more money for retirement.
Mistake # 3: Ask for a raise
Job shopping is not for everyone. Some just don't have the stomach for it, or they can simply really love the job they have. You can strive to earn more in your current position by doing a simple thing: ask for a raise.
A new survey from PayScale that was found among those who asked for a raise at work, received about 70% some form of increase. (And by the way – only 37% of the investigated workers had bothered to request a raise.)