8 Stupid Things People Do With Their Money
I’m a personal finance geek for sure, but my full-time job is in HR. So, I know what people make and I (often) see what they do with their money.
Some folks are smart. Others fall into that category of Americans who can’t afford a $400 emergency.
Before you say we don’t pay enough, we have an internal minimum wage of $21/hour in a medium cost-of-living area.
And, for the record, I also think it’s an employer’s obligation to offer financial literacy classes to its staff. Since some employees spend 156 hours a year worrying about money instead of working, it seems like a worthwhile investment.
We’re rolling out the education piece and I hope it takes root. In the meantime, though, here are eight stupid things I’ve seen people do with their money.
1. Drive cars they can’t afford. If you make $50k, you shouldn’t drive a car that costs $60k. Sure, you’ll get approved for the loan, but it doesn’t mean it’s smart. The average car payment in the US right now hovers around $700. That’s insane on its own, yet I have colleagues with four-digit payments.
2. Ignore the company’s 401k. We’re at 95% percent participation, which is well above the national average of about 85%. Who’s not saving? You guessed it. The ones with cars they can’t afford. One of my…
