Debt happens to a lot of us here in the World.  Some of us can’t help it but 99% of the time, people get into debt based on their own behaviors.  If you’re willing to change your behavior, you can see a  great change in your monthly finances.  Let’s take a look at the top 5 reasons people get into debt.

Unwanted medical bills

Everyone gets sick, right?  What about those who are too cheap to get health insurance?  If you don’t have health insurance, you’re hurting yourself and don’t just not insure yourself because you can’t afford it.  What happens when that $35,000 surgery comes up?  Who’s going to pay it?  This is one main reason people are in debt.  They don’t insure themselves and when that medical bill comes in the mail, they cry a river.  Who’s fault is it?  There are plenty of reasonable health care packages out there, make sure that you do your research to find something that can help you out.

Living beyond your means

Are you the type living paycheck to paycheck or spending $1 when you make .50?  I think you get the point here.  It’s always necessary that you save at least 10% of your income.  Even if you can’t save 10%, try your best to save.  There are so many people out there spending way too much money and this spells D-E-B-T.  Start living below your means because the outside world doesn’t care what you drive, eat or wear.

Using credit cards like play money

This one goes alongside of the living beyond your means.  If you’re not good with your credit card bills, you don’t deserve one, it’s plain and simple.  Can you tell me how much is on your charge card right now?  If you can’t, how do you manage your money?  Credit cards can be great for you but if you don’t know how to use them properly, you’re headed down the debt trail.

Gambling like no tomorrow

Gambling can hurt a lot of people and actually any addiction can.  Whether this addiction is gambling, drinking, smoking, etc, it’s all going to play a burden on your finances.  If you have an addiction, this is no laughing matter.  Make sure that you get out there and get the professional help.  Yes, there are people out there that can help you!

Having no savings

When you’re living paycheck to paycheck, what happens when you lose your job?  I don’t care what you do, no one in this world has job security.  Ask the people that have worked for 15 years and economy tanks.  Guess what?  The company lays off 30% of the workforce.  Who’s the first to go?  The guy that’s getting paid the most.  Companies don’t care about you, they are there to make money.  If you’re not saving money, how are you going to pay the rent?  your car?  your heating bill?  Do you get my point?

There are so many reasons people get into debt and yes, it all plays a part on you.  Make sure that you stash away at least six months of emergency money.  This is the best thing that you can do.  If you can save, insure yourself and live well below your means, you will be okay in this world and debt should never enter your picture.