Salarymen represents those who love living a simple life in Comfort Zone, don’t like challenges, never dream to be an entrepreneur, want to design their life, and enjoy having enough money to spend each month. In fact, their lives are not as pleasurable as we think because they have to deal with work and people, and need to prove themselves to be recognized at work. Salarymen earn monthly income and some fall into a trap as they spend their lives carelessly, and may not have sufficient savings to spend throughout their retirement period. Here are some pitfall traps that salarymen should watch out.

1.Overspending

Some salarymen live a luxurious lifestyle according to their work environment and fail to consider their financial potential. They sacrifice themselves for buying everything that people register as “must-have” items. They trade money for happiness; dining in talk of the town restaurants, socializing in chic café, covering head to toe with brand-name products. Some people overspend money until they are running into large amounts of debt.

As a result, it’s good to control yourself by spending money wisely, learn to refuse, and make friends with those who have financial equality. Don’t be careless even though you have a high income as you never know if you will need emergency expenditure in the future. Therefore, you should better save money early for the sake of your good future.

Besides, you should arrange a daily financial plan and change your luxurious behavior such as self-cooking for some meals and dining out at lunchtime, buying coffee from an ordinary café instead of the popular one, or meeting friends at someone’s house, not a stylish café. Those tips may sound trivial but they have a good financial impact if you start practicing them habitually. You also need to organize monthly expenses such as several online member fees, mobile and Wi-Fi bills, and regular household fees. Try to cut down unnecessary expenses that don’t provide you good value for money because they are a long-term burden that seems never-ending.

2.Unnecessary debt

As overspending is a cause of debt, salarymen tend to be considered to have good credit because they don’t only own certain sources of income but also build up a debt easily, and more than those who hold general and independent jobs. A pitfall that should be avoided is credit card and personal loan debt that comes with high interest rates. Some people pay the minimum each month and never know that the interest will double and cost more than the principle. Instead of a purchasing loan, you should save a sum of money to purchase the stuff you like so you can be free from debt and don’t have to pay interest unnecessarily.

3.No retirement plans

Most salarymen spend money carelessly as they think they earn a regular income and always look forward to the end of the month. In fact, without any savings, they will rarely have money left for retirement. Some people may think that they are still young and have a long way to go so they neglect to save money or invest in some assets to prepare for their retirement. It seems that some expenses during retirement like travel, clothes, and social gathering, maybe less. On the contrary, medication fee is getting higher because of aging health. Don’t take that for granted! Saving money right away once you start working. Always saving before spending and arranging plans systematically by deducting 5-10% of your income, and then putting them into regular savings account or buying funds as they generate a better profit than bank savings. More importantly, “the earlier you save, the richer you get” always remains true. If you are interested in investment to gain good profit, visit us at SCB Easy Invest; http://www.scbs.com/easyinvest - SCB Easy Invest-

4.Neglect your health

A salaryman’s life is like a machine that works day after day; getting up early and leaving home for the office, facing challenges at work, and getting stressed out. Some people bring their work back home and continue working so they lack sleep. Treat your body harshly in the long term and neglect food and exercise will affect your health when you are middle-aged. You may develop several diseases such as office syndrome, high blood pressure, high cholesterol, diabetes, insomnia, migraine, gastroesophageal reflux, gastritis, glaucoma, cataract. Some people may have severe diseases like ischemic heart disease, stroke, etc. It’s risky to neglect your health care when you’re young because there’ll no health welfare to support you when you reach retirement age. Learn to manage work-life balance as life is more than work and there are family and friends you need to care for. Arranging a time to exercise regularly and eat well. All of the above tips will keep salarymen in perfect health. Importantly, applying for health insurance to guard you against unexpecting risks. Please see the detail of OPD Worry-free insurance at https://scbcw-preprod.scb.co.th/en/personal-banking/insurance/health-insurance/opd-worry-free.html

5.No self-development

Staying too long in their comfort zone will spoil some salarymen to feel that they acquire enough knowledge for their work. As the world moves fast, your existing knowledge becomes outdated. You need to fill new knowledge in because technology keeps moving faster than ever before. There are lots of new graduates with much more advanced knowledge than you, and most organizations want them because they pay them less. Explore more and add on new experience in your field or other skill that will benefit your work in the future. Don’t forget to build relationships with your colleagues as you never know if you may need their support in the near future.

6. Don’t prepare for a second career

The world is full of uncertainty as well as a full-time job. Earning money from your income solely can no longer secure you, especially during the economic recession when unemployment has occurred day by day. That’s why salarymen should look for a part-time or second job to earn extra income. You may select another job from your hobby or things you are passionate about. We have seen salarymen doing online business after work and it later becomes their permanent job. Then, let’s start finding a second job right now as a reserve choice in your future.

Finally, salarymen should study financial management, investment, and tax-saving to help arrange a retirement plan efficiently, to live a good life, and have enough savings for spending over retirement years.

References :

https://wealthmeup.com/20190723_six_mistakes/

https://moneyhub.in.th/article/financial-mistakes-of-salaryman/