40 Things You Shouldn't Do When You're Broke

No one wants to be broke. It’s stressful, uncomfortable, and counterproductive to achieving your financial goals. While there may be some things outside of your control, like whether your boss is willing to give you a raise, there are some things you can control.

You can unknowingly prolong your financial lull by continuing to make bad financial decisions, i.e. spending money when you should instead be cutting back your spending.

You may try to justify certain purchases, rationalizing that you “need” it or that life will be too uncomfortable without it. But, more often than not, you’ll be just fine without those extra purchases. Check out a list of things you shouldn’t do when you’re broke.

Take out a loan for a new car, or for any other reason. If you’re broke, you can’t afford another monthly payment and that’s exactly what you’re adding to your plate when you take out a loan.

Go on an expensive vacation. You’re broke, you can’t afford a vacation. If you have money saved up for a vacation, there’s probably something more pressing you could spend that money on—like past due bills or car repairs, for example.

Loan money to someone else, or cosign for them. Having no money for yourself means you also don’t have money for anyone else. Cosigning is included here because cosigning a loan is essentially accepting the responsibility for the monthly payment if the other signer can’t make it.

Spend money on non-necessities. One of the hardest things to do, when you’re broke especially, is to rein in your spending and keep it only to the things you need. It’s important, however, to keep your spending to a minimum until you can afford to spend more.

Eat at restaurants. Buy groceries and prepare your meals at home.

Take your lunch to work, even if it means having leftovers.

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