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What are things that you feel that so many people actually get wrong about personal finance?

Few people are able to fully appreciate the eight wonder of the world: compounding interest. It is the true dividing line between the rich and the not rich. What is compounding interest? It's simply interest paid on interest. When your investment, say, a loan you've given, has matured and you've got your money plus interest back, you can re-invest your original capital plus your gain. 

Let's say your gain is five percent per year. In ten years, you will have 1.05^10 = 1.629. In 20 years, you'll have 1.05^20 = 2.653. What this means is that the universe pays you for delaying your gratification. Even a small annual gain will add up given enough time. 

Let's say you have no capital to begin with and begin saving $100 a month without taking breaks, never withdraw anything and earn an annual inflation-corrected net interest of a modest 3%. After you have saved for 40 years, which is the typical duration of a career, you'll end up with $92,271.40. Not too bad. 

Calculator: https://www.thecalculatorsite.com/finance/calculators/savings-calculators.php


Do it without anyone else's help approach despite the fact that they know they don't have the information required for the assignment. 

Not planning their consumption 

making investment dependent on counsel from self declared specialists like companions, partners and relatives and not taking the administrations of an authorized master. 

making investment dependent on exhortation from business people of monetary items. 

making investment, simply dependent on tax cuts, in items that may not be appropriate for their necessities. 

Not obviously setting out their monetary objectives. 

Not understanding the effect of swelling over a significant lot of time. 

Belittling the retirement support needs, particularly with expanding future. Presently, the resigned number of years could be as long or significantly longer than the effectively gainAing years. 

Thinking about land as their principle focal point of venture. 

Not setting up a just-in-case account.