Though many people would like to be wealthy, not many people actually obtain wealth. In some instances this is due to a lack of ability, knowledge and resources; however in other cases it occurs due to people not overcoming certain obstacles. Take a look at four of the main obstacles people face that reduce their chances of developing wealth.

1. Debt

It is important to understand that there is a difference between debt and bills. Everyone has bills that must be paid in order to properly support and sustain their lives. However, not all debt is necessary. In fact, many of the debts that people create for themselves tend to be unnecessary, such as the difference between buying a certified used car verses a brand new vehicle, or using credit cards to buy name brand items instead of paying cash for regular or store branded items.

2. Uncontrolled Spending

Uncontrolled spending serves as one of the greatest obstacles to wealth creation. Though spending is necessary, there are wise and unwise ways to spend. When people purchase off of feelings or by impulse, there tends to be no logic behind it, which can lead to budget busting and overdrawn accounts.

3. Lack of Knowledge

A lack of knowledge can stand as a strong obstacle to individuals creating wealth. Though there are resources in your local area, such as this wealth management bank in San Francisco, a lack of knowledge in different ways can prevent the use of such helpful sources.

• Savings: savings can be put towards efforts to create wealth, but will not result in wealth creation in themselves; not knowing how to properly apply savings to wealth creation can be an obstacle
• Get rich quick schemes: even though some “get rich quick” schemes may work in the moment, they do not last; wealth creation takes time and stability, while trying to be rich will result in temporary funds
• Purchasing habits: how you spend your money in general can affect how you spend your money on larger, more important purchases; whether you are an impulsive or frugal shopper, certain habits can prevent you from making necessary wealth creation investments

4. Wealth Facade

With all of the advertisement and glamorization of various products, some people find it hard not to feel inadequate for not having the latest and greatest products. Therefore, they purchase these items, many times with credit or money that could be better purposed for necessities and bills, and find themselves in a cycle of trying to maintain a lavish lifestyle that they cannot fully afford. The trends only continue to change and become more lavish, so such individuals continue to incur more expenses and debt, which does not leave room for wealth creation.

These obstacles to wealth creation clearly all start from one source: within the individual. In order to be able to overcome these things, people must look within themselves and determine the lives that they desire to live. If wealth creation is the goal, they must realize that succumbing to these obstacles will prevent that; they must rise above these obstacles and implement strong savings and wealth strategies to meet their desired financial goals.

4 Main Obstacles to Creating Wealth

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