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4 Money Mistakes: #3 – Failing to Schedule Expenses

Four money mistakes can affect your financial health.

This week, I’ve addressed the problems of a get-rich-quick mentality and failing to listen to your spouse. Mistake #3 is failing to schedule for unexpected expenses. You are planning a financial disaster if you fail to plan for the unpredictable. These are things that haven’t come due yet – or surprise costs. They include home and automobile maintenance, emergency repairs, or health issues. Failure to plan for these is a major reason many families end up with unmanageable debt. The expenses must be paid, but without an adequate emergency fund, the only alternative available is often a credit card. Why don’t people plan for surprise expenses? Generally, they can’t work them into their budget so they ignore them until a crisis occurs. To do otherwise would require adjustments in the other areas of spending. They think, ‘why make budget cuts when everything’s ok now?  A raise, tax refund, or a better job will provide the money when it’s needed.’ That kind of thinking is presumptuous and dangerous.

The problem with depending on credit cards is that debt invariably grows in order to absorb non-budgeted, but predictable, expenses.  An emergency fund is essential. If you have a car, children, pets, or a home, you’ll face some kind of surprise expense this year.  So cut unnecessary spending until you can save $1,000 in an emergency fund. With money in the bank, you can face the unexpected without stress.

And if you’re overloaded with credit card debt, I recommend Christian Credit Counselors. They can create a debt management plan that will work. For more information call the Crown Helpline: 800-722-1976 or visit online at