7 financial myths you should stop believing like now

7 Financial Myths You Probably Believe


There are a ton of common misconceptions out there about how to handle money and how much money you actually need. Financial myths are all around us and there is no great way to tackle them all at once.

I’ve taken 7 super common financial myths that I’ve heard over the years and I’m explaining why they aren’t true to hopefully get your thoughts about money on the right track.


7 Financial Myths You Probably Believe

#1 – I Need More Money To Start Saving

I’ve heard this from a ton of people in my life over the years. “I don’t have enough money to pay my bills, I can’t start saving.” Even if you’re able to just save $10 a week for an entire year, you can put $500 into an emergency fund in just one year! That’s an amazing start.

The people who say things like this are usually the same people who live above their means and buy a ton of things they don’t need. There are tons of places where you can cut expenses and if you put that money into your savings you’ll be headed straight to financial freedom!

If you really believe you must increase your income before you can start saving any amount of money, why don’t you? We’re living in the best time to start a side hustleThere are hundreds of ways you can make money from your home.


#2 – You Need To Be Rich To Start Investing

The reason why so many people think this is because almost all people who are active investors, are rich. How do you think they got there? People who invest are able to build more wealth over time instead of just letting their money sit and not work for them!

The first step to investing, is a time investment. You need to start out by learning everything you possibly can about investing. Why? Because once you put money into an investment you’re going to be nervous and anxious about it every single day. Knowing as much as you can about investing is going to help your nerves.

If you can find a way to invest just $100 every few months, you can definitely start to build wealth slowly but surely! It’ll be the best decision you’ve ever made.


#3 – You Must Combine All Finances When Married

I’ve heard a lot of people over the years saying that you must combine all your money when you get married, and you should know exactly where every single penny is spent. I find this to be extremely unhealthy and it also doesn’t teach anybody how to properly handle their own finances.

It is totally acceptable to have 3 bank accounts between one couple! One personal account for each of you, and a joint account. You can use the joint account and that’s where money is transferred to pay mortgages, bills, school bills, etc. This will teach both members of a couple to handle money intelligently and allow both members of the couple to have more freedom.


#4 – Homes Are Always a Great Investment

My entire life I’ve believed that houses are an amazing investment and there’s never a chance that you can lose money if you purchase a home. Ha! Financial crisis of 2008 anyone?

The reality is, there are a lot of situations where real estate isn’t actually a good investment and you can lose all of your money. There are still homes that haven’t gotten back all of their value since the 2008 real estate crash! There were people who were dependant on the value of their home for retirement and are now not doing well.

There is also a possibility for some kind of natural disaster to completely take away your home. I’ve read a bunch of horror stories about people who had minimal insurance and they lose everything in a hurricane. Devastating.

You also have no control over the area around your home. One year you may live in a nice suburban neighbourhood with a home work $500,000. Maybe the next year, the government will build a giant highway right beside your house and the value will drop!

You have no guarantee that your home will actually make you any money.


#5 – You Can’t Go To College Without Loans

Student loans just seem to be a way of life in order to get an education these days. So many of us (including me) leave college with thousands of dollars in loans and no income to pay them back.

There are so many things you can do in order to go to college without having to leave with crippling debt and nowhere to turn. You just need to focus on a goal and work your butt off to make it happen!


#6 – You Won’t Have to Worry About Retirement Before 40

You’ve heard the saying “time flies when you’re having fun”, right? It’s true, time flies. Before you know it you’ll be 65 and be looking at your life in a rearview mirror. Starting to save for retirement now is going to help you build wealth in the long term.

You may not think that investing small amounts of retirement savings now is a big deal, but you need to remember the beauty of compounding interest. It’s a crazy thing when you can earn money from money that you’ve earned through compound interest.

You don’t have to worry about retirement today, but you should. The more money you have, the earlier you can retire and the more comfortable you’ll be.

#7 – The Lower The Credit Limit The Better

Having a $1000 credit limit, but using at least $900 of that limit is not a good thing. If you’re going to hover around $900 for a credit card, you’d be better with a limit around $3,000. Why?

Part of your credit score is calculated using your credit utilization. This takes into account the total amount of credit available to you and is focused on the percentage of your available credit and how much you use.


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Final Thoughts

I really hope this post has shed some light on these 7 financial myths that you probably believe. If you know of any other myths that people believe, leave them in the comments and let me know!

Thanks for reading,

xo Taylor



Taylor O'Halloran

Hey! My name is Taylor O'Halloran and I'm a huge fan of saving money any way I can.I'm obsessed with dogs and I love all kinds of cheese even though my stomach hates it.  I'm a recent university graduate who just wanted to do her own thing and see what happens! Follow me on the journey!


  1. Wew. I have a joint account with my boyfriend as well as a personal bank account for each of us too! Even if we’re a couple, I think we should still save together for the joint one and also separately so that we can learn how to grow our assets as times go by. I’ve also convinced him to start investing in ETFs especially too since we don’t need a huge sum to start investing.

    Thanks for the tips 🙂

    1. Taylor O'Halloran says:

      That’s awesome! I think it’s really smart to have your own money but also work together for the bigger goals!! And investing has to start somewhere! Keep up the good work!

  2. These are really helpful – especially the tip about home buying. My husband and I want more space, but we just experienced historic flooding in areas of our city that never flood (3 times in the past three years actually). Although we want to make the investment, we also feel like there’s a lot of risk and responsibility. Not to say it’s a bad thing to buy a home, but maybe it’s just not for us at this time.

    1. notquiteanadultbiz@gmail.com says:

      Home buying is definitely a case by case basis, I know I won’t own a home in the next 5-10 years! Thanks for sharing

  3. Funny, I feel like I’ve known more couples where the wife manages the finances and the man has no clue where the money goes, but maybe that’s just how it is the majority of the time in my sub-culture? My husband and I have combined finances for the most part, and I do the bill paying, but recently we found it works well for us to each have our own personal spending money. We have separate PayPal accounts with debit cards, and after each paycheck I transfer our spending money to our PayPal accounts so that we each have money that we can spend however we want without even having to discuss it.

    1. notquiteanadultbiz@gmail.com says:

      I’ve noticed that a lot of couples also do it where the wife manages day to day finances, but the husband is usually the one who makes the long term decisions like investing. It’s different for everyone!
      Thanks for sharing 🙂

  4. I didn’t know that bit about the credit limit! Interesting.

  5. I feel like a lot of these myths come to me from my parents. Thank God I realized a lot of them weren’t true before I made a few mistakes.

    1. notquiteanadultbiz@gmail.com says:

      Some of these things used to be true so we believed them when we were told them! Times are changing

  6. Great list! You bring up so many good points that people in general believe. Way to ‘debunk’ them!

    1. notquiteanadultbiz@gmail.com says:

      Thank you so much ☺️

  7. These are such great tips! I really need to spend some time figuring out what I want to do for investments. I’m still fairly young and think it would be great to start saving now!!

  8. Great tips!! However, after being married for over ten years and having all merged accounts the entire time, I believe that getting married means two become one and that included your bank accounts. I am an advocate of each spouse having their own spending money and that finances should be managed together. No one, either the husband or wife, should have complete control or the reigns over their finances.

  9. When someone says they need to have a bigger paycheck in order to save I honestly get a little annoyed lol Anyone can budget and save just a tiny bit each month.

    1. notquiteanadultbiz@gmail.com says:

      I have people in my life that think like this and it’s one of the few times where I’m just quiet haha

  10. You mentioned a lot of valuable information that people just aren’t taught. The earlier you start saving and paying off your debt, the better life will be!

    1. notquiteanadultbiz@gmail.com says:

      You can’t build wealth while in debt! Thanks for reading ☺️

  11. This is great!! It’s all so true! I have been working on my credit for the past ten years-and it’s all finally paying off. I had no one to guide me financially growing up, now I finally see!

    1. notquiteanadultbiz@gmail.com says:

      There’s such little money guidance out there that’s credible! It’s horrible 🙂 thanks for reading

  12. These are so true! I feel like we can never save because we never have enough to save. We merged our accounts the day we got married, and some friends still haven’t done that after years of marriage. I can’t even imagine that. Plus I do all the bills!

    1. notquiteanadultbiz@gmail.com says:

      It really just depends on the person yknow? Some people need their own money or they’ll go crazy!

  13. Financial knowledge is very important. Everyone needs to know it. These are some useful tips!

  14. I did recently learn that its good to have a fair bit of credit , its how you use it that matters.

  15. These are some great tips! I think it’s sad that many college-aged people don’t realize that you don’t need to take out a loan to go to college. In fact, Vanderbilt wants every student to leave free of debt!

  16. OMG this article is a MUST READ. These are SO REAL to many people. Thank you for educating people!!!

    1. notquiteanadultbiz@gmail.com says:

      Thank you so much ☺️

  17. Oh! I love this! I think people should be learn what you mentioned above. I think it has to do with having the mentality to build wealth, but most people don’t. Most people just want to spend all the money without thinking about the future.

    1. notquiteanadultbiz@gmail.com says:

      If everyone had the wealth building mentality then the world would be a much much different place, thanks for reading!

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