What is the poverty trap and how to understand what you were in it?

What is the poverty trap?

This term was first used in America, he describes is an economic phenomenon, when a person does not see the point in having to work. he is salary too low and how to become richer, is unclear.

Now under the poverty trap understand the wider situation. Even businessman can fall into such a trap.

You will not necessarily earn a little, but you will always have a little of this money.

How to get out of the poverty trap?

1. Change the attitude towards money. Remember that money does not control you, and you money. If you spend the entire salary on entertainment, the first thing worth thinking about the fact that you dispose of them properly.

Efficient handling of the money will allow to increase capital.

2. Consider even the smallest expenses.

Begin to watch your budget, it just seems that the cup of coffee on the way to work will have no impact on your well-being. But when you consider that you allow yourself to coffee on the way to work at least twice a week, then, according to conservative estimates, a month do you spend on him 120 hryvnia.

And if you order a coffee and cake yet? You can easily multiply the sum by two, and already 240 hryvnia flowed through his fingers completely unnoticed.

Counting personal budget does not mean that we should abandon the small pleasures, it will help you understand where you spend money and have their own then decide where you want to save and where do all right.

3. Stop waiting for a miracle.

Remember that your earnings depends solely on you. Do you want to buy something, then make an effort. As a rule, people who stubbornly believe that one day will get rich on their own, do not do anything to become at least a little richer.

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