9 Money Mistakes That Keep Smart People Poor

Intelligence doesn't guarantee financial success. In fact, many highly educated and accomplished individuals struggle financially due to common money mistakes. Here's how to identify and correct these wealth-killing errors.

1. The Status Trap: Lifestyle Inflation

The Mistake

Increasing spending to match or exceed income growth, often driven by professional expectations and peer pressure.

The Real Cost

- 40% of income going to luxury items
- Minimal wealth accumulation
- Reduced investment potential
- Growing consumer debt
- Delayed financial independence

The Solution

- Live on 60% of income increases
- Automate savings from raises
- Focus on building assets
- Question status purchases
- Develop clear financial goals

2. The Education Obsession

The Mistake

Accumulating excessive student debt for advanced degrees without clear ROI analysis.