14 Money Mistakes That Are Keeping You Broke” — Dr. John Mining Warns

  

In a recent public lecture on financial literacy, renowned economist and financial educator Dr. John Mining outlined 14 critical money mistakes that, if avoided, could dramatically improve the financial standing of individuals and families across the region.

Speaking to a packed hall of entrepreneurs, students, and civil servants, Dr. Mining’s words were blunt but insightful: “Most people are not poor because they don’t make money — they remain poor because of what they do with it.”

Here are the 14 money mistakes Dr. Mining says are silently draining people’s pockets:

1. Borrowing to Start a Business

Dr. Mining cautioned against taking loans to start businesses, especially high-interest loans. “Businesses take time to grow. If you're repaying a loan before profits come in, you're headed for stress and possible default,” he said. He advises only borrowing to grow an already stable business, not to start one.

2. Spending Money You Haven’t Received

Promised money is not money in hand. “Never spend based on a verbal promise. Wait until it’s in your account,” Dr. Mining warned. Financial discipline begins with real, not imagined, income.

3. Saving After Spending

One of the most common mistakes is waiting to save what's left after spending. “There’s usually nothing left,” he joked. He urged the audience to “save first, spend later,” and recommended using dedicated savings platforms like investment clubs.

4. Asking Rich People for Money, Not Ideas

“When you meet a wealthy person, ask for ideas, not handouts,” Dr. Mining said. People who show initiative are more likely to be supported in meaningful ways — even financially — but only after proving their value.

5. Keeping Your Seed Instead of Planting It

Saving is not enough. “Money kept idle loses value to inflation,” he warned. Instead, people should look for investment vehicles — not necessarily businesses, but low-risk, long-term investment options that grow wealth over time.

6. Lending Money You Can’t Afford to Lose

“If you’ll lose sleep or a friendship over unpaid debt, don’t lend,” Dr. Mining said. Only lend what you can emotionally and financially afford to lose.

7. Guaranteeing Loans You Can’t Pay

This one was direct: “If you can’t pay the money yourself, don’t guarantee it.” Financial guarantees should only be extended where full responsibility can be assumed without resentment or regret.

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8. Carrying Too Much Cash

Avoid moving with large sums of money you don’t intend to spend. “It invites temptation and unnecessary spending,” he noted. Stick to a strict cash plan to maintain discipline.

9. Storing Money in Unsafe Places

From hiding money in socks and bras to under mattresses, Dr. Mining called these “financial suicide spots.” Not only is the money insecure, it also earns nothing. Use banks or mobile money accounts instead.

10. Spending on What You Can Live Without

“Before you buy anything, ask yourself — what happens if I don’t get this now?” Dr. Mining urged. If the answer is “nothing,” then walk away. It’s discipline, not income, that builds wealth.

11. Trying to Look Rich

Overspending to impress others — like buying expensive shoes when cheaper alternatives exist — is a fast way to stay broke. “Looking rich is not the same as being rich,” he cautioned.

12. Playing the Saviour

“You’re not Bill Gates — yet,” he quipped. Dr. Mining advised people to grow their capacity to help first before trying to support everyone financially. “Help when you can, but don't bleed yourself dry.”

13. Spending All or More Than You Earn

Dr. Mining used a memorable analogy: “It’s like having a tank with a small inlet and a large outlet — it will never fill.” He urged constant effort to widen income streams and shrink unnecessary expenses.

14. Ignoring Balance Between Short and Long Term Needs

Using the example of “Lydia,” a woman who owns 30 acres of land but cannot feed her family, Dr. Mining emphasized the importance of balancing short-term liquidity with long-term investments. “Land is great, but you still need cash to live.”