Mistake 4# Not having the right type, or enough, of life insurance

When you have children or dependents, you should have life insurance, but having a policy that doesn’t suit your needs can be a waste of money. Whole life insurance will cover you for your entire life, but more affordable term insurance which covers you for anywhere from five to 30 years, such as a period when your children will be dependent on you may suffice.

What millionaires do: They work with a financial planner who will evaluate their entire situation. Also, they will try to find out what kind of insurance their company offers.

Mistake 5# Not saving for retirement when you’re employed

It’s easy to come up with excuses for not saving for retirement. But you should be saving for retirement whenever you are making money because there will be a time when you won’t be making any money but you’ll still have to support yourself then.