5 Money Mistakes That Will Cost You — Even If You’re Doing Well Right Now
Most people think major financial mistakes happen to “other people”…
But the truth? Even disciplined planners and high earners fall into these traps. You can have a great income, a solid investment portfolio, be detail-oriented, and still have cracks in your financial plan. The problem isn’t intelligence—it’s focus. Life gets busy, complex, and important details slip through the cracks.
These are the five oversights we see most often—and how to fix them before they set back (or at worst derail) your goals.
1. Ignoring Taxes Until April
If your first real look at taxes happens around filing time, you’ve likely missed valuable opportunities. Smart tax planning happens all year long—things like strategic Roth conversions, tax-loss harvesting in volatile markets, and charitable giving strategies can reduce your tax bill while supporting causes you love. Think of tax planning as a 12-month process, not a 2-week sprint. If you aren’t getting this type of support from your tax advisor or financial planner, it may be time to evaluate those relationships.
2. Not Having a Spending Plan
Even high earners can watch wealth slip away without realizing it. We’d argue that the risk of this is much greater for high earning households. A spending plan isn’t about restriction—it’s about clarity. When you understand where your money goes, you can direct more toward goals like early retirement, college savings, or meaningful experiences. Many clients are surprised at how empowering it feels to have their spending aligned with their values and to know every dollar is going for the most important things.
“A spending plan isn’t about restriction—it’s about clarity. ”
3. Delaying Estate Planning
No matter your age or stage of life, having no will or healthcare directives is risky. We often hear, “I’m too young for that” or “I’ll wait until I have more”. Life is unpredictable. Having a will, powers of attorney, and healthcare directives in place ensure your wishes are honored and your loved ones are spared difficult decisions. Estate planning is an act of care, not just a legal necessity. We also advocate for clients putting a heartbeat to their plan and communicating feelings and family values that go beyond money and legal documents.
4. Overlooking Insurance Gaps
You might have some auto and health insurance, but what about life, disability, or an umbrella policy? One accident, illness, or lawsuit can unravel years of progress. Reviewing coverage annually helps ensure your protection grows alongside your life and assets. It’s not just about having insurance—it’s about having the right insurance in the right amounts for the right price.
5. DIY Investing Without a Strategy
It’s tempting to chase the latest hot stock or react to headlines. But investing without a clear, written plan often leads to emotional decisions that hurt long-term returns. A disciplined investment strategy—aligned with your goals, timeline, and risk tolerance—helps you stay the course when markets get noisy. We use a strategic approach that helps investors methodically buy low and sell high on repeat without speculating on market movements.
Final Thought
Avoiding these mistakes isn’t about perfection—it’s about being intentional. A solid financial plan weaves together taxes, spending, estate documents, insurance, and investments into one cohesive picture—so your money works for you, not against you.
Take Action - Want a second set of eyes on your financial plan? Thinking about having a partner to help you make the most of your opportunities? Let’s talk through what might be missing for you.
