Common money mistakes

The 10 most expensive financial mistakes – and their solutions:

Mistake 1: not investing ("The stock market is too risky")

❌ €10,000 in a savings book: in 30 years only worth €5,000 in real terms (inflation!)
✅ Solution: ETF savings plan. €10,000 in an ETF at 7%: €76,000 in 30 years

Mistake 2: not having an emergency fund

❌ Unexpected expense → overdraft (13% interest!) or debt
✅ Solution: 3–6 months' salary in overnight money. Save first, then invest

Mistake 3: not filing a tax return

❌ On average €1,095 given away – every year!
✅ Solution: a tax app (€25–40), 30–60 minutes. Always do it

Mistake 4: never comparing insurance

❌ Over 10 years: €2,000–5,000 overpaid
✅ Solution: compare once a year (Check24). Especially car insurance (deadline in Germany: 30 November!)

Mistake 5: overdraft as the normal state

❌ €2,000 overdraft at 13%: €260/year in interest – for nothing
✅ Solution: refinance immediately with an instalment loan (5–7%)

Mistake 6: relying on active funds instead of ETFs

❌ 1.5% TER + 5% front-end load – over 30 years: €60,000 less
✅ Solution: MSCI World ETF, 0.2% TER, no load

Mistake 7: no occupational disability insurance

❌ One in four becomes unable to work in their job. Without it: an €800 reduced earning capacity pension
✅ Solution: the earlier you take it out, the cheaper. At 25: approx. €50/month

Mistake 8: lifestyle inflation

❌ Blowing a pay rise straight away instead of saving it
✅ Solution: 50% of every pay rise into the savings plan. Automatically

Mistake 9: no will/lasting power of attorney

❌ In an emergency your family can't act
✅ Solution: 30 minutes: handwritten will + lasting power of attorney

Mistake 10: not talking about money

❌ The money taboo leads to bad decisions, arguments, financial anxiety
✅ Solution: with your partner: a monthly money date. With children: open conversations