If buying something wipes out your savings and creates long EMIs, its an illusion, warns CA. 7 mistakes to avoid in 2026

Money struggles aren’t always about how much you earn—they’re about the choices you make with it. For many, spending comes first, and saving comes last, quietly shaping financial lives without them even realising it. As 2026 approaches, CA Nitin Kaushik warns that this small but crucial mistake creates stress, not freedom. From misguided savings tactics to unnoticed liabilities, the real path to wealth lies in habits, systems, and respect for both money and time.

CA Nitin Kaushik recently laid out the financial principles that actually matter going into 2026. He explained that most people don’t fail because of low income—they fail because they spend before they save. Treating savings as an afterthought means that whatever is left at the end of the month is called “discipline,” but in reality, discipline alone cannot replace the order of money. Delayed saving often never happens, and prioritising spending leads to stress down the line.

Set money aside first

One critical shift, Kaushik emphasises, is to set money aside first, not last. Many people fall into the trap of feeling smart by saving small amounts through discounts, coupons, or cashback, but these savings only reduce expenses temporarily. True long-term wealth comes from improving earning capacity, not from optimising grocery bills.

Illusion of ownership

Kaushik highlights a simple but powerful rule to avoid financial regret: if something cannot be afforded twice, it is already a liability. Buying an item that wipes out savings or requires long EMIs creates an illusion of ownership while losing control the moment the purchase is made.

Systematic method to save money

Motivation alone is unreliable, he warns. Some days, enthusiasm for managing money is high; most days it isn’t. Systems matter more than feelings: automated savings, standing investments, and default financial habits help maintain progress even on the hardest days.

Multiple income

Relying on a single income may feel safe until life throws unexpected challenges—job changes, industry slowdowns, or health issues can disrupt plans. Multiple income streams don’t make life flashy but provide calm and security, protecting both financial stability and peace of mind.

Time is expensive

Time, Kaushik notes, is the most expensive asset many people misuse. Unlike money, which can be earned back, wasted time quietly disappears forever. Protecting time is as much a financial decision as budgeting, saving, or investing.

Progress takes time

Finally, Kaushik stresses that wealth-building rarely makes noise. Progress happens quietly, slowly, and without public announcements. Results matter far more than the chatter around them. As 2026 approaches, he reminds readers that those who quietly respect money—and consistently act on it—will be the ones rewarded, not those who talk about it the most.