George Kamel: Saying ‘Yes’ to These 11 Things Will Make You Broke

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Money expert George Kamel tracks what experts and internet personalities say about personal finance, helping his audience separate fact from fiction. He recently made a YouTube video based on an article about 11 purchases that he believes keep people broke. 

According to a MarketWatch survey, 48.6% of Americans consider themselves to be “broke.” Kamel looked at 11 questionable purchases a Your Tango article pointed out to help these consumers and anyone else who feels that their spending habits hold them back.

1. Every Social Invitation

Kamel agreed that saying yes to every social event can keep you broke. Everyone needs friends and a healthy social life, but that doesn’t mean opening your wallet for every night out.

Instead, Kamel urged, “Surround yourself with the right people. They’re not always going to be trying to go out and spend money, because they also have financial goals.” If you find friends who can have fun on a budget, your social life and bank account can be healthy.

Read Next: 6 Things You Must Do When Your Savings Reach $50,000

Learn More: 8 Smart Ways Frugal People Are Living Like There’s Already a Recession

2. Buying Purely Because ‘It’s on Sale’

Marketers know how to make a sale look tempting, but that can lead to uncontrolled spending. Plus, those sales may not be as good as they appear. LifeLock by Norton confirms what Kamel said in the video: Many unethical retailers will inflate the original or suggested price of an item to make it appear to be on sale.

3. Taking Every Upgrade

Upgrades are everywhere in consumer culture, from add-ons in e-commerce to flashy new versions of your current smartphone. It’s easy to default to the upgrade and treat yourself, but Kamel has a more wary attitude. He suggested only getting the upgrade if it’s necessary and provides genuine value. 

4. Lending to Friends and Family

Lending money erodes trust and changes the dynamic of social relationships. Kamel has seen it happen repeatedly as a host on “The Ramsey Show,” and he recommended people avoid it entirely.

As an alternative, Kamel suggested replacing a loan with one-time gifts covering specific needs.

5. Eating Out Frequently

One survey showed that spending on restaurants increased by 15% from 2023 to 2024, with 55% of respondents preferring dining in over takeout. That adds a significant amount to a person’s food budget, given the markup restaurants have to charge to stay in business. As Kamel reminded his audience, it’s cheaper to eat at home, and it doesn’t have to take all day. 

6. Accepting Every Credit Offer

Credit and buy now, pay later programs make it easier for people to overspend. Research shows that deferred payments make spending less painful. This mental separation distracts us from the long-term consequences of spending, making it easy to buy on impulse.

Discounts and credit cards aren’t worth the danger of debt, Kamel said. It’s safer to stick with debit. 

7. Buying Online Impulsively

Online shopping makes impulsive spending easier, especially when algorithms have learned a lot about you. “They know what you like,” Kamel said. “They know what you’re insecure about, and they will find a product to make you feel better about it.” Limit your scroll time, and you limit your temptation.

8. Picking Up the Tab

Whether you’re treating your friends or avoiding the hassle of tracking down everyone’s share, covering the bill can drain your bank account. Instead, Kamel suggested, agree at the start of the meal to split the check.

9. Purchasing Extended Warranties

Warranties may feel like protecting your investments, but Consumer Reports states that they’re rarely worth it. Kamel agreed with the Consumer Reports recommendation: Put that money into a savings account to cover repairs. More importantly, take care of your belongings.

10. Bending to Peer Pressure

Kamel believes that peer pressure comes from the environment you create. He suggested opting out of social circles built around impressing each other. Instead, surround yourself with people who don’t guilt you when you say no to a purchase.

11. Spending More With Every Raise

It’s tempting to live more luxuriously as your income increases. Money experts call this “lifestyle creep,” and it’s understandable. You’re tired of living on the cheap, so you spend your higher salary on conveniences. You tell yourself that you deserve it.

“You deserve a lot of things,” Kamel argued. “You deserve peace. You deserve freedom. You deserve options.”

Instead of spending yourself into being broke, consider putting that money toward your financial goals. Create a budget and use your additional income to pay off debt, build your emergency fund or increase your investments.

By prioritizing your goals and financial health, you can avoid the traps that keep others from getting ahead.

LifeLock by Norton and GOBankingRates are both owned by GenDigital. The findings expressed in this article are based on publicly available data and independent analysis.

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This article originally appeared on GOBankingRates.com: George Kamel: Saying ‘Yes’ to These 11 Things Will Make You Broke