4. Tapping savings before retirement

Don’t ever rely on your retirement savings in case of emergencies. Retirement accounts are notorious for penalties when you withdraw too early and you could be losing a big portion of your money in the process. 

Instead, focus emergency funds in another account. That way you’ll have peace of mind without ruining your financial plans for the future. Having a reliable place to pull money from when disaster strikes will save you a lot in the long run even if at first it might seem like you’re putting aside too much.