Everybody makes mistakes — it's how you fix those mistakes that counts!

That's a lesson you probably learned by the time you were 5 years old, and one you'll probably learn again and again throughout your life.

But, wouldn't it be better to avoid mistakes in the first place?! In the spirit of learning from the mistakes of others so you can avoid making them yourself, here are five financial mistakes we've seen people make. Take these lessons to heart!

Mistake #1: Ignoring your finances!

It's surprisingly common for people to go about their everyday lives without giving much thought to their finances. They may not really keep track of how much money they have in their checking and saving accounts, or ignore bills piling up, or not worry about their credit score. Unfortunately, when it comes to money, ignorance is NOT bliss.

To avoid this mistake, assess your income, expenses and savings on a regular basis. Creating a budget can help you get a handle on your financial situation, and that will help you make informed decisions about your spending habits. Not sure where to start with making a budget? Make an appointment with a qualified financial advisor who can help!

Mistake #2: Not saving for retirement!

When you're young and retirement seems SO far away, it's easy to put off saving for retirement. But months turn into years and before you know it, you're thinking about where you want to spend your golden years.

This is an easy mistake to avoid. When you're young, you have time on your side. Start saving for retirement as early as you can, even if it's not a lot, so your savings can grow into a nice little nest egg by the time you're ready to exit the workforce. There are easy ways your employer or your credit union can help automate savings for retirement, and it's usually as easy as filling out a piece of paper. Don't delay!

Mistake #3: Avoiding the money talk!

We get it — money can be a really sensitive topic! But not talking about money with your life partner, your kids, your parents or your business partner can lead to big, unpleasant surprises over time.

Don't let money be the elephant in the room! It's important to have open and honest discussions about money. This includes talking about shared financial goals, spending habits and even conflicts surrounding money. By establishing open lines of communication, you can work together to create a financial plan that advances everyone's interests. Regular conversations about money can also help to build trust, ensure financial transparency and avoid financial burdens.

Mistake #4: Spending too much!

Whether it's a daily latte habit or spending money on a much nicer car than you need, spending too much can really put you in a bind when an unexpected expense comes up.

There's nothing wrong with spending, as long as you're also saving! It's best to have an emergency fund of 3 to 6 months of living expenses in case you lose your job or have a sudden, big change in your life. You may also want an emergency fund for surprise car or household repairs. That way, you can avoid putting those bills on a credit card that you end up paying interest on!

Mistake #5: Not having enough health insurance!

Health insurance is expensive, and it can seem like a waste of money if you never need it or use it. If you're young and healthy, it's especially tempting to choose the cheapest possible health insurance plan, or skip it entirely. Unfortunately, medical debt is the most common reason people have to declare bankruptcy — and that's not an easy, pleasant or good thing to do.

It is very short-sighted to live without adequate health insurance. Just one hospitalization for a broken bone can steer you off your financial course. Health insurance is not optional. The cost may seem prohibitive, but it comes back to priorities and future planning. Talk to your employer or an independent health insurance agent to make sure you're covered.

No matter what mistakes you made (or are trying to avoid!), CommonWealth One is here for you, for life. Don't hesitate to come to us with your financial problems and we'll be happy to set you up with a certified financial counselor, an investment professional or any of the financial tools you need to ensure you have a happy, healthy financial life. We're always just a phone call (or an online chat) away. Thanks for being a member!