Money mindset and attitude may just well be the key factors when it comes to succeeding in meeting your financial goals. What exactly is a money mindset? It is the way you think and feel about money. Your money mindset is what leads you to make your financial choices. If you want to make changes in your financial situation then understanding your money mindset is a good place to start.
Understanding money mindset
Our money mindset generally begins with our values. Understanding your core values will help you discover your attitude toward money. If you want to explore your values a little further, you can read my blog linked below.
Below are a few examples of different beliefs about money.
Negative money mindset statements
- There is never enough money
- We are broke
- Money doesn’t grow on trees
- Too much money means you are greedy
- The only way to earn money is to work hard
- I will never get out of debt
Positive money mindset statements
- Money is abundant
- Money comes easily to me
- I can earn money doing something I love
- Money making possibilities are all around
- I know how to manage my money
- There is enough wealth for everyone
Do any of these statements resonate with you? Repeat them allowed. How do you feel?
For example, if you think there is never enough money or money does not grow on trees then you may be a huge saver and not willing to spend any money on frivolous things. If you believe that you would be greedy if you wanted more money then you might be subconsciously crushing any potential for you to earn more income.
On the other hand, knowing that money is abundant and there are money-making possibilities everywhere you are more likely open to seeing opportunities that come your way. Believing that you manage money well most likely results in your budgeting, savings, and spending habits being balanced and working well for you.
Define your money mindset
The following steps will help you define your money mindset.
1. Write down your money mindset statements
Write down all of the beliefs you have about money. Be totally honest with yourself. You can use the examples that I mentioned above or do some research online to see what you can find. Write them all. Do you love money, is money negative, does money stress you out or do you have fun earning lots of money? What is money for? Is it to enjoy life, pay bills, needed to live? Whatever you feel and think about money note it down.
2. Why do you have these beliefs?
If you have a negative feeling about money, write down why. Is it because people fight over it? Is it because everything revolves around it? Whatever the reason, write it down. Do this for each statement you have regardless if it is a positive or negative statement.
3. Where did your beliefs originate?
Try to remember when your beliefs started. Generally, beliefs are formed in our youth so think back to when you were younger and how your family talked about money. Was money tight or was it abundant growing up? Did your parents argue over money or did they communicate with each other how they would manage it? Think about all the experiences you’ve had with money up until now and how they shaped your beliefs. Write all of this down as it is all part of your money mindset.
Put it all together
Now that you have defined your money mindset and realized your relationship with money it’s time to determine if this mindset is working for you. Are you where you want to be financially? If not, what can you do to shift your mindset so that you will be? Chances are that some beliefs work well for you and others don’t. Look at the whole picture and find a balance.
For example
I am a huge saver. This comes from my prior mindset that money does not grow on trees and that I should always be saving for a rainy day. There is nothing wrong with saving, but I was addicted. It was so bad that I didn’t spend money on anything fun. That is not living happily and it is definitely not living in balance. I changed my thinking and told myself that there was an abundance of money and that money was for living and having fun and that I managed my money well and would never get into debt. Guess what? Something amazing happened. I was able to do it all. Not only did I have fun and start spending money on enjoyable things, I was also saving money and I became debt free. I saved more money than I saved when I was frantically squirreling it away and doing nothing.
Keep in mind, nothing changed except my attitude and belief. My job was the same. My pay was the same and my bills were the same. It was all my money mindset. I found a way to make it all happen without resistance and overall my quality of life was better. You can do this too.
In summary
Whatever your financial situation is, your money mindset has a lot of how you arrived there. Of course, there are many circumstances that are not in your control but how you handle them is.
If you like where you are then that is awesome and you have a money mindset that works for you. Keep at it. But, if you are not satisfied with where you are financially take a good look at your attitude about money and start making some mindset changes.
Thanks for reading!
Stay balanced,
Jill