3 Steps to Creating a Healthy Money Psychology
The psychology of money is like the psychology of anything: when it’s dysfunctional it’s not productive.
Just like we can have toxic relationships with people, we can have a toxic relationship with money. Which means… we won’t make money, and we won’t keep money… because of our mindset, even before our circumstances.
A lot of people say they want to be rich…but in reality, they fear money. They don’t think they deserve it or they’ve seen the negative impacts of money in their lives.
Any fear that you have that is not addressed will impact your life in negative ways.
The same goes for money.
The only way to resolve this and move forward is to confront your psychology and reflect on it. Otherwise you will never be able to grow wealth. Someone could hand you the perfect system to teach you how to be rich (and I have one!)… but if you have issues around money, it won’t matter what opportunity lies in front of you, you won’t be able to take advantage of it to its potential – or yours.
Here are 3 ways to expose your own money psychology blocks…
Step 1: Look for patterns.
People who have a fear of going outside know that they have an issue in a society that’s not agoraphobic. It’s obvious. With money it’s not so obvious.
We all have a psychology around money. But because we don’t openly talk about it, we don’t realize that we have hangups — hangups that keep us from being able to earn enough, save, invest, and know our value in the market place.
The first step is to look at your spending behaviors. Where you spend money identifies where your values are.
What do you spend your money on? How often? Why? Look for patterns in your spending that might help you figure out why you struggle to build wealth.
Step 2: Identify the source.
Most of what we know about money, we learn by example, from our families, our culture, the society we live in.
But our culture has money issues. If you look at your parents or grandparents, you might see where your money issues come from. Are they in a good situation? Likewise, you’re the source of money learning for your kids. Is it good enough for them?
Once you’ve recognized patterns in your spending, try to think about why they’re there. Where did you learn about money? Who taught you? How was it talked about? Understanding why you might have certain spending habits will help you to make important changes.
Step 3: Seek Help.
Money hangups are real. But ignoring them won’t make them go away, or make them get better.
I’ve had many great therapists in my life that have helped me conquer many demons inherited from a very rough childhood. Because I tackled those and got great help, talked about it, learned new coping skills, I’m happy, I’m healthy, and I have very close, healthy relationships that wouldn’t have been possible had I not had help to work through it.
Money is one of those areas that people are afraid to talk about. Outside of complaining about it, many people feel too ashamed of their money situation and just avoid it altogether.
If you needed expert nutritional advice, you’d consult with a nutritionist. If you needed a fitness program, you’d consult with a personal trainer. If your dog has bad manners, you hire a dog trainer. We don’t hesitate to hire experts to give us knowledge that we don’t have in other areas – so why not money.
If you’re struggling with your financial picture. If you have trouble figuring out what money advice to follow. If money seems like a foreign language and is overwhelming…consult an expert.
Enlist the help of a money mentor. Take money courses. Read books. Attend workshops. Whatever route you choose, get help. Address it. Talk about it. Because if you have money issues that go unaddressed, you’ll never build wealth.
You’re not alone if you didn’t get the best money advice growing up. It’s almost uncommon to have been given a solid financial framework and perspective about money. It’s one of those essential life skills that you’re expected to just figure out on your own. As a result, your psychology and mindset might be a bit flawed. You’re in good company. Your first step to building wealth is to identify what money myths you’ve bought into, what money beliefs are holding you back, and doing the work to correct them.
You can get more money tips and teaching in my private Facebook group – click here to join. For step by step money coaching that includes reforming your money psychology and adds a skillset and system for how to create a 7-figure net worth, sign up for the Mindful Money course.