Money is everywhere. We earn it and we spend it. And some of us wonder where exactly it went! Ever considered the fact that you actually have an attitude towards money? And this money attitude impacts directly on your behavior and ultimately your financial wellbeing. Some of us are our own worst enemies when it comes to this…
So what is money attitude? Quite simply, it’s the way you think and feel about money. Is it something you cherish, does it burn a hole in your pocket, do you fear running out of money, are you driven to earn more than your friends or do you give money away freely to those less privileged. All of these aspects, and others, indicate your attitude towards money. Some of it we learn from our parents, others from experiences as we journey through life.
Why bother to think about it, you may ask? Well, because attitude determines altitude. A healthy attitude brings financial freedom and success, whilst a negative or unhealthy attitude will just bring financial woes.
Consider the following:
Are you a spender or saver?
Do you save up for an item and then buy it, or do you buy it (whether you have the cash or not) and then worry about paying for it later? Do you buy on impulse, or plan your purchases in advance? We all tend to lean one way or the other, and it’s never healthy to be at the extreme. Life is about balance – enjoying what today has to offer but also being mindful of our needs of tomorrow. In marriages great stress is often placed on the relationship when the two partners have different views on this aspect.
Are you driven by money?
Is it important to you to have money and the trappings of success? Society and the media tells us how success is defined – largely through material possessions. We easily label people ‘losers’ just because they have not achieved great financial success, but they might have achieved success in other areas such as contribution to society or family. We all need enough money to be comfortable, but be mindful of judging yourself (often too harshly) on financial achievements. Find you purpose and passion in life, and judge yourself against that.
Do you think rich or think poor?
Ever known a really wealthy person who drives an older model car and lives conservatively? The so-called ‘old money’ people. Called that because the belief is that they were born into money, so don’t need to be flashy about it. Then you get the ‘nouveau riche’ (newly rich) who flash everything. Rich people take money seriously. It’s not about having millions, it’s about working carefully, investing correctly, and making that money grow. Even millions can be lost in a space of months or a few years. Just think of how many lottery winners have blown their winnings, and ended up broke. So, by respecting your money and taking it seriously, you will behave rich and get rich.
A healthy money attitude:
- Value your money and income like you would any other asset
- Treat it with respect – think carefully before you part with it
- Budget and know where it’s going
- Think about what return you will get on that spend – maybe it’s just compliments paid for the new dress, but there must be some return
- Don’t spend tomorrow’s money today – debt is a losing game
- Balance today with tomorrow. Your income will end – save for that day
Attitude influences decisions. Change your attitude, change your life!
