Sometimes we don’t even realize that it’s governing our actions and determining our financial success.
Your money mindset is your ideology about money: how you view money, the cost of items, and how you decide what to buy. They apply to your personal finances and your business.
It dictates what you normally will do with your money and how you spend or conserve it. Determining your money mindset will help you manage your financial behavior for success.
Mastering your money mindset will help you put more money towards financial goals. Of course, having more money helps you reach your goals faster. A business or side hustle is an excellent method to increase your income and achieve your goals.
You fall into one of the below money mindsets or a combination of them.
With the preparer money mindset, you feel successful when you create a budget and write out your financial goals. This makes you feel prepared and in control of your finances.
Individuals with the experiencer money mindset feel successful if they are able to have and enjoy a lot of experiences. They focus on and want to be able to enjoy the now and believe the future will be good.
Those with the planner money mindset feel successful if they have money saved and invested for the future. They are focused on preparing for the future.
Which money mindset do you have?
I am naturally a Preparer. I had to actively research, study and develop techniques and tools to be a well-rounded money and business strategist.
Here are some quick tips to help you work with your money mindset for financial success.
Creating the plan is just the beginning. Remember to take action, assess results, and optimize the plan for better results. Action is needed to achieve your goals.
Add a line item into the budget for experiences. Make sure you can pay cash for everything. Don’t forget about preparing for the future so you can still have great experiences when you no longer work.
Remember to enjoy the now as you invest in your future. Add a category for entertainment for things you enjoy into your budget. Don’t let life pass you by.
You naturally fall into one of the money mindsets, which means a specific financial behavior is easy for you while the others are hard. Actively work on strengthening the financial behaviors that are weak.