When we think of finances, we probably think directly of money, numbers, math, and banks, but little of feelings or psychology. Research shows that ten percent of our financial decisions are influenced by our conscious mind and ninety percent by our subconscious mind. Our beliefs about money are also anchored in this subconscious, which have an impact on our money mindset and how we handle money.
Beliefs, also known as affirmations, are nothing more than inner convictions or assumptions about different things, such as people, life or even money, which we believe to be true and are often shaped by our private environment, society and culture. All of our beliefs together make up our mindset, so all our affirmations about money result in our money mindset. Our money mindset is therefore our attitude towards money. This attitude has an impact on how we handle money.
A mindset that is primarily characterized by negative beliefs about money can restrict or block us. Examples of such negative beliefs include:
· “You don't talk about money.”
· “Money spoils character.”
· “Saving means giving up.”
If we have primarily negative beliefs, we are more likely to postpone dealing with our finances, have a more problematic approach to money (such as extreme saving or excessive spending) or focus primarily only on things that are not going well financially right now.
That is why it is important to question our beliefs in order to change our general money mindset and turn it into positive affirmations, such as: “Money helps you go through life with less worries.” or “Earning money means doing something well and correctly.”
Because just because we may have a lot of money doesn't mean that we automatically have a positive attitude about money or that we have good financial well-being.
“I've always had a good relationship with money, even when I barely had any. I was never afraid not to have it and was never obsessed with what I had.” — Oprah Winfrey
As Oprah Winfrey says — regardless of whether she had a lot of money as she did today or little money as before — her attitude towards money was always true. This has almost certainly had a positive impact on their handling of it.
Of course, good, healthy use of money is of course about a financial overview, saving and investing, but also about your mindset and financial wellness.
On the way to a healthier, more positive attitude towards money, which is marked by many small steps and the establishment of routines, inspiring sayings about money that can encourage and empower you, but also wisdom, because we ultimately want to make wise financial decisions. That is why it is also important to take such smart sayings to heart and anchor them in our money mindset.
As already mentioned, if you establish more positive beliefs, this will be less likely to block you in your financial actions; instead, you will take control of your finances sooner and more easily. That may sound absurd to you right now, because you think it's not just because of it, or that it seems to involve more work for now.
However, taking control of our finances gives us a sense of transparency and control and ultimately security and reduces financial stress.
When managing your finances, it is of course important to pay attention to how you spend money.
“If you can't buy it twice, you can't afford it.” - Jay Z
Even if we want certain things, it is not always wise to pursue them or buy them. You'd better wait a few days, and if you still want them, you can save until you can really afford them.
But when spending, also keep in mind:
“Beware of small expenses. A small leak can cause a large ship to sink.” - Benjamin Franklin
“A balanced budget is the key to an adequate income.” — Elizabeth Warren
Even if you can afford things, small spending together can have a big effect. That's why it's important to have a regular overview of your income and spending, and setting budgets can also help you keep your finances under control.
But if you like spending money, then take Waren Buffet's wisdom to heart:
“Don't save what's left over after spending, spend what's left over after saving.” - Warren Buffett
In this way, you pay your future self first and can spend the rest of the money with a clear conscience. Because treating yourself from time to time is just as important and promotes your financial well-being.
But in the end, it's not just about saving your spending, but also about increasing your money in the best case scenario:
The way to get rich is to make money, not save. — Kate Chopin
It is therefore a matter of making your money work for you by investing it.
Investing may seem daunting for now, as a lack of knowledge and the belief that you have too little money are often the main hurdles, and it also requires discipline, but in the end — despite risks — it can be absolutely worthwhile:
“Constant Savings and Boring Profits Make for an Adventurous Life and Exciting Opportunities.” — Jim Brown
“Money is valuable for what it buys, and it buys time, space, intimacy, comfort, and a private corner to itself.” — Mae West
And money also makes it easier to endure bad times, even though we don't want them, of course.
“If money doesn't make you happy, then at least it will help you exercise in comfort.” - Helen Gurley Brown
In the end, money gives us independence and freedom, i.e. the opportunity to shape our lives the way we want.
In the end, all that remains is to say:
“A woman's best protection is a little money of her own.” — Clare Boothe Luce
Even though financial freedom seems like a far-off goal, questioning your own attitude towards money is a first step towards it — just like creating a financial overview. Because achieving this independence is just as much a process as turning our negative beliefs into positive ones.
Do you need help with this? Then take a look at our financial app. In this, you can find out about various financial topics related to your current situation in an individual learning journey and find working material to reflect your feelings and beliefs about money as well as tools for tracking your finances.
By the way...
Even though we paid attention to balance when writing this article, when researching money quotes, the majority came from men, which is a shame, but also shows how masculine the topic of money and finances is still. It's no wonder that financial gender gaps exist. That's why we're going to start today with a quote of our own:
“It is not money that people don't like, but lack of money and the resulting feeling of dependence and financial stress. And here it is not even the amount of money or standard of living that is absolutely decisive, but the feeling of financial well-being. If we have a good overview and control of our finances, it is much easier to like money. Because then we feel independent or are at least on the right track.” — Selina Haupt, Co-Founder Moneten
Or what do you think of:
“Finances are like sport. Sometimes I don't feel like it. But when I do it, I feel good.”
We would be happy if you share your thoughts and quotes about money and finances with us. Feel free to send them to hello@moneten.app