What is a money mindset?

It’s an individual’s attitude towards money, and the driving force, sometimes but not always subconsciously, behind the daily decisions we make about our money.

For example, someone with a scarcity (lack) mindset believes there is not enough money for everyone and that they will never have enough money. This particular mindset shows up through stress, anxiety, hoarding and the idea that they are not good with money or suck at numbers. Do you tense up or get nervous when you ask for a raise or more money for a project? That’s scarcity mindset kicking in! 

On the opposite end of the money mindset spectrum is the wealth (abundance) mindset. People with this outlook on money think there is enough money for everyone, therefore they are allowed and able to earn money. This way of thinking shows up via confidence, generosity, and control — you charge your worth without self-doubt, and you spend freely yet wisely. Have ever had an experience where you were extra generous and gave away money, only for it to come back to you 2-fold/3-fold? That’s how it feels to have an abundance mindset.

Regardless of what your money mindset currently is, it is possible to improve or change it. Here are my three tips: 

1. establish habits around financial literacy

   Start with something easy, like looking at your financial statements or bank accounts even for 5 minutes a week. 

2. Start tracking your expenses

   No need for a fancy or complicated spreadsheet. Gather simple data, be aware, without judgment!

3. Give some money away…

   Generosity does wonders to our mindset. Try giving a little of money or time to your fave charity/cause or offer to pick up the bill at lunch. Simple gestures go a long way!