Money is the life-blood of every start-up. Without it, your beautiful and promising idea may not see the light of the day. Even though you have money, without the right mindset, your business will always struggle financially. In this article, I will walk you through the best ways to change your money mindset.
Your money mindset is the overriding attitude you have about your finances. Surprisingly, it affects how you make important financial decisions. And if you don’t have the right mindset about money, it could mar your ability to achieve your financial goals.
However, people with a great money mindset always make smart financial decisions.
Unfortunately, many people are struggling financially. Not because they don’t earn enough income, but because of their money mindsets. And this mindset shapes their beliefs about money.
If you have the right attitude towards money, you will always spend less than you make, invest more for the future, and avoid buying stuff you don’t need.
Here are ways to change your money mindset and become financially stable.
#1. Read Personal Finance Books
One of the ways to change your money mindset is to read personal finance books. You will always think the same way for years to come unless you read new books and meet new friends.
When you read a new book, your brain has the chance to grow quickly. And there are several thought-provoking personal finance books out there that could change your money mindset.
These books are an eye-opener. They can take you out of the rat race, and help you achieve great wealth. Curious to know these books, aren’t you?
Here are some of the best personal finance books of all time that will change your money mindset.
- The Richest Man in Babylon – George S. Clason
- Rich Dad, Poor Dad – Robert Kiyosaki
- The Millionaire Fast Lane – MJ DeMarco
- Your Money or Your Life – Vicki Robin
- The science of getting rich – Wallace Wattle
- The Millionaire Next Door – Thomas J. Stanley and William D Danko
- Total Money Makeover – Dave Ramsey
Try to read any of these books, and you will have a refined mindset about money and how to manage it better.
#2. Unlearn All the Things You Know About Money
One of the effective ways to change your money mindset is to unlearn all you know about money. Of course, this may not be easy. But it’s possible.
All you have to do is reflect on your life up to this moment and ask yourself the following questions;
- What was my mentality about money when I was growing up?
- Which of my parents’ spending habits should I replicate?
- Which of your parents’ spending habits do you want to do differently?
Write down the answers to your questions and figure out the changes you need to make. This will help you unlearn some of the misconceptions you know about money.
#3. Write Your Money Story
The truth is everybody has a money story. And one of the ways to change your money mindset is to understand your money story.
Your money story is your personal narrative about money. Interestingly, it’s this narrative that makes up your beliefs, thoughts, and beliefs about money. And this will affect your financial behavior.
So, when writing your money story, ask yourself the following questions;
- What’s your current struggle with money?
- What are you currently working on and what are your possible areas of resistance?
- Again, try to know your thought pattern around money.
- What is your existing mindset about money?
The answer to these questions will help you to reframe your money mindset. For instance, if your parents always told you that money is the root of all evil as a child, it will affect your money mindset.
But when you write your money story, you will unconsciously change your money mindset.
#4. Stop Thinking About Your Past Money Mistakes
One of the ways to change your money mindset is to stop thinking about your past money mistakes. Nobody is infallible. And we all made mistakes in the past that we aren’t proud of.
However, it’s never a good idea to think about your past financial mistakes. It won’t change anything. In fact, it will only make things worse and give you a negative mindset about money.
Instead of ruminating about your past money mistakes, learn from the experiences, and make your future financial decisions based on this experience. And if you continue on this path, you will change your mindset about money for good.
#5. Track Your Mood
This may be a bit strange to you, but tracking your mood is one of the ways to change your money mindset. Ordinarily, the first law of personal financing is to track your expenses and stick with your budget.
But it’s also essential to track your mood; it will help you spend on things that are actually valuable to you.
You can achieve this by recording all your spending in a journal for 30 days. And whenever you spend money on something valuable, write down how you feel close to the purchase.
Your financial stability has nothing to do with how much you earn. It’s the mindset you have about money. So, if you want to be stable and achieve your financial goals, you should change your money mindset.
Of course, you can’t change your money mindset overnight. It’s a gradual process that requires the willingness to unlearn some of the things you know about money. And once you apply some of the tips shared in this article, you tend to reframe your money mindset.
Tycoono Media Inc. and its affiliates do not provide tax, legal, financial or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal, financial or accounting advice. You should consult your own tax, legal, financial and accounting advisors before engaging in any transaction. Please refer to our disclaimer for more information.