How does our relationship with money shape our financial goals? How does the way we perceive wealth and success impact our sense of worth? Is it possible to reverse unhealthy money habits and thought patterns? In this episode live from Morton Wealth’s 2024 Investor Symposium, Modearn™ Advisors Patrice Bening, Jenn Caruso and Brittany Yudkowsky explore the complex emotions that make up your “money mindset,” and the power your attitude toward money has on your future.
Here are some key takeaways from their conversation:
- According to studies by Cambridge University, money habits and thought patterns are typically established by age seven, influenced by family and childhood experiences.
- There are four primary money scripts/mindsets: money status, money focus, money avoidance, and money vigilance.
- People with a money status mindset generally link their self-worth to their net worth and are more likely to overspend.
- People who are money focused view money as a path to fulfillment and freedom, which sometimes leads to compulsive spending/overspending.
- Money avoidance means you have a negative view of money and believe it is bad, often avoiding financial management and conversations about money.
- People who have the vigilance mindset usually prioritize saving but could often feel anxiety around spending and are reluctant to enjoy their savings/wealth.
- Brittany, Jenn and Patrice agree that money scripts can evolve over time due to life events and maturity. When you understand your money mindset, you can also be aware of any unhealthy habits you may have and work to reverse them.
- It is crucial to identify your personal values and spend your money accordingly to enhance time, meaningful experiences, and fulfillment. It is also important to focus on personal goals over societal comparisons.'
