If you want to achieve your financial goals, you may find it helpful to first look at how you behave towards your finances and further, explore why you behave as you do. Self-awareness is key to reaching all goals and your financial goals are no different. It’s important to establish and clarify where you are starting from, in order to move in the direction, you hope to go.
What motivates you financially? Are you safety motivated? If so, you are likely a saver. Are you a dedicated shopper, always on the hunt for bargains? Ask yourself, why do you spend and what might motivate you to save.
What is your first reaction to learning that you have extra money? Do you happily stash it away or immediately begin to spend it in your mind? There are no right or wrong behaviors. There are just tendencies to be aware of and how they help or impede your chosen direction and goals.
What did your childhood teach you about money? Was it regularly discussed or was it a hush hush topic? Were things tight in the home or did money flow easily. It can be helpful to examine what you learned and how you felt about money as a child. Upon examination you may find childhood attitudes still make sense or possibly are not realistic to your present situation and can be discarded.
Feelings, attitudes, learned behaviors, all affect how we manage our financial lives. If you’re not happy with the direction your finances are heading, taking stock can help you become more aware of the how and why you are making your choices and help you to course correct as needed.
The information in this article is a compilation pulled from a variety of sources. The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing.