We all have things we tell ourselves about money, and they can have more of an impact than we realize. No, this is not an article that is going to teach you how to manifest money and become super rich simply by thinking positively about it. If only it were that simple. Unfortunately, positive thinking will not conjure money out of thin air. However, I recognize that some beliefs about money can make any money problems we have worse, and that understanding those beliefs can be a small part of improving specific aspects of our personal finances.
I first came up with the idea of ”money scripts” through Dr. Brad Klontz, a financial psychologist, author, and journalist who has many ideas about money, some of which are very sensible and some that are too simple. I decided to do some digging and ended up with a full report informing me that I am very high on money focus and money vigilance, and low on money avoidance and money status. I can’t say I’m surprised.
Can it be helpful to know your money script?
It probably can. Money scripts, according to Klontz, are often unconscious, learned in childhood and passed down from generation to generation. He also claims that they are responsible for our financial results, which is what he and I will have to agree to disagree on. I believe there are dozens of things that are responsible for our financial results, and our money scripts are one small piece of the puzzle. However, they are an important piece of the puzzle for some people.
Here are the four main “scripts” or money styles we usually adopt.
avoid money
If this is your script, you tend to believe that the rich are corrupt and that there is virtue and morality to be found in having little money. You don’t really want to deal with money, and you certainly don’t like budgeting, investing, or planning for your financial future. Striving to “make more money” or “build wealth” feels morally wrong to you.
Flipping your evasion money script: While the world’s billionaires can indeed be quite corrupt, stop worrying as you’re unlikely to ever join their ranks. Avoiding everyday money decisions will likely harm you, your future, and the future of those who depend on you. It’s time to start seeing money as a way to do good in the world, to give yourself and those around you more choice and freedom. Money isn’t bad. It’s not good either. Money is neutral. Having more of it doesn’t have to change who you are.
Money focus
Those with a high money focus tend to think that money is the key to happiness and the solution to all their problems. This may seem like a reasonable belief in a world where almost any problem can at least be fixed if you have enough money. But those with a money focus script are more likely to have lower net worth and carry credit card debt. Presumably they spend on all those things that will make them happy in the end.
Flipping your money focus script: Seeing money as the solution to all your problems is actually not that bad. As the old saying goes, whoever said money doesn’t buy happiness just didn’t know where to shop. Money may not literally buy happiness, but having money can certainly make life easier, less stressful, happier and healthier. But having money is key. Don’t spend it. I still have a high focus on money, but I’m focusing on trying to create a life where I have enough money to deal with the problems that life throws at me. I don’t try to make myself happier by spending money on material things that don’t solve my current problems.
Money status
Those with a money status script tend to believe that wealth equals self-worth. They prioritize conspicuous consumption and an outward display of wealth. They often grew up with relatively little money and they feel condemned for it. A money status script is associated with overspending, excessive gambling, being financially dependent on others, and hiding expenses from the partner or spouse.
Flipping your money status script: It can be hard to separate material wealth from self-esteem, especially in a society where the two are so intertwined. Success in America is still largely determined by how much you earn and how much you have, even though we all know that other things like family, friends and health are much more important. There are no shortcuts with this one, but working on your own inner confidence is a good place to start. As Ben Le Fort explains, it takes a lot of confidence to be frugal.
money vigilance
The money-watching crowd is alert, vigilant and concerned about their financial health. They are less likely to buy on credit and are more likely to be discreet about their financial status towards others. Vigilance with money results in saving, frugality and generally being financially healthy, but can also lead to undue anxiety that can prevent people with this money script from enjoying the benefits money can provide.
Flipping your money vigilance script: As someone who ranks very highly on this, I know that flipping the script is important, although being vigilant with your money doesn’t seem to be that harmful. Money is for spending and enjoying, not hoarding for fear of a rainy day. Of course it will rain one day. That’s why we vigilant people have insurance, emergency funds, HSAs and other resources because we worry too much about the possibility of not having enough money. Money is also there to have fun with. If you have trouble with that, don’t forget to put some nice money in your monthly budget.
So what’s your script? Avoidance, status, focus or vigilance? Whatever it is, being aware of it will help most of us better deal with some of the issues that crop up around personal finances almost every day.
About the author
Karen Banes
I am a freelance writer specializing in online business, personal finance, travel and lifestyle. I also work as a hired content creator, helping brands and companies tell their stories, grow their audience and reach their ideal customers. I have lived, worked and studied in six countries on three continents. Visit my blog TheSavvySolopreneur.net to learn how to run your own (very) small business on your own terms. You can also contact me on my website KarenBanes.com or follow me on Medium.com.
This post What Is Your Money Script And Should It Be Flipped?
was original published at “https://wealthtender.com/other/whats-your-money-script-and-does-it-need-flipping/”
