Why Our Minds Let Us Overspend: 

In my 20 years of banking and investments, I’ve given a lot of people advice and what hurt me the most are the people that would hear me explain EXACTLY what to do to become wealthy but would end up broke anyway. Why? It was all in their money mindset.

The Problem

Even when we are provided with clear financial strategies, many of us still continue our bad habits and lifestyles that lead us to financial ruin or a slow path to wealth.  It’s not due to a lack of information or understanding, but rather a deeper, psychological issue. 

You have a “financial thermostat” deeply rooted in your mind. 

What is it?

The financial thermostat is a level of wealth you’ve accepted based on a subconscious belief system about money that is ingrained in us from a young age. This mental setting influences our financial behaviors and decisions, usually without us realizing it. Here’s how it works:

Subconscious Beliefs: If you grew up in a low-income household, your financial thermostat might be set to a low level of wealth. Even if you acquire substantial funds, your subconscious beliefs can lead you back to that familiar low income level.

Self-Sabotage: These beliefs can cause you to make poor financial decisions, sabotaging your efforts to achieve financial stability or wealth.

Comfort Zones: Our minds are wired to return to what feels comfortable and familiar. If financial struggle is what you know, your mind will navigate you back there, regardless of how much money you make or inherit.

Real-Life Examples

I’ve seen people receive inheritances of $2 million or more, only to see that money “somehow” disappear within 3 YEARS. 

I’ve seen multimillionaires die without allowing themselves to experience what they truly wanted during live because they were so afraid of “using up” their money. Meanwhile, they die with millions in their bank account and their kids don’t care about “using up” the money. 

Their financial thermostat was stuck at a set “temperature”.

The importance of Mindset in managing your finances

Recognizing the role of the financial thermostat is crucial in overcoming financial challenges. Here’s how to start rewiring your mindset:

  • Acknowledge that your financial habits and decisions are influenced by deep-seated beliefs and become aware of what these habits reveal about you. 
  • Change these beliefs by exposing yourself to new financial education, environments, and role models. This will build confidence in your financial decision making.
  • Consistency: Change your financial habits consistently (1 by 1 if needed) to shift your financial thermostat to a higher setting.
  • Use affirmations to reinforce a positive financial mindset. Statements like

 “I am responsible and purposeful with my money”, “I am a master of wealth and success” and “I am fully open to receiving wealth and abundance” can help shift your subconscious beliefs.

Need more ways to ensure your financial thermostat is on track? Buy my book, “31 Badass Money Mindset Affirmations” on Amazon! (Audiobook available too)

  • Surround yourself with financially confident friends/mentors and resources that promote healthy money management habits.
  • Establish and pursue clear financial goals to keep yourself focused and motivated, if they aren’t clear TO YOU it will be harder to create a solid path to wealth.

Understanding your financial thermostat and the power it has over your finances is a game-changer. Remember, true wealth begins in the mind.

Buy my book and reach out if you’re a high earner looking for a strategy to grow wealth, without cutting back on the things you love. 

Disclaimer: The content is for informational purposes only, you should not construe any such information or other material as legal, tax, investment, financial, or other advice. All content on this site is information of a general nature and does not address the circumstances of any particular individual or entity.

Leave a Reply