Hey there, viewers!
It’s true that money can’t buy happiness, but boy can it help!
Did you know the way you handle your finances says a lot about you?
People who come from rich backgrounds typically spend much more than they need to.
Similarly, people with kind hearts tend to spend money on social causes.
These are just two examples.
We have many more on the way!
So let’s begin with one of the basics!
#1 Your Financial Background
In general, people who come from rich or elite families are used to spending more money.
So when they finally leave their parents nest, they often struggle to make ends meet.
They are usually weaker when it comes to handling financial matters, sometimes turning to their
family for support.
On the other hand, people from lower-middle class or poor families struggle during the
initial stages of life.
This struggle hardens them and turns them into pragmatic people.
Needless to say, they’re usually more mentally equipped when life throws them difficult financial
situations.
A lot of successful people start at the bottom of the barrel.
Celebrities like Eminem and Jim Carrey are great examples.
But not every person who squanders money comes from rich or high class families.
Sometimes even lower class families fall into this habit.
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Coming back to the video, let’s resume where we left off.
#2 Your Personality
Your financial background isn’t the only factor when it comes to money management.
Sometimes, even your personality may be a barrier for not being good with your finances.
If you happen to be a kind and considerate person, you may also find yourself helping
others more than you’d like.
Donating to charity can mean less savings for yourself.
As a result, you may find yourself held back financially.
This may sound weird, but people who aren’t as generous often have more money.
We aren’t saying that you have to be selfish, but going out of your way to help someone
isn’t always the smartest idea.
Especially when funds are scarce on your end.
Help others only when you can.
Since the human personality is a little more dynamic.
Talking about just two personality types won’t be enough.
This is why we are going to dive a little deeper and elaborate on personality types.
The Impulsive Type This describes most people who run out of
dough before the end of the month.
Impulsive people tend to spend more money.
You can usually find them shopping for material items they don’t need.
They also spend a lot of money on food that has little nutritional value.
Some impulsive types also have addiction problems.
They spend a lot of money on things that intoxicate their body.
The Pragmatic Type This is the type that likes to spend money
primarily on things they think are necessary.
They prioritize needs as well as wants, which could benefit them in the future.
For example, they wouldn’t mind spending an extra few dollars on better shoes for themselves.
They would also eat foods that are of better quality and avoid foods that provide little
nutritional value.
They don’t mind spending money.
They just understand the difference between value and worth.
These types of people are usually better when it comes to managing life.
The Economical Type No, we aren’t talking about the miser.
We’ll get there in a minute.
The economic type is rational but only to some extent.
If they are in need of something, they will buy it.
Except they won’t be looking at the quality of the product if the price is cheap.
For them, they don’t mind if something comes at a lesser value.
They would rather just buy, then care about quality.
Sadly, their negligence of quality takes its toll in the long run.
They end up burdened with repair bills.
They may also have big medical bills due to all the cheap food they have ingested over
the years.
The Miser Type This is not the type of person you want to
be friends with.
Forget about you.
They don’t even like to spend money on themselves.
Sadly, they need to pay for the water they drink, food they eat, and the internet they
use.
They’re the type of people who would stop breathing if a tax was out on air.
That is just how they are.
This kind of extremism isn’t very rational is it?
Especially, if you have big goals that require you to invest financially, emotionally, mentally
and physically.
The Goody Two Shoes We have also talked about this one.
While these people are fun to be friends with, they are actually toxic for themselves.
They don’t really understand the harm they are inflicting on themselves by being helpful.
As a result, they often end up with the shorter end of the stick, and find themselves alone
when they need others.
They could avoid it by being a little more cautious about who they are helping.
Sadly, they rarely do that and end up suffering for it.
Apart from that, these people are often a little too laid back and irresponsible.
Alright, we’ve gone through the personalities.
Let’s talk about other factors that often dictate your money spending behaviour.
#3 Your Relationship Status
Many people don’t like relationships due to the amount of money that is often spent.
Your spending habits give away your relationship status very easily.
As a matter of fact, people who are single spend more on things they don’t need.
Meanwhile, people in relationships spend on things that are necessary.
This may seem like a small difference, but it does have an impact on their lifestyle.
For example, if a single person is to survive on their own, they would have to put more
effort into their money management skills.
On the other end, a person in a relationship doesn’t have to worry about that.
Additionally, people in relationships may have a companion with a better grasp of the
economy.
They can teach the other person, and they can work together for a common goal.
Single people only have themselves to rely on so they don’t have that benefit.
One thing that helps single people is that they usually learn from their mistakes quickly.
This helps them to adapt.
#4 The Things You Are Afraid Of
They say when it comes to money, everyone's the same.
Well, not really.
Money can show a person’s fear.
Whether you like it or not, money is tied to anxiety.
Of what you may ask?
Of failing to achieve your dreams, goals and aspirations.
Without money, it’s harder to do those things.
You need it for almost everything.
Yes, it takes guts to start a business.
It also takes cash.
When you realize you may fail to achieve your goals, you do what many people do.
You corner yourself.
You bury your dreams and don’t breathe a word about them for the rest of your life.
#5 Your Past Experiences
We are all different people with different experiences.
Some of those experiences will change the way we live.
For example, if you have been conned by someone in the past, you will be much more careful
with money in the future.
The opposite can be said for those who have had unexpected experiences.
Like someone who has just won the lottery.
As a result, they go on an impulsive spending spree.
A wiser person would go through both these experiences and treat them just the same.
So, how are you with money?
Do you know anyone who is really good at handling it?
How about someone who’s bad?
Let us know in the comments below.
We would love to hear from you!