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How to Build a Powerful Money Mindset

Tools you can use to create a powerful money mindset

How to Build a Powerful Money Mindset

Your money mindset is everything. It’s a pillar in the foundation of who you are and how you approach every situation. For many, mindset seems like rainbows and unicorns but it’s a real factor in your financial success.

I see it all the time with clients. A negative money mindset is often the root of peoples’ financial problems or it’s an issue holding them back from financial goals. Not having a good mindset leads to doubt, avoidance, or even worse giving up. A poor money mindset can be double trouble for couples.

Financial success begins with your money mindset. Before you can make your financial situation better you have to get in the right headspace. If not, you could end up sabotaging yourself. There needs to be a little self-awareness to set yourself up for success.

Here are the five ways to build your positive and powerful money mindset.

  1. Understand What a Healthy Money Mindset is
  2. Change Your Mantra
  3. Get Some Perspective on Your Situation
  4. Don’t Compare Yourself to Others
  5. Money Mindset Exercises

Mindset Foundation

Have you ever heard of the word “Invictus?” It’s Latin for “unconquerable” or “undefeated.” Most people know it from the poem Invictus by William Ernest Henley. It’s a poem I love because it’s all about inner strength, or better know as mindset!

Invictus

Out of the night that covers me,

Black as the pit from pole to pole,

I thank whatever gods may be

For my unconquerable soul.

In the fell clutch of circumstance

I have not winced nor cried aloud.

Under the bludgeonings of chance

My head is bloody, but unbowed.

Beyond this place of wrath and tears

Looms but the Horror of the shade,

And yet the menace of the years

Finds, and shall find me, unafraid.

It matters not how strait the gate,

How charged with punishments the scroll,

I am the master of my fate:

I am the captain of my soul.

William Ernest Henley

The last two lines of that are my favs. I often use them in my personal and professional life. But I’ve translated them a little. Instead, I say, “I’m the master of my fate and the captain of my ship.”  Because I AM the master of my own fate and the captain of my ship. I set the course for how I live my entire life. And,I choose to find the positive and when I’m challenged in life, I choose to be “undefeated.”

Money Mindset Tips

What I mean is, when I am challenged I try to find a way for success. It may not be the plan or path that I want to take but I try to find another way. Instead of folding like a lawn chair when I’m challenged, I try to figure a way forward.  And that’s where your headspace needs to be for financial success, “undefeated.” Think, “I won’t be defeated when it comes to money, I’ll find a way.”

Because your money mindset is the steering mechanism for your entire financial ship. And if your steering is messed up, you’ll not only be going the wrong way, you’ll always struggle to get back on course. That’s why making the effort to maintain a positive mindset is crucial.

So before you even start creating a budget or trying to pay off debt, take the time to build a powerful money mindset. Here’s how…

1. Money Mindset Definition

The first way to build your money mindset is to understand what a healthy money mindset actually is. A healthy mindset is being positive, accepting, and determined. It’s you being you and living in the here and now! It’s accepting and forgiving yourself about past money mistakes. Just because you’ve made mistakes doesn’t mean that’s your future.

It also means that when life throws a pie in your face, you learn to duck or at least have a sense of humor about pie on your face. Find something positive to focus on in every situation. And don’t give up.

Keep striving to be better every day. If you do that, you’ll be in the best headspace for success.

2. Change Your Mantra

The second way to build your money mindset is to change your mantra. I’m not telling you to take up chanting but I’m asking you to change the things you say to yourself over, and over again. Because negative self-talk can hold you back from financial success.

I see it time and time again with my coaching clients, they say “I’m not good with money” or “I’ll never get out of debt.”  Let’s me be clear, you can do anything you set your mind to. But if you keep telling yourself that “you can’t” or “you’re not good enough”, then that’s exactly what’s gonna happen.

So change your tune. Instead of all the negative self-talk, remind yourself and others around you that you’re great with money and that you’re making financial improvements every day. Keep saying “I’m great with money, I’m great with money.” Let that become you’re new mantra.

When you get tempted to talk down to yourself, remember this—if you wouldn’t talk that way to a coworker or a person you love, then you sure as heck shouldn’t talk that way to yourself. Instead, be your own biggest fan and advocate! Adjust your mantra accordingly then.

3. Get Some Perspective

The third way to build your money mindset is to get some perspective on your situation. My Grandma says it all the time “If we all gathered in a circle and laid out our problems for another to take, we would pick up our own problems and get the heck out of there.” Meaning other people have it worse. That’s not to say that your money problems aren’t real or bad but it’s important to try and keep your financial situation in perspective.

Don’t just look at your situation up close. Try to look at it from another person’s perspective or a 30,000 feet view. We often get in our own “bubble” which can make it difficult to see clearly what is right in front of us. Where there’s a will, there is a way. And you can find a way to make your money life better but you have to have the right perspective on your situation.

4. Don’t Compare Yourself

The fourth way you build your money mindset is to not compare yourself to others. It can be extremely tempting to look around and starting eyeing the latest gadget your friend has or the beautiful clothes your co-worker wears. But DON’T! It will eat away at your positivity. Instead, be good with what you got. Don’t be wanting what others have unless you want their bills too. You don’t know what goes on with their money and from my experience, a lot of people aren’t living a 100% truthful life when it comes to money.

People allow you to see what they want—it’s only a small percentage of their financial reality. Be comfortable in your own financial life, people will envy you for that instead of the “things” you have and it keeps you in the right frame of mind.

5. Money Mindset Exercises

The fifth way to build your money mindset is to exercise it. Practice makes perfect.  That’s a saying for a reason. The more you practice something the better you become at it. And that includes building a positive money mindset. Let me share a few exercises you can do to practice your money mindset.

Money Mindset Tools

  • Find Your Money Awesomeness – Make a list of all the things you’re good at with money. Do you pay your bills on time? Are you good at remembering to save money? Do you avoid debt? Write them all down. I often have clients do this exercise to help them realize the glass is half full when it comes to their money life. People often don’t see the good until they stop and look. Make your list with as many “Money Things I’m Good At” until you have at least 5. No less than 5, you can do it!

  • Track all the Money Coming In – Create a spreadsheet to track every bit of value coming into your life. Did you get paid today? Find a dime on the ground? Did a friend buy you a Starbucks? Write down all the money or value you bring in each day. Traditionally people track all of their expenses or the money that’s going out and that can get well, depressing over time. To start exercising your positive money mindset, begin focusing on what you have coming in too!

  • Your Ideal Financial Avatar – Write down a description of the perfect financial you. If you could be exactly the way you want with money, how would that be? Write down the balances of your checking, savings, and retirement accounts. How much cash is in your wallet? Write down how you organize your money. Most importantly, write down how you feel about money. Are you excited, content, happy, or energized?  Or is there just a sense of peace? This exercise helps you better understand where you want to be with money and how you want to feel. It gets your mindset working in the right direction.

Life is going to throw curveballs at you. And life will not always go as planned and there will be hard times. You won’t be able to control other people or events but you can control how you approach and handle your life and money. Building and keeping a positive money mindset won’t just help you when problems come up, it will also help you reach your financial goals in life. Remember, YOU are the captain of your ship!

You can listen to this episode of The Military Money Show below.

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