Mind Over Money: Here's What You Need To Tell Yourself To Start Saving More | Essence (2024)

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Saving money is as mental as it is fiscal. Here are what the experts are saying about training your mind to stash more cash.

By Jasmine Browley·Updated April 9, 2024

If you’ve ever heard the adage, “mind over matter,” then you’re aware of how important it can be to practice mindfulness in every aspect of life. Finances are no exception.

About 70% of Americans shared they are mentally distressed or intimidated at the thought of managing their personal finances — and another 52% of U.S. adults said their financial stress has increased since before the Covid-19 pandemic began in March 2020, per the 2023CNBC Your Money Financial Confidence Survey.

If you fall into this group, fret not. There are tactics to get your finances in better shape, but your thinking patterns have to lead the way first.

Mind over money

The relationship with money woes and psychological anguish is extremely correlative. A litany of studies have suggested that financial insecurity can affect the brain, cortisol levels and increase stress markers. Quite literally, money issues can affect your mind, and the best way to conquer that fear is to come to an understanding about it.

Jacqueline (Jack) Howard has built a career around this. Howard serves as the Senior Director of Financial Health & Wellness, PR atAlly, the world’s largest digital-only. She says that our money mindsets, particularly Black people’s, are informed by financial flashpoints, which is essentiallymoney version of trauma.

Howard explained in a 2023 interview thatmoney scriptsare “essentially our subconscious beliefs about money that are rooted in your childhood.”

As ESSENCE previously pointed out, financial psychology expert Brad Klontz says these scripts fall into four areas:money avoidance,money worship,money status, andmoney vigilance.

“I lean towards money worship,” Howard admitted. “That’s where you think that money will essentially be the stabilizing force in your life. It’ll solve everything. I learned that from my mother. And my mother is deceased now, but I bet if she were alive, she’d say she’d say she received those same beliefs forhermother.”

As Howard points out, essentially, it’s important to understand how your early relationship with money shapes your current behaviors and what can be done to change it.

Flip the script

Once you’ve identified which script most aligns with your pathology and why it’s not serving you, flip it on its head. That can start with how you speak to yourself about money.

For example, much like me, if you’re the type of person that spends too much physical cash because its something you can touch and feel, you may have to adopt the “out of sight, out of mind” mentality by telling yourself “if I can’t see the money, I don’t have it spend.”

The way to put this into practice may come by way of implementing automated savings systems and ensuring that you can’t easily access the money. Arranging with your bank that a pre-set amount of money is transferred directly from your checking account into separate savings or retirement savings accounts is the most obvious way to do this, but taking a step further and putting withdrawal restrictions in place can be a good way to help yourself in the long run.

Time is money…literally

Another message you can tell yourself is how “time is money,” or think about how much time it took to earn the money you’re about to spend, and how much more time it would take to replace the sum.

For instance, if you earn $40/hour, and you’re contemplating ordering UberEATS that totals $37.50, tell yourself that you’re spending an hour of life on a meal. Dramatic I know, but drastic times call for drastic measures.

Using apps like Rocket Money and Oportun are easy ways to pull money into savings without even thinking about it.

Worthiness

It’s easy to detach yourself from your financial situation by avoiding your credit card statements or turning a blind eye to your banking alerts, but burying your head in the sand is only effective but for so long.

Reminding yourself of the life you deserve to live, and how much your financial situation doesn’t define your self worth is a necessary message in sparking your savings journey. Remember, although money isn’t everything, it can be the tool you can use to lead the life you want.

Mind Over Money: Here's What You Need To Tell Yourself To Start Saving More | Essence (2024)

FAQs

Mind Over Money: Here's What You Need To Tell Yourself To Start Saving More | Essence? ›

Reminding yourself of the life you deserve to live, and how much your financial situation doesn't define your self worth is a necessary message in sparking your savings journey. Remember, although money isn't everything, it can be the tool you can use to lead the life you want.

How to save when you're broke? ›

Jaspreet Singh: 10 Ways To Save Money When You're Broke
  1. Quit Using Credit Cards. ...
  2. Cook More at Home. ...
  3. Plan Your Meals. ...
  4. Get Smarter About Free Stuff. ...
  5. Switch Your Provider. ...
  6. Visit Your Library. ...
  7. Look Into Refinancing Your Loans. ...
  8. See Which Perks You're Eligible For.
Oct 14, 2023

What are the 5 steps to save money? ›

5 simple steps to start saving
  • Set one specific goal. Rather than socking away money into a savings account, set specific goals for your savings. ...
  • Budget for savings. Just because you decide to save doesn't mean it's going to happen. ...
  • Make saving automatic. ...
  • Keep separate accounts. ...
  • Monitor & watch it grow.

How to save money mentality? ›

A mindset for saving money
  1. Simplify your goals. Let's say you're saving for a down payment on a new car, a vacation, and a new laptop all at the same time. ...
  2. Turn off “rapid checkout” ...
  3. Don't touch your savings. ...
  4. Monitor your growth. ...
  5. Start planning for your savings.

How to save $1,000 every month? ›

The experts we spoke to recommended taking these steps.
  1. Analyze your finances. If you want to save $1,000 in a month, then you need to earn $1,000 more than what you spend. ...
  2. Plan your meals. ...
  3. Cut subscriptions. ...
  4. Make impulse purchases harder. ...
  5. Sell unneeded items. ...
  6. Find extra work.
Sep 26, 2023

How to save $10,000 fast? ›

6 steps to save $10,000 in a year
  1. Evaluate income and expenses. To make room for saving, you'll need a meticulous budget that outlines all your sources of income and all your expenditures. ...
  2. Make an actionable savings plan. ...
  3. Cut unnecessary expenses. ...
  4. Increase your income. ...
  5. Avoid new debt. ...
  6. Invest wisely.
Apr 2, 2024

How to live on very little money? ›

These seven tips may be able to help.
  1. Understand your current financial habits. Not sure how to start spending less? ...
  2. Create an effective budget and stick to it. ...
  3. Look for ways to reduce spending. ...
  4. Set financial goals for future success. ...
  5. Save for emergencies or major purchases. ...
  6. Pay down debt. ...
  7. Stay aware of lifestyle creep.

Why can't I save money? ›

Financial illiteracy is one of the biggest reasons people have difficulty saving or investing money. Many people don't understand how to save or budget their money, which causes them to spend more than they earn. Ignorance can also lead them to make bad financial decisions that can further hurt their ability to save.

How can I rewire my brain to save money? ›

With these simple tricks, you could be well on your way to spending and saving every dollar with intention.
  1. Envision the future. ...
  2. Appreciate what you already have. ...
  3. Delete and unsubscribe. ...
  4. Only use money you've already got in the bank. ...
  5. Create separate savings accounts for separate expenses. ...
  6. Call your friends more often.

What is a poor money mindset? ›

A poor mindset is a limited perspective on wealth and a belief that your situation is unchangeable. People with a poor mindset often live paycheck to paycheck and struggle to make ends meet. They may lack financial literacy and have a negative relationship with money.

What is a bad money mindset? ›

The lack of money or the presence of too much debt can cause a person to develop a negative and destructive thought process when it comes to finances. Once this way of thinking is instilled in a person's mind, it can affect their finances in ways the person might not even be aware of.

What is the 7 rule for savings? ›

The seven percent savings rule provides a simple yet powerful guideline—save seven percent of your gross income before any taxes or other deductions come out of your paycheck. Saving at this level can help you make continuous progress towards your financial goals through the inevitable ups and downs of life.

How to save little money every day? ›

You can learn more about apps that automate savings and decide if they're a good fit for you.
  1. Count your coins and bills. ...
  2. Get discounts on entertainment. ...
  3. Delay purchases with the 30-day rule. ...
  4. Lower your car costs. ...
  5. Bundle cable and internet. ...
  6. Reduce your electric bill. ...
  7. Lower your student loan payments.
Mar 26, 2024

How can a 50 year old start saving money? ›

How to save for retirement when you're in your 50s
  1. Set realistic goals.
  2. Tackle debt.
  3. Take advantage of catch-up contributions.
  4. Create a health savings account.
  5. Make the most of Social Security.
  6. Generate income beyond investing.
  7. Don't abandon stocks in your portfolio.
Jan 10, 2024

How to save $1,000 fast? ›

Dave Ramsey's 9 Ways To Save Your First $1,000 Fast
  1. Cancel Subscriptions. ...
  2. Bring Your Own Lunch. ...
  3. Avoid Coffee Out. ...
  4. Re-Sell Old Items. ...
  5. Shop at Cheaper Grocery Stores With Rewards Programs. ...
  6. Buy Generic. ...
  7. Join a Carpool. ...
  8. Pick Up a Side Hustle.
Dec 28, 2023

What to do when you're extremely broke? ›

What to Do When You're Completely Broke
  1. Breathe and be honest. First of all, don't panic. ...
  2. Diagnose the problem. ...
  3. Don't point fingers. ...
  4. Develop a game plan. ...
  5. Redefine your necessities. ...
  6. Make a radical change. ...
  7. Face your debts head-on. ...
  8. Take advantage of public assistance and free opportunities.
Mar 26, 2024

How to save $10,000 in a year? ›

To reach $10,000 in one year, you'll need to save $833.33 each month. To break it down even further, you'll need to save $192.31 each week or $27.40 every day. These smaller chunks are much more realistic and simple to comprehend, making it easier to track your progress.

What is the 50 30 20 rule? ›

The 50-30-20 rule recommends putting 50% of your money toward needs, 30% toward wants, and 20% toward savings.

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