April is Financial Literacy Month and having a good money mindset to reach goals are probably more important than ever. The most important, yet most overlooked, component of financial literacy is learning to understand your underlying beliefs, or your mindset, around money. Becoming educated in any subject is not a final destination but a continuous journey. Your finances and how you handle them are very personal, and the subject matter is subjective. Mindset can shape how successful you are in making the right financial decisions for yourself and your family.
Develop a positive money mindset
Beliefs are your thoughts, usually stemming from a feeling. When you think about money, how do you feel? Excited about opportunities to earn and save more, or tense and anxious because decisions are so difficult, and you will never be comfortable financially.
Everyone has a relationship with money, no matter if you acknowledge the relationship or not. You either nurture the relationship or you neglect it. Pay close attention to your mindset around matters concerning your money. If negative thoughts and feelings arise when it is time to talk or take some financial action, it is time to make a change. Consider where the fixed beliefs are coming from, acknowledge that they are limitations, and work to change them into something more positive and growth- focused.
Educate Yourself
Now that you are in a growth mindset about money, you need to seek as much information as possible to make the right decisions for you, your family, and/or your business.
Use the internet
Find a few credible websites or contributors to help you understand the components of money that you are unclear about. Follow the writing of those who resonate with you, and also track them on social media. You can learn a ton from Instagram stories, or from a simple Twitter post.
Take classes
Virtually or in person, the amount of financial education that is available is plentiful, and it is usually free. These classes should be taught by a licensed financial advisor or qualified academic. Learning from an advisor also gives you access to a professional who understands the technical aspects of money and investing, but who can also share real-world experience from working with clients.
Work with an advisor
Working with a financial advisor is like working with a trainer at the gym, or a tutor in school or a consultant for your business. The professional advisor acts as a resource to help you get to where you want to go.
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