How to rewrite your relationship with money
Tips to help you think more positively about your finances.
Have you ever looked at your bank account and wondered where your money went?
Thanks to our habit of tapping our phones, watches or cards to pay, it’s pretty easy to lose track of where you have spent your money.
If you are also someone who grew up in a household where money was a touchy topic or not discussed at all, you are probably finding yourself scratching your head more often about what’s happened to your money.
Now, this is not a reason to blame your parents for how their financial habits shaped yours, but it is a reason for you to rewrite how you view money.
RACQ Bank Business Initiatives Specialist Jessica Colquhoun recommends starting by identifying how you talk about money in your head and to your friends and family.
“If you find yourself always telling those around you that you’re ‘broke’, ‘can’t afford it’ or just ‘don’t know’ what’s happened to your money, it’s time to figure out if that self-talk is really true,” Ms Colquhoun said.
“Log on to your banking app and review the last month’s expenses and write down, on pen and paper, where your money has been spent and where your income has come from.
“I know it might feel uncomfortable, but instead of saying how ‘bad’ you are with money, chat to your friends to see how they’re managing their money and you might realise you’re all in the same boat and it’s really not as bad as it seems.”
Then, make a plan to speak more positively about your money and use it positively too.
“Think about how you’d ideally like to talk about your finances, do you want to be able to tell your friends you can afford to go out to dinner with them? Or be proud of your car you’ve saved up to purchase?” Ms Colquhoun said.
“Write down the new ways you want to talk about your money and then make a plan with your budget to ensure your money counts towards your goals.
“This could mean learning to say no to those more expensive social plans for a few months while you save up for a big purchase, or see you swapping buying lunch on campus or at work and instead bringing a meal from home.
“All of these small choices add up in the long term and will help you rewrite your relationship with money.”
For more information about changing your relationship with money, visit RACQ’s Financial Wellbeing Hub.
The information in this article has been prepared for general information purposes only and not as specific advice to any particular person. Any advice contained in the document is general advice and does not take into account any person's particular investment objectives, financial situation or needs. Before acting on anything based on this advice you should consider its appropriateness to you, having regard to your objectives, financial situations and needs.