Tag Archives: money behaviors

Sep 16 2023

UNDERSTANDING YOUR MONEY SCRIPT

A money script, based on a person’s early experiences with finances, can create a better understanding of financial behavior. Researchers using psychology and sociology have identified four money scripts:

  1. Money avoidance involves negative ideas related to finances and wealth. These people tend to not allow themselves to do well or save much, believing that having less is morally good.
  2. Money worship concerns people who believe wealth is the key to solving their problems and finding happiness. Money worshippers overestimate the sense of satisfaction and meaning obtained from buying things.
  3. Money status, these status seekers mix their net worth and self-worth. Those who grew up in households with financial struggles tend to use money to seek status and are prone to overspend and often have higher credit card debt.
  4. Money vigilance involves those who are alert, watchful, and concerned about their financial health. They believe that having enough money is important with an emphasis on saving.

Frustrations with your financial life can be reduced by reflecting on money attitudes and behaviors obtained in childhood. Take time to talk to family members and others. Try to determine reasons for family beliefs about money.  Awareness of these past beliefs can help to modify a person’s current relationship with money.

For additional information on money scripts,

Link #1

Link #2

Teaching Suggestions

  • Have students talk to family members or others to learn about their personal money attitudes and financial behaviors.
  • Have students create a visual proposal (poster, slide presentation, or video) to suggest actions that would help people better manage their finances based on each of the four money scripts.

Discussion Questions 

  1. How could knowing your money script help a person make better financial decisions?
  2. Describe actions people might take to better understand their money attitudes and financial behaviors.   
Aug 5 2023

RICH VS. POOR MONEY HABITS

Successful money management can result from simple actions.  A major difference between the rich and the poor is their habits and attitudes toward money. Increased financial literacy and changed behaviors can result in increased prosperity. A transformed financial future can result from these actions:

  • Believe you can control many aspects of your life rather than viewing yourself as a victim of circumstances.
  • Create goals to clearly maintain your focus and an action plan to build wealth.
  • Focus on opportunities looking for new ways to create value and grow wealth rather than being preoccupied with problems and barriers.
  • Avoid jealousy; learn from those who have already achieved wealth.
  • Emphasize cash-flow assets; acquire investments that generate income to build lasting wealth.
  • Commit to an increasing net worth and a positive cash flow.
  • Continue to learn since knowledge is power; seek to expand an understanding of finances, investments, and business.

In addition, people who are successful in managing their finances avoid spending money on these things:

  • bank fees
  • credit card interest
  • lottery tickets and other gambling
  • late fees
  • extended warranties
  • designer label clothing
  • impulse purchases
  • video games, televisions 
  • prepaid cash cards with various fees

For additional information on the money habits of rich and poor people, go to:

Link #1

Link #2

Teaching Suggestions

  • Have students interview a family member or another person to determine recommended actions for successful money management.
  • Have students create a visual proposal (poster, slide presentation, or video) with actions a person might take for reduced spending and for an improved financial situation.

Discussion Questions 

  1. Which attitude or behavior discussed in the article do you believe could make a difference in the financial life of most people?
  2. Describe actions a person might take to change attitudes and behaviors that could result in an improved financial situation.