Do you think you’re telling yourself the truth about money? We may think we know the facts about our finances. But our beliefs can often overshadow the facts.
Our wishes, hopes and fears can tip the scales away from the truth. This makes it easier for us to believe what we want to about money — and it can happen without us even realizing it.
The “money lies” we tell ourselves can change the way we think and act when it comes to finances. And since most of us rarely talk about money with our friends and family, the money lies we tell ourselves stick around. That can lock us into destructive beliefs and reinforce poor financial habits.
But no matter what money lies we tell ourselves, it’s never too late to set the record straight. Let’s look at some of the most common money lies we all buy into at some point — and the truth behind them.
1. I’ll be happier when I have $_____.
“With $___ in the bank (whatever amount you think is ideal), many of my problems would go away, and I’d be happier.”
Does this sound familiar?
Goals and target numbers for earnings, savings and budgets are great. But if you make the mistake of thinking some magic number will flip a happiness switch for you, think again.
When we tell ourselves this money lie, we put too much emotion into a single number. And we may be setting ourselves up for disappointment — both if we never get $__, and if we do get $__ and realize it doesn’t make us as happy as we thought it should.
The good news? Studies show that making progress toward our goals can be incredibly satisfying, regardless of whether we hit the target.
2. I deserve it, regardless of whether I can afford it.
“I work hard, and I don’t treat myself often.”
“I could kick the bucket tomorrow (YOLO).”
“I’m getting a great deal!”
These are just some of the rationalizations we use to convince ourselves that it’s OK to buy something.
Whatever legs this money lie stands on, it’s usually used to soothe the sting of expensive purchases — those that aren’t really essential — and perhaps items we know, deep down, we don’t really need.
3. I have strong financial willpower.
When faced with temptation, most of us lie to ourselves that we’re great at resisting it. But, when was the last time you chose not to buy something you really wanted? When was the last …….