Sarah Fallaw is CEO of Data Points, and also the daughter of Thomas J. Stanley, author of The Millionaire Next Door. I’m a fan of hers, and I have lived my life by that book. For anyone who has worked in a company where you have a job description, Sarah has come up with a brilliant, simple job description for managing our every day cash.
5 Good Household Cash Behaviors
- Social Indifference: The more you care about what people think of you, and the more time you spend on Facebook/Instagram etc. getting “likes”, the more you will spend cash based on peer pressure. HOW TO CHANGE: Define your own dreams instead of following others.
- Conscientiousness: Is paying attention to details, sticking to a spending plan and doing what you say you will. No exceptions, no special rules, no letting yourself off the hook. HOW TO CHANGE: Start with small rules, like paying cash for everything under $50.
- Focus: Means keeping your eye on your goals. HOW TO CHANGE: Set aside time to review your money regularly – as in once a week or once a month, not once a year.
- Empathy/Agreeableness: Is your ability to work through issues with your partner by understanding their needs and wants as well as your own. HOW TO CHANGE: Understand their money beliefs, family money history compared to yours.
- Financial Literacy: Is the ability to make financial decisions that contribute to your financial well-being by having the necessary tools and understanding. Click here for basics.
Having these behaviors means you exhibit them most of the time. How are you doing so far as Chief Household Cash Manager? Stay tuned for the final 5 behaviors in my next blog.
Related Article: 4 Steps to Better Money Habits
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Information shown is for illustrative purposes only and is not intended as investment, legal or tax planning advice. Please consult a financial adviser, attorney or tax specialist for advice specific to your financial situation. Behavioral Cents, LLC and any third parties listed, linked to or otherwise appearing in this message are separate and unaffiliated and are not responsible for each other’s products, services or policies.
Carrie Rattle is a Master Money Coach & Founder of Behavioral Cents. She is a 30-year veteran executive of financial services. Behavioral Cents helps women achieve independence, freedom, and a bigger voice in the world. By building a fatter bank account women can confidently walk away from a bad job, build a business to change the world, or live their own dreams. We work in a private, non-judgmental atmosphere with a program tailored to change your money behaviors for the better – without deprivation. Thoughts always welcome: firstname.lastname@example.org