Your Beliefs on Money

Exploring common money beliefs

Money belief 1

High income = High wealth

This belief assumes you create wealth by earning a high income. There are many examples where this hasn’t worked. Therefore this is not a truth, but a belief.

Often high income earners are amongst the least effective wealth creators and preservers in our community. This may be because high income earners may believe they don’t need to be as careful with the money they earn, because they can make it up in the future.  

This can be a risky way to think. Such an approach can lead to a habit of financial laziness and lethargy and lead to high spending during times of reduced cashflow. As the saying goes, the time to save money is when you can.

Alternatively, a high income earner may have self-worth challenges, feel unworthy of great wealth and push money away through undesirable money behaviours. If you think this is you, see money belief 5.