What Does Your  Personality Type Say About How You Handle Money?

The Traits of 5 Money Personality Types: What Does Yours Say About How You Handle Money?

Laura Bogart  Wed, April 10, 2024 GoBankingRates

Sometimes, money is more than money. The way you think about it (or don’t think about it), prioritize it (or don’t prioritize it), spend it (or don’t spend it), and save it (or don’t save it) can reflect aspects of your personality.

Learning more about the various personality types around money – and where you fall into the spectrum – can be a first step in healing, or strengthening, your relationship to money.

Financial experts and professionals encounter people with different personalities around money – sometimes within mere hours.

So, GOBankingRates talked to experts about some unique personality types around money to get a sense of their strengths and areas of healing.

The Compulsive Saver

One of the most common personalities Taylor Kovar, CFP, the founder and CEO of 11 Financial and the CEO of The Money Couple has observed that money is a compulsive saver.

Compulsive savers align with a drive to seek security in money.

“They prioritize stability and security, often opting for low-risk investments and maintaining a sizable emergency fund,” said Kovar. “They are cautious spenders, preferring to save rather than spend impulsively, reflecting their desire for financial safety and peace of mind.”

The Anxious Planners

As a trauma-informed finance professional at the Money Mindset Hub, Alejandra Rojas encourages her clients to consider how their childhood circumstances shaped their adult relationships with money.

She said that people always anticipating what could go wrong with their money and waiting for the other shoe to drop might be primed to expect the worst-case scenario from their youth.

“The way our parents or caregivers managed money plays a crucial role in shaping our financial habits today,” said Rojas. “For instance, growing up in a family that constantly struggled with money might lead someone to be very cautious with their finances, always looking to hold tight to money because they’ve learned to view money as a scarce resource.”

When working with clients who have anxiety around money for any reason, Rojas encourages them to see their past issues with money as old memories and learn how to separate deeper emotions from those memories.

The Strategic Planners

One of the healthier personality types around money is the strategic planner, who applies logic and care to their finances without catastrophizing. According to Kovar, while strategic planners seek security with their money, they emphasize methodical and disciplined financial planning.

“They set clear financial goals, create detailed budgets, and regularly review their progress,” he said. “They prioritize long-term financial security and are willing to make sacrifices in the present to achieve their goals, reflecting their desire for stability and control.”

The Big Spender

To Read More Click the LINK:

https://news.yahoo.com/finance/news/traits-5-money-personality-types-190007682.html