Tag Archive

Tag Archives for " money "

Money Mindset:

How to Release Your Money Blocks

Understanding Money Blocks

Have you ever felt a pang of guilt after buying a coffee, a knot of anxiety when checking your bank account, or a nagging fear when considering a raise? These are all signs of hidden money blocks – limiting beliefs that hold you back from achieving financial security and abundance.

But here’s the good news: money blocks are not set in stone. By understanding their root causes and taking proactive steps, you can break free from these mental barriers and build a healthier relationship with money.

This article will be your guide on this journey. We’ll delve into the world of money blocks, explore different types, and equip you with practical tools to release them and unlock your full financial potential.

What are Money Blocks and Why Do They Matter?

Money blocks are subconscious beliefs and attitudes that shape how you perceive, earn, save, and spend money. These mental barriers can stem from childhood experiences, societal conditioning, or past financial struggles and traumas. Common money blocks include the fear of not having enough, guilt over wanting more, or believing that wealth is inherently bad or unattainable. These blocks can manifest in self-sabotaging behaviours, such as procrastination over financial decisions, overspending, undersaving, or avoiding financial planning altogether.

Here’s why money blocks matter:

  • They limit your earning potential: Fear of asking for a raise, believing “rich people are greedy,” or doubting your abilities can hinder your income growth.
  • They sabotage your financial goals: Guilt around spending, fear of scarcity, or a belief that “you’re not good with money” can make it difficult to save and invest.
  • They create stress and anxiety: Money worries can take a toll on your mental well-being, leading to feelings of frustration, insecurity, and powerlessness.

The good news: by identifying and releasing your money blocks, you can:

  • Boost your confidence: Believe in your ability to earn, save, and manage money effectively.
  • Make smarter financial decisions: Stop impulsive spending and channel your resources towards achieving your goals.
  • Reduce stress and anxiety: Cultivate a sense of peace and security around your finances.
  • Attract abundance: Open yourself up to opportunities and experiences that support your financial well-being.

Let us Explore Your Money Blocks

 Money Story Exercise:

Here’s a powerful exercise to uncover your money story – the narrative you hold about money that influences your beliefs and behaviours.

  • Grab a pen and paper. Write down your earliest memories about money. 
  • Here are some prompts to help you explore your beliefs around money, wealth, and self-worth.
  • Childhood Influences: Write down your earliest memories about money.
    What were your parents’ or guardians’ attitudes about money and wealth?
    How do you think these messages have influenced your current financial mindset? What were your parents’ attitudes towards money?
  • Emotional Triggers: Describe any significant financial events you experienced (positive or negative).  What emotions did you feel? What underlying beliefs might be contributing to these emotions?
  • Self-Worth and Money: What are your financial fears and aspirations? Consider the statement, “I deserve to be wealthy.” How true does this feel to you on a scale of 1 to 10? How do you feel about money now?

By revisiting your money story, you can identify limiting beliefs that might be holding you back.

Actionable Tips to Overcome Money Blocks

Educate Yourself:  Knowledge is power. The more you understand about personal finance, the more confident you will feel in managing your money. Consider taking online courses, attending workshops, or reading books on financial literacy.
Set Clear Goals: Define what financial success looks like for you. Create specific, measurable, attainable, relevant, and time-bound (SMART) goals to help you stay focused and motivated.
Seek Professional Help: Sometimes, working with a mentor, a coach or a therapist specializing in financial issues can provide valuable insights and strategies to overcome deep-seated money blocks.

Affirmations for Abundance and Financial Success

Affirmations are positive statements that can help reprogram your subconscious mind. Here are three affirmations focused on abundance and financial success:

1. Money comes to me easily and effortlessly.  I receive lots of money from the universe.

2. I Am So Happy And Grateful Now That Money Comes To Me In Increasing Quantities Through Multiple Sources On A Continuous Basis
From Bob Proctor – Proctor Gallagher Institute.

3.     The Oath Of Manifestation

I accept and receive unexpected good, unexpected money, unexpected love, unexpected kindness, unexpected generosity, unexpected offers, unexpected prosperity. Coming in unexpected ways from unexpected places in my life and the life of others. I’m constantly guided and boldly empowered to receive the lavish abundance of the Universe. I accept the principle that abundance and prosperity have already been given to me.

Based on the original works. Source:   Agape Center was written by Rev. Dr. Cheryl Ward.

Repeating affirmations can help shift your mindset from scarcity to abundance.

Case Study: Overcoming Financial Struggles

Sarah Blakely, Founder of Spanx

Sarah Blakely’s journey from struggling salesperson to billionaire entrepreneur is a compelling example of overcoming financial blocks. Blakely started Spanx with $5,000 of her own savings, facing numerous rejections and financial challenges along the way. She attributed much of her success to her positive mindset and resilience. Blakely practiced visualization and maintained unwavering belief in her product and herself, which helped her navigate financial obstacles and ultimately achieve significant financial success.

Recommended Books for Mindset Shifts

1. “Money Master the Game: 7 Simple Steps to Financial Freedom” by Tony Robbins    

– Money: Master the Game contains expert advice for readers of every income level, providing guidance through the steps to become financially free by creating a lifetime income plan. This book delivers invaluable information and essential practices for getting your financial house in order. It’s the book millions of people have been waiting for.

2. The Secrets of the Millionaire Mind” by T. Harv Eker

   – Eker delves into the psychological aspects of wealth creation, explaining how your subconscious beliefs about money shape your financial reality. If you are not doing as well financially as you would like, you will have to change your money blueprint. Unfortunately, your current money blueprint will tend to stay with you for the rest of your life, unless you identify and revise it, and that’s exactly what you will do with the help of this extraordinary book. According to T. Harv Eker, it’s simple. If you think like rich people think and do what rich people do, chances are you’ll get rich too!


Releasing money blocks involves a deep and often challenging exploration of your subconscious beliefs about wealth and self-worth. By journaling, setting goals, seeking professional guidance, and using affirmations, you can transform your financial mindset and pave the way for lasting abundance and success. Drawing inspiration from successful entrepreneurs like Sarah Blakely and equipping yourself with knowledge from insightful books, you can overcome financial struggles and achieve your financial goals.

Action Steps Beyond Mindset:

Mindset is crucial, but don’t underestimate the power of practical action:

Create a Budget: Knowing where your money goes is empowering. Track your income and expenses.
Read my “Breaking Free From Debt” article.

If you need more help or feel stuck I’m helping women take control of their financial security after being left financially devastated at the end of an abusive controlling relationship with a spouse. You can grab my free resource PIES which takes you through some practical steps on recovery after financial setbacks, coerced debts, or economic abuse.

    Financial Challenges.

    After Divorce, Death of a Spouse, and Surviving a Narcissistic Discard.

    Financial challenges after a significant relationship ending can be fraught with emotional fears, anxiety grief and in some cases significant trauma. Having experienced divorce, the sudden death of a spouse, and a post-separation experience of a narcissistic relationship, I know firsthand how overwhelming this path can be. Each situation brings unique financial hurdles that can lead to emotional and financial devastation. Rebuilding and starting over again takes time, everyone’s journey is different. No one should be shamed or blamed if they experience emotional trauma after grief and loss. We need to remember how vulnerable we are in these times of change. For many older women, the support networks might not be there anymore.

    The Financial Fallout of Divorce

    Divorce is not just the end of a marriage; it’s a financial upheaval. Legal fees, dividing assets, and establishing new living arrangements can drain resources quickly. The loss of a second income means a dramatic shift in lifestyle and often requires a complete financial reorganisation. For many women, this means re-entering the workforce, often after years of focusing on family. This can give rise to fear and feel unsettling. Hopefully, the divorce will be amicable and happen relatively smoothly.

    However, sometimes there is conflict or one party will not come to the table to discuss things. When they want to battle through the courts, causing more emotional pain than necessary. See my book recommendation below, Divorcing A Narcissist. Dealing with the paperwork and legal processes following a significant life change can be extremely stressful​. The possibility of losing your home due to financial constraints or health issues is daunting​.

    Sudden and Unexpected Death Of A Spouse

    Losing a spouse suddenly is an emotional and financial shock. In addition to the grief, there’s the immediate need to handle funeral expenses, settle debts, and manage any legal matters related to the estate. If the deceased spouse was the primary breadwinner, the surviving partner might find themselves struggling to manage household finances alone. Insurance policies and pensions may provide some relief, but accessing these funds can be a complex and time-consuming process. Facing the prospect of prolonged loneliness and isolation is a common fear​. The emotional pain from losing a spouse or a partner at the end of a long-term relationship or marriage can be profound and debilitating​.

    There is one very important thing to be aware of. That is couples who decide to live together need to arrange a legal contract that will cover both parties in the event of an unexpected death of a partner. There is no legal security for non-married couples. If they have not registered their living together arrangements or had wills drawn up. I was in this position in 2006 with the loss of my partner in life and business. I was fortunate to be in full-time employment at that time. Plus I had a secure, affordable rental. Plus the added assurance of a business that had been operating for 18 months and was already profitable. The worst possible scenario is to lose the main income earner. Leaving you in grief while you are also struggling to make ends meet financially.

     Emotional and Financial Abuse After Narcissistic Discard

    Ending a relationship with a narcissist is uniquely challenging. Narcissists often use financial control as a means of maintaining dominance. They might have hidden assets, run up debts in your name. Or left you with nothing but the emotional and financial wreckage to clean up. The psychological trauma of such a relationship can leave you feeling powerless and uncertain about your financial future.

    In this situation married or not separating from a relationship that has involved emotional and financial abuse and sometimes physical abuse can be traumatising or even dangerous.

    In Control

    In Control: Dangerous Relationships and How They End in Murder

    For thirty years, Jane Monckton Smith has been fighting to change this. A former police officer and internationally renowned professor of public protection. Jane has developed her ground-breaking research into an eight-stage homicide timeline, laying out identifiable stages in which coercive relationships can escalate to violence and murder.

    Divorcing A Narcissist

    Divorcing a Narcissist, the Lure, the Loss and the Law is an Amazon.com number one bestseller.

    It will help you recognise narcissistic behaviour. Prime you on what challenges lie ahead and provide practical insights on how to survive the process. It will also help you work with your lawyer so you can both understand the potential pitfalls that could frustrate attempts to finalise your separation.

    “As an Amazon Associate, I earn from qualifying purchases.”

    Positive Steps You Can Take.

    Seek Professional Advice. Find legal experts who specialise in post-separation issues, and consult with financial advisors. Make sure you understand your rights and options.

    Budget and Plan. Create a realistic budget that reflects your new financial situation. Planning can help mitigate the stress of sudden financial changes.

    Emotional Support. Surround yourself with supportive friends, family, or a counsellor. Emotional recovery is crucial for regaining financial independence.

    Legal Protection. In cases of financial abuse, ensure you take legal steps to protect your assets and credit. This might include freezing your credit, changing bank accounts, and securing personal financial documents. In the UK economic abuse is now included in the crime of coercive controlling behaviour. For more information visit the website Surviving Economic Abuse.

    Rebuild Credit. If your credit score has been damaged, take steps to rebuild it. Pay bills on time, reduce debts, and seek support if required. Consider speaking directly to any banks or credit card companies to explain your financial situation.

    Community Resources. Seek out community resources and support groups for women in similar situations. They can offer advice, a friendly ear, and practical help. Know that you are not alone.

    Emergency Fund. When you are feeling safe and secure you can think about investing. Start building an emergency fund to provide a financial cushion for unexpected expenses or further changes.

    In conclusion
    Women in non-married cohabiting relationships often face less favourable treatment under the law when these relationships end compared to their married counterparts. This is primarily due to the lack of legal recognition and protection for cohabiting couples, which can lead to significant financial and housing challenges. Legislative reform has been recommended to address these issues, but significant changes have yet to be implemented in many countries. I feel that it is important to raise awareness about the gaps in the laws in situations of cohabitation and the necessity of legal agreements to protect one’s rights. Remember everyone’s journey is different. No one should be shamed or blamed if they experience emotional trauma after grief and loss.

    How many ways are there to earn money?

    With the current economy in the doldrums, with weak economic growth, stubborn inflation and rising interest rates, the traditional ways of earning money have evolved into a diverse landscape filled with endless possibilities. From the conventional nine-to-five job to the burgeoning gig economy, the avenues to generate income are as varied as they are abundant. But how many ways are there to earn money, and why is it crucial to create multiple income streams?

    Income streams fall into three categories: active, passive, and portfolio.

    Active income is trading time for money, working for yourself or an employer. Starting a side hustle, providing a service, earning commissions, and creating content around your passion.

    Passive income is what you receive from your assets that does not involve trading time for services and labour. Assets can be physical assets like property / real estate. Virtual and digital assets like cryptocurrencies, NFTs, training courses or information products, e-books, or publishing a book on Amazon.

    Portfolio income is the interest, dividends or capital gains you receive from your assets and investments. You can increase your investment portfolio income streams by investing in company stocks, bonds, and various types of stock market funds. Let’s explore in more detail.

    1. Time for money Employee.  

    You work for someone else and you earn an hourly rate for a contract of set hours per week or month. Work hours in employment are usually 8 hours per day. Some companies have flexible hours from 7 am to 6 pm and you can choose to start early and finish early, this works well for some people. Office jobs are typically 9-5, Monday to Friday. There are a lot of manufacturing companies that work on a shift system, 6 am to 2 pm, 2 pm to 10 pm and night shift 10 pm to 6 am. The reality of this three-shift pattern can wreak havoc on your sleep patterns, social life and family life, and from experience, companies can ask employees to cover 12-hour shifts at short notice as happened to my husband when we had young children. 

    Employment – Traditional employment offers a stable paycheck in exchange for services rendered. Entrepreneurship – Launching into entrepreneurship allows individuals to create their business ventures, whether it’s a startup, consultancy, or freelance.
    Side Hustles – From driving for rideshare services to monetizing creative talents on platforms like Etsy. Using platforms like Patreon, or starting side hustles to provide extra income outside of regular employment.

    2. Invest Money to earn money.

    Investments – Investing in stocks, real estate, bonds, or other financial instruments can yield passive income streams through dividends, interest, or capital gains.

    Investments like property can earn you rental income and growth in capital value over the years if you look after your property investments. Property is a great way to build wealth.

    According to The Motley Fool, almost everyone should own stocks or stock-based investments, like EFTs exchange-traded funds and Mutual funds. Stocks are long-term investments that are mostly safe for the ordinary investor.

    Once you have financial security or a level of wealth Bonds are another type of investment.
    There are three main kinds of bonds. Corporate bonds, issued by companies. Municipal bonds are issued by Governments and States. Treasury notes issued by the US Government.
    A newer form of investment is Cryptocurrencies. You can learn more about Cryptocurrencies and invest to diversify your investment portfolio. The two main popular cryptocurrencies are Bitcoin and Ethereum. These are just some ways to invest to earn money.

    3, Multiple Sources of Income

    Having multiple income streams can give you peace of mind with your finances. When you aren’t relying on one single job or investment for your money. Most millionaires have several streams of income, research says the average millionaire has seven streams of income.
    These are the income streams of millionaires.
    Profit income, from a business, after your expenses are paid.
    Interest income, from your investments.
    Dividend income, from bonds, stocks, and company investments.
    Rental income, from property investments. Capital gains are the increase in value of the property, land or other assets.
    Royalties and Licensing – from writing books, creating lyrics, and publishing music. Artists, authors, musicians, and inventors can earn royalties or licensing fees for their creative works or intellectual property.

    The Importance Of Diversification

    Having multiple sources of income is akin to building a robust financial portfolio. Diversification not only mitigates risk but also unlocks opportunities for greater financial stability and flexibility. Relying solely on one income stream leaves individuals vulnerable to unexpected disruptions. Such as job loss, economic downturns, or industry shifts. In contrast, diversifying income sources creates a safety net, ensuring a more resilient financial foundation.

    Creating multiple streams of income can accelerate wealth accumulation and ease progress towards financial goals. Whether saving for retirement, funding education, or pursuing personal passions, having supplementary revenue streams magnifies earning potential and opens doors to new possibilities.

    Empowering Women Through Financial Independence

    Achieving financial independence is a vital pursuit for everyone, regardless of gender. However, women should think seriously about financial independence, even within the circumstances of marriage or relationships.

    Historically, women have faced systemic barriers to financial empowerment. Including, wage disparities, limited access to career advancement opportunities, and societal expectations that prioritize caregiving over career development. Consequently, many women find themselves economically vulnerable, particularly in the event of divorce, spousal loss, or unforeseen circumstances.

    To combat these challenges, women must educate themselves on the principles of financial investments and actively cultivate their income streams. Not only does financial independence provide a sense of empowerment and self-reliance, but it also provides greater financial security and helps in the face of life’s uncertainties.

    Financial independence enables women to pursue their passions, fulfil their aspirations, and contribute meaningfully to their families and communities. By championing economic empowerment, women can challenge traditional gender norms, advocate for equality, and pave the way for a more inclusive and equitable future.

    The CashFlow Quadrant

    Robert Kiyosaki of Rich Dad, Poor Dad fame, recommends a path to financial security and financial freedom in his book The Cash Flow Quadrant.  He talks about how employed and self-employed persons can educate themselves on business and investing to advance themselves.

    Most people do not have an abundance of time or money especially those in the employed category they may earn a good wage or salary but they are trading time for money. 

    A self-employed person may have more free time and can choose the times they commit to work. A self-employed business owner who can leverage contractors and put automated processes in place will have greater access to time and money.

    A business owner who invests in property has published books, and creates online and offline training and mentoring programs, can earn from multiple sources of income.
    For example profit income from the businesses, royalties from books published, rental income from the properties, earned income from mentoring, interest and dividend income from cash invested.

    Those individuals who can educate themselves on the differences between earning active income, passive income and portfolio income can increase their opportunities and potential for financial security and ultimately financial freedom.

    In conclusion, the question of how many ways there are to earn money is as vast and diverse as the human imagination. By embracing a multifaceted approach to income generation and prioritizing financial independence, individuals—particularly women—can unlock new opportunities, achieve greater security, and chart a course towards a more prosperous future.

     Breaking Free from Debt:

    Strategies for Financial Freedom


    In today’s fast-paced world of increasing debt, financial freedom often seems like an elusive dream for many. The burden of debt can weigh heavily on individuals and families, hindering their ability to live life to the fullest. However, breaking free from debt is not an impossible feat. With careful planning, discipline, and the right strategies, you can pave the way to financial independence. In this article, we will explore effective approaches to overcome debt, prioritize expenses, and provide a comprehensive guide on the do’s and don’ts of achieving lasting financial freedom.

    Understanding the Debt Landscape

    Before diving into strategies for overcoming debt, it’s crucial to understand the types of debt and their implications. Not all debt is created equal. There is good debt and bad debt. Mortgage debt, for instance, may be considered a reasonable investment, while high-interest credit card debt can quickly spiral out of control. You also need to identify which are your priority expenses and which are non-priority expenses. Identifying and categorizing your outgoings and debts will help you develop a targeted budget and plans for repayment.

    Prioritizing Expenses:
    A Blueprint for Reducing Debt and Financial Freedom

    Create a Budget:

    • The cornerstone of any successful financial plan is a well-crafted budget. Start by listing all sources of income and categorizing monthly expenses. This includes fixed costs like rent or mortgage payments, utilities, and insurance, as well as variable costs such as groceries, transportation, and entertainment. Knowing where your money is going is the first step toward regaining control over your finances.

    Emergency Fund:

    • Establishing an emergency fund is paramount. Life is unpredictable, and unexpected expenses can derail even the best-laid financial plans. Aim to save at least three to six months’ worth of living expenses in a dedicated emergency fund. This safety net will provide a buffer in times of crisis, preventing the need to accumulate more debt. I know only too well how becoming financially dependent on a spouse or partner can have a devastating impact on your life if that partner dies unexpectedly or decides to leave or even worse traps you in a toxic abusive relationship.

    High-Interest Debt First:

    • When prioritizing debt repayment, focus on high-interest debt first. Credit card balances and payday loans often carry exorbitant interest rates, making them particularly burdensome. Allocating extra funds to pay off these high-interest debts will save you money in the long run and accelerate your journey to financial freedom.

    Mortgage and Student Loans:

    • While high-interest debt should take precedence, it’s essential not to neglect other obligations. Mortgages and student loans typically have lower interest rates, and in some cases, the interest may be tax-deductible. However, consistent, timely payments are crucial to maintaining a good credit score and financial stability.

    Negotiate Interest Rates:

    • Don’t be afraid to negotiate with creditors for lower interest rates. Many credit card companies are willing to work with customers who demonstrate a commitment to repayment. A lower interest rate can significantly reduce the total amount paid over time, accelerating your journey to debt-free living.

    Snowball vs. Avalanche Method:

    • Two popular debt repayment strategies are the snowball and avalanche methods. The snowball method involves paying off the smallest debts first, gaining momentum as you move on to larger balances. The avalanche method targets high-interest debts first, minimizing overall interest payments. Choose the approach that aligns with your financial goals and motivates you to stay on track.

      Here is a recent episode from my podcast Mindset Money Success, where I talk about “Overcoming a Scarcity Mindset” to help you think more about your financial goals and what you really want.

    Do’s and Don’ts on the Path to Financial Freedom


    Educate Yourself:

    • Knowledge is power. Take the time to educate yourself about personal finance, budgeting, and investment strategies. Understanding the principles of money management will empower you to make informed decisions and build a solid financial foundation.

    Live Within Your Means:

    • Adopt a positive mindset and strive to live within your means while working on your financial goals. Differentiate between wants and needs, and prioritize spending on essentials while cutting back on non-essential expenses. Consistently saving a portion of your income will accelerate your journey to financial freedom.

    Invest Wisely:

    • Once you’ve paid off high-interest debt and established an emergency fund, consider investing for long-term growth. Diversify your investments, taking into account your risk tolerance and financial goals. Consult with a financial advisor to create a personalized investment strategy.

    Build Multiple Income Streams:

    • Relying solely on a single source of income can be precarious. Explore opportunities to build multiple income streams, such as a side hustle or investments. Diversifying your income can provide stability and accelerate your progress towards financial freedom.


    Ignoring Debt:

    • Ignoring debt will not make it disappear. Face your financial situation head-on, assess the extent of your debt, and develop a realistic plan for repayment. The longer you delay, the more challenging it becomes to break free from the cycle of debt.

    Promotion: If you need more help with your financial situation.
    For any woman who is struggling to work out what you really want to do in life after any of the three D’s in relationship endings, Divorce, Death of a partner, or Discard (an abrupt termination of a relationship)  If you want to learn how to regain control, manage and multiply money, and gain financial independence. 
    Helping to educate and empower other women to grow, develop and transform, learn more, earn more, do more, and be more, to set yourselves up for success. 
    Join Me Here – Loraine.Live

    Success With Loraine (Author & Digital Creator)

    Impulse Spending:

    • Impulse spending is a major obstacle on the path to financial freedom. Before making a purchase, especially a significant one, take the time to evaluate whether it aligns with your financial goals. Avoiding impulsive decisions will contribute to long-term financial stability.

    Paying Only the Minimum:

    • Credit card companies often set minimum payment amounts that barely scratch the surface of the principal balance. While it may be tempting to pay only the minimum, doing so prolongs the repayment period and increases the overall interest paid. Strive to pay more than the minimum whenever possible.

    Neglecting Savings:

    • Even as you focus on debt repayment, neglecting savings can be detrimental. A lack of savings can lead to further debt in times of emergency or unexpected expenses. Prioritize both debt repayment and savings to create a balanced financial plan.


    Breaking free from debt requires a combination of discipline, strategic planning, and a commitment to long-term financial health. By prioritizing expenses, adopting sound financial practices, and avoiding common pitfalls, you can pave the way to financial freedom.
    If you have struggled repeatedly with managing money or worrying about your financial situation and lack of money and resources you might find my article on Financial PTSD interesting.

    Remember that the journey may be challenging, but the rewards of a debt-free life—peace of mind, financial security, and the ability to pursue your dreams—are well worth the effort. Start today, take control of your finances, and embark on a path to lasting financial freedom.

    The Psychology of Money:

    Overcoming Scarcity Mindset

    Money, in its essence, is a tool that helps us exchange goods and services. However, the way we perceive and interact with money is deeply intertwined with our psychology. Our beliefs, attitudes, and behaviours regarding money are shaped by our past experiences, societal influences, and even our subconscious biases. One of the most common psychological frameworks related to money is the scarcity mindset, which can have a profound impact on our financial well-being. In this article, we will delve into the psychology of money and explore ways to overcome a scarcity mindset.

    Understanding the Scarcity Mindset

    The scarcity mindset is a psychological condition in which an individual believes that resources, in this case, money, are limited and that they are constantly in short supply. People with a scarcity mindset often exhibit behaviours such as hoarding, frugality to the point of deprivation, and an irrational fear of losing money. This mindset can lead to financial anxiety, poor decision-making, and a self-perpetuating cycle of scarcity.

    Key Blocks to Overcoming a Scarcity Mindset

    Before we explore ways to change our mindset, it’s important to understand the key blocks that people may experience when trying to overcome a scarcity mindset:

    Fear of Loss: People with a scarcity mindset often fear losing what little they have. This fear can make them overly conservative with their investments or reluctant to spend money even when it’s necessary.

    Negative Beliefs: Negative beliefs about money can be deeply ingrained, often stemming from childhood experiences or societal conditioning. These beliefs can be difficult to identify and challenge.

    Try listening to this short video. Subscribe to my channel. Listen to my Podcast.

    Lack of Financial Education: A scarcity mindset can be perpetuated by a lack of financial knowledge. Without understanding how money works, individuals may struggle to manage their finances effectively.

    Social Comparisons: Constantly comparing one’s financial situation to others can lead to feelings of inadequacy and scarcity. Social media exacerbates this issue, as people often showcase their successes while hiding their financial struggles.

    Cognitive Biases: Cognitive biases, such as confirmation bias (seeking information that confirms pre-existing beliefs) or loss aversion (placing more weight on avoiding losses than gaining equivalent gains), can distort one’s perception of money and can hinder rational decision-making.

    Five Ways to Overcome a Scarcity Mindset

    Financial Education: To combat a scarcity mindset, it’s essential to invest in financial education. Learning about budgeting, investing, and money management can provide the knowledge and confidence needed to make informed financial decisions.

    Shift Your Beliefs: Challenge and reframe negative beliefs about money. Explore the origins of these beliefs and work on replacing them with more positive and empowering thoughts. Books,  Personal Development Coaching and Training Courses can be a valuable resource in this process.

    Create Abundance Mentality: Instead of focusing on what you lack, try to shift your focus towards gratitude for what you have. Practicing gratitude can help you recognize the abundance in your life, whether it’s financial or non-financial.  Try using a five to ten-minute morning gratitude affirmation video for the next 30 days.

    Set Realistic Goals: Establish clear financial goals and create a plan to achieve them. This can help you move away from a scarcity mindset by focusing on the path to financial success rather than dwelling on your own fears of lack and poverty.

    Seek Help: If your scarcity mindset is deeply ingrained or causing significant challenges, consider Money Mindset Coaching. These 1-2-1 coaching or online programs can provide guidance and support to help you overcome this mindset and develop healthier financial habits. Read about Financial PTSD to see if you might be experiencing this.

    Mindset Makeover

    Changing your mindset, especially when it comes to money, is not a quick or easy process. It requires self-reflection, patience, and consistent effort. However, the rewards are significant, as a shift from a scarcity mindset to one of abundance can lead to better financial decisions, reduced stress, and an improved quality of life.


    In conclusion, understanding the psychology of money and the scarcity mindset is essential for achieving financial well-being. Overcoming a scarcity mindset involves recognizing and addressing the key blocks that hinder a healthy relationship with money. By implementing the five strategies mentioned above, individuals can gradually shift their mindset from scarcity to abundance, leading to improved financial health and peace of mind.

    What is financial PTSD?

    Financial PTSD is related to worries over a lack of money and resources. PTSD is post-traumatic stress disorder, but is it a disorder or is it a natural reaction to a situation that a person experiences?

    Financial PTSD

    It is quite common and affects between 20-30% of the population. The term Financial PTSD was first introduced by Dr. Galen Buckwalter a research psychologist. When a person experiences overwhelming mental, emotional, and physical stress responses triggered by financial issues. The experience is commonly referred to as flight, fight, or freeze, so how do people overcome these overwhelming deep-seated stress responses?

    Let’s first look at common symptoms.

    Trauma can manifest with a small t or a large T. Symptoms can include a combination of anxiety, panic attacks, shame, low self-worth, sleep disturbances, isolation, sadness, depression, intrusive thoughts, overwhelm, procrastination, relationship issues, falling into addictions, angry outbursts, thinking in lack and a feeling of impending doom.

    Some of the situations that people experience. 

    • Sudden, and/or major losses in financial security due to major life changes including divorce, separation, eviction, leaving an abusive relationship, job loss, and bankruptcy.
    • Fluctuations within the overall economy, such as inflation, the impact of high-interest rates on costs of mortgages, utility price rises, recessions, Government enforced lockdowns as in 2020 Covid 
    • Ongoing financial instability, current, past or short-term crises.
    • Poverty occurring between generations. 
    • Social and economic inequalities, gender pay gaps, ​​the difference between male and female earnings, and the female pension gap, where traditionally women do more low-paid and part-time work to fit in with family life.
    • Insufficient financial education and training, more so among working classes and of course women
    • Domestic abuse, emotional and psychological abuse, coercive control, and economic and financial abuses that leave women in vulnerable insecure financial positions.
    • Listen to the podcast episode three D’s in relationship endings Divorce, Death of a partner, Discard. the abrupt termination of the relationship.

    Out of 195 countries in the world not one has achieved financial gender equality.
    Only 10% of Fortune 500 CEOs are women.

    Women globally earn around 37% less than men in similar roles

    (Source: World Economic Forum)

    Overcoming Financial PTSD

    The main challenges in addressing the situation are, firstly, the need to make some practical changes in the life situation. Secondly, trauma can leave people feeling overwhelmed, hopeless, helpless, and paralyzed, so it is very difficult for a person to know what to do. Their decision-making processes are clouded, PTSD is characterized by being overwhelmed, which makes it hard to think clearly, focus, make a game plan, and follow through.

    Healing could lie in therapy and shifting the mindset.

    • Trauma-informed therapy
    • Financial education and training
    • Meeting with a Financial advisor or Debt counsellor
    • Learning new skills to enhance self-esteem and career prospects
    • Connecting with a mindset coach/mentor
    • Talking with trusted friends & family

    Taking back control and overcoming the challenges in your life when you have been hit by financial PTSD means taking steps to change yourself and your way of thinking.  Looking at the practical options you can implement to start regaining confidence and moving from a poverty mindset of loss and lack to gaining financial independence, security and prosperity.

    If you are feeling any of the common symptoms above remember you are not alone. Although talking about money and money issues is considered taboo for many people the way forward is to start seeking help and connect with others who, chances are, have been there, are going through something similar, or may be able to help.

    Success Stories

    There are numerous stories of successful individuals and entrepreneurs who have experienced all sorts of financial traumas, there are even millionaires who can tell you how before they found financial success they were in debt or had lost everything they owned. 
    Watch this video from a mentor Rob Moore with an interview with Steven Bartlett and how he really made his millions.

    Here is a simple equation. 

    When you can raise your VALUE in the market you can increase your income.
    You need to get out of survivor mode to financial STABILITY and then work towards financial FREEDOM. Instead of working for money, you need to learn how to do these two things.

    1. Earn money while you sleep.
    2. Make money work for you.

    If you would like courses and resources and ways to build confidence, transform, learn more, earn more, do more, and be more, to set yourself up for success then reach out to discover strategies to help yourself. 

    Subscribe to my channel