Research has demonstrated a link between financial resolve and a variant of a gene associated with self-control. However, studies have also shown that nurture can trump nature when it comes to smart money management.
Here are a few methods to help you become better with your money:
Using basic rules or mantras to guide financial and spending decisions can lead to better outcomes in personal finances. Developing a heuristic process creates a rule and makes a person more conscious of their decisions. For example, basic mantras such as ‘I never shop on impulse’ can guide an individual to better spending decisions.
Make Saving Easy
Make saving easy by having a fixed amount deducted from each paycheque. Set these to increase automatically by a fixed percentage, if possible.
Plan and Execute
A specific plan for paying off debt or saving more provides action steps for achievement. Getting support can also help with ongoing commitment and execution.
Have a Larger Purpose
Having a larger purpose such as putting one’s children through university or saving up for a house can lead to making smart decisions.