How Do You Approach Making Financial Decisions? Do You Know When to Trust Your Feelings vs Not?
Having a thinking partner and trusted resource is a great first step towards financial success and freedom. Somebody who can help you make decisions in line with your values and goals, while also possessing the necessary technical finance skills and qualifications. Do you have a thinking partner? Do you have principles for making financial decisions?
Do you know when to trust yourself? Times when to trust your feelings though logic may not align? Or vice versa when you shouldn't trust your feelings and instead make decisions based off some alternative basis?
For me, knowing when to trust my feelings (and equally as important, when not to trust my feelings) has had (and will continue to) hold significant ramifications for my life. In my finances, in my relationships, in how I spend my time, etc. And the same is true for you!
Being able to know when to trust your feelings (or not trust them) is huge to financial success. Many of us (myself included) let emotions build and then persistently ignore them until hitting a breaking point and end up making a huge decision that has major financial repercussions. You swing over the tipping point on the teeter totter and now are on the complete opposite side of where you wanted to be.
Sometimes with money, we actually need to let ourselves listen to our feelings. Especially for people that are on rigorous savings plans (or if you've recently made major financial behavior overhauls). Taking little hits here and there is way healthier than taking a periodic huge hit.
So again I ask, what are your decision making principles with your money? How do you discern when to trust your feelings vs not? Set aside some intentional time to write them down. If you don’t know where to start, we’d love to help guide you through that process.
Let’s look at a few examples where this could play out:
Should you quit your job that you hate that makes you a steady paycheck to pursue something that is risky, unknown, and by logical standards, financially unsound?
Should you sell your $20,000 car that has a $12,000 loan and just buy a $8,000 car so that you don't have debt any more?
Should you start a side-hustle that you're passionate about even if it will take a lot of time-investment without a high chance of financial reward?
Being able to answer these types of decisions effectively starts with having a qualified thinking partner when it comes to the principles of financial decision making. So many people are going at it alone, or looking to generic Youtube videos to tell them what they 'should or shouldn't do' with their finances.
Handling money is not as black and white as free information on the internet makes it seem. There is no generic formula to your financial success. Why? Because you are unique. You have unique intrinsic motivations and unique goals. And YOU define your goals, not anybody else. This is why I have such a problem with only looking to group financial coaching classes or a Dave Ramsey class. It's not focused on you! It's generic (which is good in and of itself, but generalized education should not your exclusive financial education).
Any financial planning or financial coaching conversation that doesn't start with your individual goals shouldn't even be considered financial planning or financial coaching. Anything other than that to me is called sales -- pushing on you a predetermined agenda before actually getting to know YOU -- what drives you, what you care about, what your passions are, what your goals are. Please don't settle for anything that isn't centered around your unique goals.
So if you want to talk to someone who approaches decision-making from a holistic perspective in line with your values and not selling you on a predefined agenda, I'd encourage you to book a free consultation call with me as a flat-price financial coach at https://www.financiallyforgotten.com/contact. My hope is that through this free blog you can come to know more about me, my motivations, and my approach to goals-based coaching. Remember, the takeaway question of the week is:
What are your decision making principles with your money? How do you discern when to trust your feelings vs not?