The Psychology Of Money: 8 Ways To Improve Your Money Mindset

As the old saying goes, personal finance is ‘mostly personal and a little bit financial.’ 

8 Crucial Money Psychology Concepts

Human cognition can be messy. Each of us carries a collection of cognitive biases, irrational beliefs, and behavioral quirks. 

Optimism Bias

Optimism bias is the natural tendency to overestimate the likeliness of positive outcomes and underestimate negative ones. 

Pessimism Bias

The polar opposite of optimism bias – pessimism bias – can also play an insidious role in our finances 

Hedonic Adaptation

Human beings’ unparalleled ability to adapt to new settings and situations is one of our greatest strengths, but it can also get us into trouble with money. 

Swipe Up to read all 8 Ways To Improve Your Money Mindset