Influence: How Our Behaviors are Impacted by Family and Friends

Our relationships with family and friends shape the way we manage our money. 🧐 Understanding these influences can help you recognize habits you don’t want to continue. 🙅 Let’s explore how these connections can affect your financial habits. 🤝

1. Copying (or Rejecting) Family Patterns: Many of us either mimic or go in the opposite direction of what our parents did with money when we were growing up. If your parents were frugal savers, you might recognize that you adopted a similar approach. However, if you observed financial struggles in your family, you might manage your money in the exact opposite way- for better or worse. 🤷 This is often unconscious- most of us don’t realize that we’re copying or rejecting what we witnessed growing up.  Recognizing that you do this can help you decide which habits are worth keeping and which you can toss. 🗑️

2. Observing Your Friends: Whatever behavior we observe regularly becomes ‘normal’ to us, so whatever your friends do will eventually influence your decisions. 👀 The main problem with this is that your situation is likely very different from theirs.  Financial wellbeing requires that you thoughtfully choose and work towards your financial goals, regardless of what your friends do.

3. Peer Pressure and Keeping Up: Peer pressure is often a significant factor in financial decision-making. It’s easy to feel compelled to match the lifestyle of friends or colleagues who have different financial situations. This can lead to overspending and unnecessary, painful, debt. 😖  Prioritizing your financial well-being over keeping up with others is hard to do, but the benefits are enormous. 🐘

4. The Impact of Financial Shaming: People often judge others based on their financial choices. Whether it’s being criticized for not spending enough or for indulging too much, this can have a severe impact on your financial self-esteem. 😧 It’s important to remember that your financial choices are personal, and no one else’s opinions should dictate how you manage your money. 🙉

Understanding how family and friends influence your financial habits is key to making better financial decisions. 🔑 Recognizing the impact of your upbringing, friends, peer pressure, and financial shaming will help you create a balanced and healthy relationship with money. Let your financial choices reflect your goals and values, because money is personal. 🤩