When it comes to being in debt, we all have a lot of preconceived notions surrounding the situation. After all, nobody wants to be in debt. But, in today’s society, it is very common to start out adulthood in debt right out of the gate. And even if you get to a point where you are able to get out of debt, it can be so easy to slip right back into it. So, if you are currently in debt, there are some great ways to change your debt mindset to help you finally get out of debt. And hopefully stay out of debt, while you are at it.
How you got into debt in the first place
The first step to changing your debt mindset, is to take a very hard look at how you got there. After all, if you don’t know how you got there to begin with, you can easily fall right back into debt.
So, begin really taking a deep dive into your financial past. This includes not only how you have been spending money, but how those money habits and beliefs formed in the first place. Ultimately, our perception of money begins at very early ages and grows from there. So, if your parents didn’t have a great relationship with money, or they didn’t talk to you about it, then it stands to reason you developed a similar mindset.
Beginning with your money story and/or beliefs that have currently shaped your perception of money is what can really help you get to the crux of the issue. Once you have figured out where you came from, and why you believe what you believe, then you can begin to change.
Change takes time, for all of us. But, if you don’t want to repeat the same harmful patterns, change must occur.
What’s your why?
In order for that change to not only occur, but be a permanent change, you have to have a strong why. What this means is that you need to have a very good reason why you want this change to occur. Living in the same damaging cycle over and over again can be very exhausting. It can wear you down and cause all sorts of mental breakdowns. Some of the most common include:
In order to break these cycles, a strong why is necessary. Having a strong why is not only important to break harmful financial cycles, but it can be seen a lot when people want to change their health for the better. Many people say they want to live stronger, healthier and skinnier, but when it comes down to actually doing the work, they fall short. This is because they haven’t determined their why yet.
So, determine your why to begin really reshaping how you think about money and finances. Some great reasons “why” people might want to change their debt mindset are:
- Don’t want to live paycheck to paycheck anymore
- Want to be able to travel
- Dreams of retiring early
- Want to change careers
- Aspirations of a better living situation
- Want to be able to go through day to day life without the constant stress of money
Even if none of the aforementioned speak to you, it’s important to find your driving factor in order to create the change. So, what is your why?
At this point, you have already determined how you got in the debt mess in the first place and your why to get out of it permanently. Which is awesome! However, this new mindset needs to be communicated openly with everyone in your world.
Whenever we change something foundational about ourselves or our lives, it has a tendency to throw those around us for a loop. A good example of this is when somebody who has smoked most of their life, suddenly decides to quit. This is already an extremely hard habit to break. But, if you don’t have the support of those around you, it can become exceptionally easy to fall back into old habits. Especially if anyone around you still continues to smoke.
The same can be said when people are trying to lose weight, work out more or just trying to change their eating lifestyle. Misery loves company and most people don’t want you to change because it’s familiar the way it is.
Therefore, you need to be comfortable and confident enough to communicate exactly what you are changing about your life and why you need their support to make it happen. If the ones you love can’t support you on this healthier financial journey, then that might be a bigger issue all in itself.
debt mindset summary
Overall, changing your money story and your debt mindset can be a difficult road to travel. In order to really be effective with changing your mindset and your money story, you have to start at the beginning. Dig deep into how you got where you are and why you believe what you believe about money and finances.
Then move onto your why. Why do you want to change your perception of money? What is the bigger picture you are trying to accomplish so that you can live a happier and more well balanced life?
And last, but not least, then you must communicate this information to your loved ones. Explain why you want to change your perception of money to get out of debt and what you want to gain out of it. Ask them to help you stay on track and motivate you.
Take this deep dive and begin the journey to make these changes. If you do, and are willing to put in the work, the rewards can be outstanding.
Have you ever considered changing your debt mindset to change your financial life? If so, how did you do it and what were the results?