Breaking the Taboo: Why Talking About Money Is Healthy

Based on the concepts discussed in Chapter 8 of Moneyology

Talking about money can be an uncomfortable subject for many of us. It's a topic that's often taboo and avoided at all costs. But avoiding the issue is unhealthy and can harm our financial well-being. Having open and honest conversations about money is essential for building healthy relationships and securing financial stability. 

In this blog post, we'll explore the benefits of breaking the taboo around money, discuss ways to overcome financial anxiety and start confidently talking about money. So, let's dive in and discover why talking about money is healthy!

Money and Emotions

A study by Ally Bank found that 70% of Americans believe it's rude to talk about money. And for many people, discussing money can trigger anxiety, fear, and shame. This is often due to a lack of financial literacy or past negative experiences with money. Fortunately, there are strategies you can use to help overcome financial anxiety and start talking about money with confidence.

One helpful strategy is to practice deep breathing exercises. When you feel anxious or stressed, taking a few deep breaths can help calm your mind and reduce feelings of panic or overwhelm. For example, try inhaling for four seconds, holding your breath for four seconds, and then exhaling for four seconds. Repeat this pattern for several minutes until you feel more relaxed.

Another strategy is to journal your feelings about money. Writing down your thoughts and emotions about finances can help you identify any underlying fears or anxieties you may have. Once you've identified these emotions, you can work on addressing them and developing a more positive relationship with money.

If you find that your financial anxiety is affecting your daily life or causing significant distress, seeking professional help from a therapist or counsellor may be helpful. A mental health professional can help you identify the root causes of your anxiety and develop coping strategies to help you manage your emotions.

Finally, it's important to remember that financial literacy is a skill that can be developed over time. If you feel anxious or overwhelmed by financial matters, consider enrolling in a financial education course or working with a financial advisor to improve your knowledge and confidence.

Using these strategies, you can overcome financial anxiety and develop the skills and confidence to have productive conversations about money.

Financial Transparency in Relationships

Money is a common source of conflict in relationships, and a lack of financial transparency is often the root cause. When one partner is secretive about their finances or doesn't disclose their spending habits, it can erode trust and lead to disagreements. According to a study by Fidelity Investments, 43% of Americans don't know how much their spouse earns. 

To avoid this type of conflict, being transparent about your relationship's finances is essential. If you can't be open and honest with your spouse about your financial situation, who can you be honest with?

This means disclosing your income, debts, and expenses to your partner and being honest about your financial goals and priorities.

One way to promote financial transparency in relationships is to set up regular money dates. These dates can be used to review financial reports, discuss budgeting, and set financial goals together. Setting aside time to discuss finances allows you to avoid surprises and ensure that both partners are on the same page.

Another way to promote financial transparency is to create joint accounts for shared expenses like rent, groceries, and utilities. This can help ensure that both partners contribute equally to these expenses and prevent misunderstandings over who is responsible for paying what.

Ultimately, financial transparency is essential in building trust and preventing relationship conflicts. By being open and honest about your finances, you can ensure that both partners are working towards shared financial goals and can avoid misunderstandings or surprises down the road.

Starting Your Money Conversations

Talking about money doesn't have to be a daunting experience. It can be as simple as asking a friend for advice or sharing a book that helped you better understand your finances. There's no shame in not knowing everything about money management, and we all have something to learn from one another.  

To help you overcome any fear of talking about money, here are my top tips for beginning productive financial discussions with your loved ones.

Start small: 

If you feel uncomfortable discussing money, begin by talking about small expenses, such as a recent purchase or a new savings goal. Starting small, you can build up to more significant financial conversations over time.

Be honest: 

Honesty is essential in any relationship, and financial conversations are no exception. Be upfront about your financial situation and any concerns you may have. Your honesty may encourage the other person to do the same.

Set goals together: 

Setting financial goals is an excellent way to start a conversation about money. Discuss your short and long-term financial goals, and work together to develop a plan to achieve them.

Seek advice: 

If you're struggling with managing your finances, seek advice from a financial expert, trusted friend, or family member. Discussing your situation with someone with experience managing money may help you gain a new perspective and better understand financial management.

Focus on the positive: 

When starting a conversation about money, focus on the positive aspects of financial management. Discuss how managing your finances can help you achieve your goals and improve your well-being.

It's time to break the silence around money and start having healthy conversations about our finances. By addressing our fears and anxieties, being transparent in our relationships, and starting productive discussions about money, we can improve our financial well-being and achieve our goals. If you want to learn more about managing your finances and building wealth, I encourage you to check out my book, Moneyology. It's a comprehensive guide that will help you develop the skills and confidence you need to take control of your financial future. So, start the conversation today and take the first step towards achieving your financial goals.