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Ever considered how certain aspects of your personality type might be hindering the way you manage finances? Your natural disposition can feed into negative habits or, if harnessed properly, be converted into powerful tools that work in alignment with your unique personality type.

We’re not necessarily talking Myers Briggs (i.e. introvert vs. extrovert), but rather the 4 financial personality types. Most of us will identify with one or two of these.

The Aggressive Spender

Do you typically live above your means? Do you secretly like to flaunt your wealth with the latest Apple watch, but your checking account cries a little bit when it’s time to pay rent? It might be time to start saving more. To be blunt, of all of the personality types, this one is likely to have the hardest time managing their finances. However, the fact that you are not averse to risk can prove to be beneficial when it comes to investing.

Helpful tip: Since you know you have a tendency to spend impulsively, get proactive. Set aside a chunk of money every month and place it in a long term investment like a CD or an IRA.

The Eager Borrower

Taking out a loan isn’t necessarily a bad thing. Loans can make what was formerly impossible, possible by getting us the money we need for growth, and when necessary, meeting the needs of life. If however, you find you’re taking out loans that don’t satisfy a need like getting your car fixed or, that help you fulfill concrete objectives like expanding the size and profitability of your business, then look into your borrowing habits. Are you borrowing because doing so makes you feel wealthy? Are there smarter ways to borrow which will lead to less debt over time?

Helpful tip: Only borrow what you can realistically pay off.

The Conscientious Stockpiler

Careful, conservative, calculated…your financial habits are 100% predictable. Maybe life’s thrown you a few curve balls and you’re hoarding extra “for the winter.” We applaud your frugality but it can have it’s drawbacks.

Are you holding back from enjoying life and spending on what you truly value? Perhaps you’ve always dreamed of travel. You can use your keen sense of frugality to find the best travel deals and check off a lifelong goal.

Helpful tip: Carve out some of that stockpile each month to spend on something that gives you a sense of fulfillment.

The Giver

This personality type has an emotional connection to their money. Giving is great. That said, many givers forget to take care of themselves. Sounds like you? When you get that bonus at the end of the year, or that tax return, be sure to factor in your needs first, including enriching your savings, building an investment portfolio, and either saving for or spending on the things which make you truly happy. Be careful not to get taken advantage of by “takers” since many givers find themselves surrounded by people of that persuasion.

And know this: the individuals who are worthy of your friendship will stick around. Let those who deserve it be the beneficiaries of your happiness, security and generosity of spirit, a perfect win-win!

Helpful tip: Channel your desire to serve others in non-monetary way by doing volunteer work, hosting a book club, or simply lending an ear to a friend in need.


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