Dear Family,

When we think about money, we often focus on the tangible aspects—earning it, saving it, investing it. But beneath those practical steps lies something even more important: your relationship with money.

This isn’t just about what’s in your bank account; it’s about the beliefs, emotions, and identities tied to every dollar you earn and spend. Psychological research tells us that our beliefs about money are often shaped early in life by what we saw, heard, and experienced growing up. Whether we realize it or not, those experiences continue to influence our financial decisions today.

Identity and Money

Dr. Carol Dweck’s work on mindset shows how our beliefs shape our outcomes.

When applied to money, this means the way we think about ourselves—as savers, spenders, investors, or even as people who “deserve” wealth—can dictate our financial behavior. If you believe you’ll never get ahead financially, your actions might unconsciously reinforce that belief.

But here’s the good news: beliefs aren’t set in stone. You can reshape them.

Beliefs About Money

Many of us grew up hearing things like:

• “Money doesn’t grow on trees.”
• “We can’t afford that.”
• “Rich people are greedy.”

These messages can create scarcity mindsets, where we feel there’s never enough to go around. They can also cause us to subconsciously sabotage our financial progress or feel guilt when we start to achieve success.

Changing your relationship with money begins by identifying these limiting beliefs and replacing them with empowering ones:

• “I can create financial security through intentional decisions.”
• “It’s okay to build wealth while staying true to my values.”
• “My success creates opportunities for others.”

Your Relationship Shapes Your Results

Studies on financial psychology show that people with a healthy relationship with money are more likely to stick to their plans, make intentional investments, and bounce back from setbacks. Why? Because they see money as a tool, not a source of identity or self-worth. They ask themselves:

• Does this spending align with my values?
• Is this investment helping me build the life I want?
• Am I being proactive, or am I letting fear or old habits dictate my decisions?

Moving Forward

As we head into a new year, take time to reflect on your relationship with money. Ask yourself:

• What beliefs about money am I holding onto?
• Do those beliefs support the person I want to become?
• What steps can I take to align my financial actions with my long-term goals?
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At the end of the day, money is a tool—but your mindset is the blueprint. If you want to change your financial future, start by changing your relationship with money.

From LUX, With Love

Matt