Talking About Money – Why Personal Finance Is Always Tricky

Photograph: SALTOnline (1930)
Pictured is a bank in Istanbul
Similarities of the first banking institutions appeared in Babylon in 2000 years BC



The topic of finance is very sensitive and often quite unpleasant to discuss. However, it is still worth talking about money - private investor Andrey Nalgin gives examples of how hushing up money issues can hurt you and your loved ones. In Russia, it is believed that decent people do not talk about money, but simply have it. As long as it takes to avoid the topic of money.

Outside Russia, money — along with religion, politics, disease, and death — is also an undesirable subject for conversations with those far and near. And the money leads. According to statistics, 35% of Americans tend to avoid talking about politics, 32% about religion, and 38% about death.

About money prefer not to talk 44 people out of a hundred in the United States.

In Russia, with its culture of procrastination, probably more.

Why money is difficult to talk about is not hard to understand. In modern society, money is considered a measure of success, solvency, personal effectiveness and even attractiveness. And they, according to statistics, cause quarrels between loved ones in more than half of cases. Thousands of marriages fall apart each year due to disagreements over financial matters.

Does this silence work?

Hardly. According to a friend of mine, a financial adviser, a typical client complaint is that our family didn’t talk about money, budget and financial planning, so it’s very difficult for me to understand that incomes are high and there are almost no savings. The words may be different, but the essence is the same. It is difficult to talk about money even with a professional, and even harder to come to the idea of having to talk to him.

Psychologists recommend focusing on three things to break the default habit and start talking about your finances with your loved ones.

One. Silence about money matters hurts you. When we put off a difficult conversation, we tend to consider it only a small delay and reassure ourselves that sooner or later we will “mature”. Psychologically, the issue fades into the background. But without our attention, money problems tend to grow and eventually turn into a personal financial crisis. That’s why it makes sense to think of silence as a threat to our quality of life.

Two. Silence about money is hurting your children. Children learn about money in the family. Those who have not formed the right goals and attitudes about money are likely to be guided by the wrong ones. The right financial habits will be replaced by bad ones.

Three. Silence about money prevents you from getting help or advice when you need it. Chances are that someone hearing about your difficulties will recommend a good financial advisor. Or share your experience in solving problems. As practice shows, the answers to questions are found, you just need to start looking for them diligently.

Source:livejournal.com

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