Hello again! We’re continuing our series on Money Mindset and how your attitude and thoughts about money shape your experiences and your financial reality. We’ve explored the topics of scarcity and abundance, as well as building confidence and self-worth.  

Today we’re going to talk about overcoming fear and taking action.  

FIRST: Fear is Normal: Everyone feels nervous about making financial decisions, especially if it’s new ground for you. Many of us strive to “do all the right things,” and knowing what those things ARE can be daunting.  

You can move past that fear by taking a moment to consider your mindset.  

Carol S Dweck wrote a book on this called, “Mindset: The New Psychology of Success.” She explains two different ways of thinking:  

Fixed Mindset: People with a fixed mindset believe that their intelligence, talents, and abilities are innate and unchangeable. They see success as proof of inherent ability and avoid challenges that might expose perceived weaknesses. Failure, in this mindset, is seen as a reflection of identity (“I am a failure”) rather than a learning opportunity. Effort is often viewed negatively, as something only those lacking talent need to exert. 

Growth Mindset: In contrast, those with a growth mindset believe that abilities can be developed through dedication, learning, and effort. They embrace challenges, persist through setbacks, and see failure as a necessary part of growth. For them, effort is a path to mastery, and feedback is a tool for improvement. Success is defined by progress and learning, not by being better than others or proving innate talent.  

Dweck’s research shows that mindsets are not fixed traits themselves—everyone has a mix of both, and it’s possible to shift towards a growth mindset.  

So, if you naturally have a growth mindset when it comes to your career but find yourself stuck in a fixed mindset when it comes to your money, there’s nothing wrong with you – it’s common. The key is to NOTICE that difference, and work on it.  

Here are some examples.  

In summary, a fixed mindset sees financial skills as unchangeable, while a growth mindset believes that learning and effort will lead to improvement.  

Shifting to a growth mindset opens up new possibilities for financial success! It can also help to shift you out of fear and embrace taking action. 

How to Overcome Fear and Take Action: 

1. Action Calendar: Schedule one small financial action each week – like logging into your bank account to check the balance, or checking your credit score, or paying off a bill, or setting up automatic savings to reach a goal. 
   
   
2. Progress Journal: Write down each week what you learned from your actions, not just what the outcome was. Taking a few moments to reflect will help you to gain perspective and get more comfortable taking action.  
   
   
3. Reward Progress: Treat yourself for taking action, not just for achieving results. 

Resources: I encourage you to read Dweck’s book if you are curious about this subject.  

You can also check out my book, “Peaceful Prosperity: Taking the Fear Out of Finance” along with the companion Workbook, both available on Amazon. 

The Workbook especially helps you to take small, not scary steps forward on your personal financial path. It has the look and feel of a beautiful journal, not a spreadsheet, thanks to the help of my wonderful designer Jenny Muscatel.  

Closing: 

Taking action, even imperfectly, is the key to growth. Don’t let fear or negative beliefs (like a fixed mindset) hold you back. Believe that you can make progress! And then take a small step forward. Every step builds your confidence and brings you closer to your goals.