What’s your relationship with money? Not just your income or net worth, but your story about what money means—its power, its purpose, its limits. In midlife, that story often shifts. We ask questions like: How much is enough? What does security look like now? Can we still live and give the way we used to?

With the new year here, it’s a great time to look at your relationship with money, and take some steps to change it for the better. That can mean shifting your mindset, adjusting your habits, and exploring your emotional connections to money. 

Here are some effective ways to get started, and some tried and true resources to help you get going.

1. Reflect on your money beliefs

• Understand your money story: Reflect on how your upbringing, culture, and experiences shaped your current views on money.
• Identify your limiting beliefs: Consider what you believe about money that might be keeping you stuck (e.g., "Money is the root of all evil" or "I’ll never have enough") and challenge those beliefs.

2. Educate yourself about money

• Learn financial basics: A surprising number of us never learned the basics, and really, it’s never too late to begin. Start with getting a handle on budgeting, saving, investing, and managing debt. There are lots of free resources out there - I’ve listed a few good ones at the end of this article. Your financial institution may offer classes!
• Seek professional advice: If you want expert advice, wise counsel, or you’ve gone as far as you can go alone when it comes to your learning journey, talk to a financial advisor or planner. They can help you take the right next step.

3. Set clear financial goals

• Define what you want: Get honest about what you want and set some short-term and long-term goals that fit. That might be saving for a degree or a vacation, paying off debt, or building wealth.
• Align your goals with your values: Check in and make sure your financial goals reflect what truly matters to you. They might include simplicity, experience, security, freedom, generosity - what are yours? If you haven’t spent time considering or articulating your values, again, there are some great free online tools to help. 

4. Develop healthy money habits

• Budget regularly: Start by tracking your income and expenses with consistency. This is important for gaining control over (and a really accurate picture of) your finances.
• Pay yourself first: Even if it’s difficult, build an emergency fund and contribute to savings regularly, no matter how small the amount.
• Pay off debt: Take an honest look at your debt, and start making a sustainable plan to reduce and eliminate it. Remember, it’s okay to start small!

5. Shift your spending perspective

• Prioritize value over impulse: Spend on experiences or things that bring lasting joy, rather than on items that offer only temporary satisfaction.
• Create intentional spending plans: Review your spending to make sure your expenses are actually aligning with your goals and values. Adjust accordingly.
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6. Address emotional connections to money

• Recognize emotional spending: Identify when and where you're spending to cope with stress or emotions. 
• Practice financial mindfulness: Pause and reflect before making purchases.

7. Practice gratitude and abundance thinking

• Focus on what you have: Appreciate your current resources instead of fixating on what you lack.
• Reframe scarcity mindset: Replace "I can't afford this" with "How can I afford this?" to encourage problem-solving.

8. Surround yourself with positive influences

• Join communities: Connect with like-minded individuals who are working toward financial well-being.
• Limit comparison: Keep bringing your focus back to your journey rather than others’ perceived success.

9. Give back

• Donate or Volunteer: Sharing your resources can create a sense of abundance and purpose.
• Practice Generosity: Small acts of giving can improve your outlook on money. 

10. Redefine success

• Focus on fulfillment, not just financial wealth: Measure success by the quality of your life, relationships, and happiness rather than material accumulation.
• Enjoy the journey: Treat financial growth as a lifelong process, celebrating progress along the way.

Changing our relationship with money is a journey that takes consistent effort and reflection. So start small, celebrate your progress, and remember that financial well-being includes both practical and emotional dimensions.

Some tried and true resources

‍Books:

1. "I Will Teach You to Be Rich" by Ramit Sethi: Focused on living a rich life, this is a straightforward and practical guide to personal finance that covers budgeting, investing, and saving.
2. "Happy Money: The Science of Happier Spending" by Elizabeth Dunn and Michael Norton: Looks at how spending money in certain ways, such as experiences over things, can boost happiness.
3. "Rich Dad Poor Dad" by Robert Kiyosaki: Highlights the difference between working for money and making money work for you, emphasizing financial education and asset-building.
4. "The Psychology of Money" by Morgan House: Focuses on the behavioural aspects of money, explaining how emotions and experiences shape our financial decisions.
5. “The Soul of Wealth: 50 Reflections on Money and Meaning” by Daniel Crosby: Explores the true meaning of wealth and provides practical tips for changing your thinking and actions in small, powerful ways, toward a wealthier life.

Financial education websites:

1. Investopedia - https://www.investopedia.com/ 
2. MoneySense - https://www.moneysense.ca/ 
3. The Balance - https://www.thebalancemoney.com/
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