Emotions and spending.

source

In my tribe, they believe that the first money you earn, you are going to spend it lavishly just because they understand how emotions work. And 70% of people, when they get their first paycheck, mostly spend it based on emotions. Most people buy things that they don't want, little of the things that they need, and spend the money just to make themselves happy and nothing concerns them with spending wisely.

One thing people hate to admit is that spending with emotion has nothing to do with intelligence. You see, the way emotions work is that they cloud our judgment, and sometimes the truth might be obvious. We just want to satisfy that feeling for the time being, and that is why we buy most of the things we don't need because we just want to satisfy a feeling and urge to feel good.

Opportunity and control.

You know, in life, some of us are not destined for a lot of opportunities, and this set of people when they have access to money for the first time instead of them tying it down they spend it lavishly based on emotions, but those that have more than one opportunity turn to grow in understanding and see their flaws later. That's when you will hear them saying, “It is time to do something with my money.”

The reality is anybody can fall into this category. We can do anything based on emotions, but to have control over our emotions, we must have experience, and that is a great teacher. You can't just wake up overnight and have control over your emotions; it comes from experience, knowledge and that is why financial important because you don't the experience you might the knowledge and it is left for you to use it.

Process

Looking at our life, we realize that we still make some decisions based on emotion and sometimes financial decisions, and even top investors still make decisions based on emotions. We can get rid of this emotion, but it is not immediately. It is a gradual process. The more we learn, the more we have power over our emotions.