Have you ever seen someone spiraling out of control financially? I have seen this many times as a financial advisor when someone over and over routinely makes the wrong decision.
Why do people start into this financial downward spiral?
It usually tends to be their mindset and a feeling of scarcity. People who think in the scarcity mindset always say they will be happy if they have this item, or this experience, or went on a certain vacation. Even if they own a house in a good location, there is always a better house they could own in an even better location. When scarce thinking people finally obtain something they sought after, they are immediately afraid of losing it. They tend to over extend themselves and this usually triggers the downward spiral. The very objects they tried so hard to own, now own them and worse yet they are not even happy.
I have seen people with millions bitterly unhappy and I have seen people living on one income making less than $30,000 living a fulfilled and happy life. So why is this? The people with millions have a scarce mindset while the people with nothing have an abundance mindset. Abundance is the exact opposite of scarcity and under the idea of abundance there is more than enough out there for everyone.
Abundance mindset starts with giving.
These are principles we all learned way back in childhood. I remember the saying “it is better to give than receive.” My friends who live on $30K a year are some of the most giving happy people I know. People gravitate towards them and they always seem to have more than enough around them. Sure, they have dreams and desires but it is not there reason for living. You can have success beyond your wildest dreams but if you are not in an abundance mindset you will not have fulfillment, and success without fulfillment is the ultimate failure.