cnbc.com
Mindset Over Money: Klontz on Financial Psychology
Financial psychologist Brad Klontz discusses the importance of mindset in achieving financial success, arguing that ingrained beliefs and behaviors are major obstacles to wealth building.
English
United States
Labour MarketLifestyleFinanceWealthPsychologySavingsMindset
CnbcMcdonald's
Brad KlontzAdrian BrambilaGreg Iacurci
- What is Klontz's core advice for achieving financial freedom?
- Klontz's key advice is to adopt a mindset of prioritizing saving a percentage of every income towards financial freedom, arguing that consistent saving, regardless of income level, is the path to achieving financial independence.
- What are the characteristics of a 'rich mindset' according to Klontz?
- A "rich mindset," according to Klontz, involves a future orientation, valuing time over material possessions, and consistently saving a portion of income. This contrasts with a "poor mindset" that prioritizes immediate gratification and trading time for material possessions.
- What is Klontz's view on the relationship between wealth and spending?
- Klontz challenges the belief that wealth equates to lavish spending, citing research showing that high-net-worth individuals often spend far less proportionally than their income suggests. He attributes this to "money-vigilant" beliefs about saving and investing.
- How does Klontz differentiate between being 'broke' and having a 'poor mindset'?
- Klontz differentiates between being "broke" (a temporary lack of money) and having a "poor mindset" (limiting beliefs about money that perpetuate poverty). He argues that a poor mindset can hinder financial success regardless of income level, citing lottery winners who quickly squander their winnings as an example.
- What is Brad Klontz's main argument regarding the importance of psychology in personal finance?
- Brad Klontz, a financial psychologist, emphasizes that financial success hinges more on psychology than financial literacy, arguing that most people already know the basics of saving and budgeting but struggle with implementing them due to ingrained beliefs and behaviors.