10 Ideas for Money Habits You Should Develop

Your financial health is as important as your physical health

As an entrepreneur, your personal money mindset determines whether your company is a success or a failure. You might have a great idea, a well thought-out business plan and you are motivated and committed… but if your money mindset is not supporting you, you will end up sabotaging your company’s growth!

You are likely to carry several “money blocks”, especially if you don’t come from a family of successful entrepreneurs or if you struggle reaching your financial goals.

The most effective way to transform your financial mindset is by developing supporting money habits, like the following ten habits:

1. Monitor Your Expenses

Your golden rule should be spending less than you earn. Keep track on your income, regular expenses and additional expenses, and don’t forget to dedicate an amount for savings. This will give you a greater insight into where your money is going and a better sense of control. Most important – it helps you reach your financial goals.

2. Prioritize Your Spending

Prioritize your monthly expenses. Housing, food, and utility bills should be on top of the list. Then, analyze where else your money goes and put this list in order of priority. Differentiate between what is essential, and what is “nice to have”. When you know you’re saving for something important, it makes it much easier to say “no” to the morning café latte or the newest iPhone.

3. Avoid Impulse Purchases

When you are at a store or an online shop and you find yourself ready to buy something that you didn’t plan buying before, DON’T BUY IT. Make a rule that every time you find yourself in this situation you take 24 hours to think whether you really need it.

4. Save a Little Every Month

Having a contingency backup equivalent to 6-12 months of earnings is a must. We call it financial safety. When your contingency fund is full, keep saving every month for your long-term, bigger purchases. Getting used to saving 10% of your income and living on 90% of your income – is one of the best money habits to develop.

5. Be Frugal

Being frugal doesn’t mean you do not love yourself, and neither does it mean you’re cheap. It teaches you to focus on what is truly important and finding creative ways to achieve it without necessarily spending a lot of money. You soon learn to be content with what you have instead of needing to “keep up with the Joneses”.

6. Invest to Create Passive Income

If you have extra money after paying your essential monthly expenses, investing back in your business is the best strategy. Investing it in developing sources of passive income is the fastest and safest way to achieve financial freedom.

7. Pay Yourself First

Pay yourself first, as if you’re an employee. That means setting aside money for your financial goals before you spend money. Most people pay first for their needs or spending on wants, and only then saving money. But you should start paying yourself first, even before you pay your bills.

8. Don’t Pay Yourself Too Much

Don’t make the common mistake of confusing revenue with profit. Money coming in doesn’t mean you can pay yourself a big chunk – not initially! Only when your profit margin grows, give yourself a small bonus.

9. Separate Personal and Business Finances

Keep your personal and business income separate at all times. This will help ensure you treat your business like the independent entity that it is. It also eliminates any situation where you might be tempted to withdraw money from the business account for personal use.

10. Give Back

It may seem counterintuitive to give generously your time and money, but this is an important investment. Even donating a few euros a month to a cause you’re passionate about helps you connect with your community and be a part of something bigger than yourself. This is the first step in becoming an Enlightened Millionaire.

Now It’s YOUR Turn

For five minutes… come up with as many ideas as you can… what supportive money habits you should develop?

Let's Brainstorm


Please share your ideas (all of them or just one) in the comment box below… and let’s get WOWing.

Live fully, stay awesome,

Nisandeh Neta

Top Commenters – last 30 Days

Let's Brainstorm


Please share your ideas (all of them or just one) in the comment box below… and let’s get WOWing.

Live fully, stay awesome,

Nisandeh Neta

    My husband and I saved a lot of money by stopping storage. We storaged old furniture if we could not sell it
    Or to save for the kids if they would move out. We found out that it is cheaper to stop the subscription of the storage and just give it away. We have beautifull Second Hand Stors that are happy with it.

    I saved a lot of money ending gym memberships. In steat I go to karate lessons 2 times a week. I have great trainers there that give great value. And it gives me satisfaction and a sence of community.

    As soon as I put my name in the KVK I was called by people that wanted my advertisement money. If I did not see that magazine in the supermarked. Or if I did not use it myself, I did not do that anymore.

    You do not need a photographer of videographer for everything. I use them for certain things they only can do. But for a lot of things, I can do it myself.

    5. USE FREE APP time and money
    I learned actuatlly from Vered in a LIVE training, how to bargain. There are soooo many ways to bargain. I am the worst in barganing. Actually I got a great deal for a training I gave. I saved a lot of money.

    I found out Long ago that certain people. Professors love to be rockstars. If I want to come and interview them for a master. Or if I want to give a training they come. I can ask and learn what ever I want. And of course, we need to prepare. And then I can ask some more. This saved me tons and tons of money.
    Even last saturday. It was great. And my clients loved me for asking. They found that really professional of me. LOL

    7. PAY RIGHT away to avoid paying extra for paying late

    8. Pay you "friends" ASAP. Money is a thing that you do not want to come between you and you friends

    I helped a client with her kid. And she made my logo and webdesign. She did not want to barter. And she was right. We are very happy with eachothers work. How ever, we will help eachother by connecting them to other people or interesting things for them. This we do barter on.

    10. GIVING:
    I did have a barter which was not an equal barter. How ever. The mother felt like she invested in her child. So she was committed. And I gave her child a chance

    11. LEAVE FOUNDATIONS ore any oranisations if there is even a smell of corruption.
    You might get caugth up in it.
    And better yet. If you want to help them financially. Give money and do not get involved.

  2. - Invest, it gives you more profit than the bank. Put money towards it on a regular basis.
    - Pay off loans and credits
    - Stop abonnementen.
    - Be selective in your purchases. I find that entrepreneurs offer their services first for a small amount. It is very attractive. But how many times do you actually follow through?
    - Sometimes investing largely in one training gives you more revenue, instead of doing the previous small purchases.

  3. Despite the fact that I love to spend money, I will try to:

    1. Arrange one off fees on different months
    2. keep calculating VAT to pay, so I don't need to give all the money for VAT payments
    3. plan ahead and get materials when there is an offer
    4. instead of an awareness generic ads campaign plan one for specific events / seasons

    1. What I think: I'd say handle your bills the way you want other people to handle yours. Would you like other people to pay yours for 95%? I know I wouldn't, unless, of course, I would give them the choice: you pay immediately and get a 5% discount.

      But I would NEVER do that without a mutual agreement, let alone for the administrative hassle...

  4. - Be grateful every day for all the money that is flowing in your direction every day more easily in bigger and bigger quantities.
    - Learn Crypto.
    - Put a certain amount of money in indexfunding every month.
    - Learn to understand the power of compound interest.
    - See all the money in the world as the water in the sea. The sea doesn't care if you go to the beach and fill a bucket, or fill a wheelbarrow, of fill a truck. It doesn't effect the sea. There is enough for everyone. You earning just enough to live from, earning over 100K or earning over 1M doesn't effect the ability of other people to do the same. This helped me getting rid of feeling guilty about having to much money.

    1. Bonus tip: Create a PLAY account.
      Start with setting 1% of your income in that account. Now the rule is: you have to spend that money every month!
      And do it on things that make you feel rich.
      So if you want to be on the water, don't hire a rowing boat for a full day, but hire a yacht for half an hour.
      You will find you are going to want to make more money because you want that 1% for your PLAY account to get bigger.

      1. Hey Paul!! So nice to see you here! 😃

        LOVE your water example...

        And also... the 1% of your income and make it grow... that's actually WONDERFUL... I sometimes make a lot of money in one month, and sometimes nothing... it would be nice to actually FEEL it if I make more money.... and 1% is doable...

  5. What always helps me is to ask myself: Is it an expense or an investment? Avoid spending.
    Grow your money by daring to invest. Investments that yield more than interest.
    By using time wisely, because money is infinite and your time is limited.
    By not spending money on advertising your business.
    Investing money in wind farms, because they yield much more than interest on your savings.

  6. In order to build a sustainable and profitable business it's key for me to keep track on both revenue and cost. I have developed a revenue gap forecast model and update this daily, this helps to predict next months revenue in addition to my pipeline. Reagrding the cost I have specified every dime spent and track/update this again daily. This way I know exactly what my monthly margin contribution should be (employing 4 people and hiring an office). And helps me to adjust and take action if necessary.

    Either way I am paying myself a fixed fee every month to make sure my personal bills keep being paid as well 😁.

  7. I always pay my bills immediately, need to pay them anyway, so why wait?
    But also send your invoices!
    Pay taxes in advance. I most of the time get money back. If not they charge up to 15% interest... Where can you get 15% interest?
    When you're not happy, fire people.

    1. When you are not happy, (with your employees, you mean, I'm sure) fire people.
      That is such an important one!
      I learned this from my father who had a backery his whole life.
      He thought so many times: 'maybe next month they will do better'.
      It never worked. When you found a good employee, you will know so very quickly.

      1. I meant employees indeed, but actually, I fired 3 of my customers as well... That was the best thing at that moment for my company (dance school).

        But I had to learn to fire employees as well. Same thought: they did well before, maybe next time they get better again...

  8. Great tips I've read here!

    For me money mindset is key. These are my tips:
    1. Love money, treat it as a very good friend
    2. Educate yourself on financial freedom
    3. Change ideas about money (eg I have to work hard to earn money, change it into I work smart and money flows in...)
    4. Listen to re-programming songs, like I'm wealthy healthy happy loved and rich: https://www.youtube.com/watch?v=RqzDhOIVuQc
    5. Trust that everything you need is always there

    1. Oh, thank you for the song Inge... I have a question. If you say... trust that everything you need is always there... how do you do that??? I have no clue how to actually make that happen! I know I should but I all the time fall into that trap of thinking I should be careful because I don't have enough...

      1. Hi @Gerdy - One of the biggest non-supprtive beliefs people have about money is... SCARCITY mentality, which is exactly what you describe.
        You want to start developing a mindset that is all about ABUNDANCE (overvloed).

        One way is what Inge described above which is adopting the mantra of "everything you/I need is always there" and then starting to attract it to you. You are such a powerful manifestator that once you do that I'm sure that within no time you will get it.

        1. Great idea. I will put it in my daily routines... it's a big thing and I would love to change my scarcity thinking for an abundance one...

  9. # create a buffer
    # this one is tricky: don't lease (depending highly on your situation)
    # don't insure what you can affort to replace or pay for yourself. People, especially in the Netherlands tend to "over-insure".
    # similar to Gerdi's suggestion, pay your taxes in advance
    # buy 'second chance' or even 'second hand'.

  10. Have a monthly planner for your expenses and tick them off once they are paid. Especially regarding the bills which are collected it is good to keep track of same: monitoring
    I have dedicated accounts for personal development, fun, charity, clothing and personal care, health, dream, yearly expenses (a.o. some insurances are collectd yearly) and monthly expenses.
    I have physical boxes, investment and fun, in which I put daily a fixed amount. I increase each month the amount with 5 cent.
    With the energy prices rising I now put monthly some extra money in the yearly expenses account to cover the annual settlement.
    Be creative: can you borrow it, buy it second hand, pimp up clothing.
    Don't be impulsive in buying.

  11. 1. Pay my bills immediately - but schedule them. This was a game changer for me- I used to get warnings (and had to pay fines for them also!) because I PLANNED to pay them only a few days before due date, but then I never did. So now I do this: I open it and immediately SCHEDULE it to be paid. This way I still have the benefits of paying them on time, but also keeping the money as long as possible in my account.
    2. I have a specific amount of money that I can spend on a monthly basis, for groceries and gas. Once it's gone, I'll have to wait till the next month. This was challenging for me in the past month when gas prices skyrocketed. I have 100 euro per month for gas. So what I did now: I put 50 euro in it twice a month. It's less gas, but guess what- its still enough. It didn't work with groceries though now that they got more expensive so I had to increase the amount that I need.
    3. yeah... the impulsives... I pay them from my play money. I know I should do better, but if I know that I will regret it if I don't buy it, I will.... could definitely be more strict in it.
    4. For me another game changer was not to spend money before I make it- in business. I was taught that I should invest, but it's so much better to first make the money and only then invest... I wanted a new screen, a webcam and a headphone for my trainings/ meetings. But my mentor told me I couldn't, as long as I didn't sell. So I had to be creative and then my dad had an old screen, my brother a webcam and I asked earphones for my birthday. Not spent a dime and got what I needed. It's not as fancy as I want but that can wait now.

    1. Hi Gerdy,
      I always wonder about people that pay a bill just before the due date. What makes this an attractive strategy for you? Personaly I like to pay right away. That way the money is actually gone out of my account (as it is in theory when you buy something).

      I do notice lately that there are roughly two groups of people: people that pay the same day they receive the invoice, and people that always receive at least one notice before paying. Just wondering what makes those last people tick 😉

      1. Very good question. In a way it is only for fines and things that I have to pay to the government such as my quarterly VAT. I do it immediately, but since I have a lot of time before I have to pay it, I schedule them.

        It's simply keeping the money in my account as long as possible.

        But you are right- the fact is that then the money is gone, so I can't spend it on anything else, and that's also a way to look at it... hmm. I'll think about it.

  12. Control over your money means less stress - spot on, Bina! That might be the most important thing you could achieve when you get a grip on your financial stuff. I've been suffering so much from money stress. Mentally and even physically. But now it's improving and giving me air ☺️

    1. Money should be your friend
    2. Know your profit margin from every single product (I used to have blackouts when people asked about my profits, aiai)
    3. Think twice before you invest or sign lease agreements. In these situations you must control your enthusiasm.
    4. Make a financial planning for every month and read/adjust it regularly.
    5. Take care of your tools
    6. Take care of yourself, don't risk getting injured.
    7. When you invest, go for quality. Good tools last much much longer and have better warranties.
    8. Quit expensive memberships that don't deliver what you expected
    9. Read your newspaper digital
    10. Buy second hand
    11. Take the bike when possible
    12. Be creative in finding money saving solutions. Make it a game, it can even give you joy.
    13. It's not necessary to give expensive presents to your friends. Find something that surprises them, give an experience (I sent my friend leftover 'sterretjes' (fireworks) for her birthday. She lit them together with her children, put them in her birthday cake and took great family pictures. She was so happy!).

  13. I've always had a conflicting relationship with money. But with the years I've found a way to take control over my money to make my life more enjoyable and less stress.

    Here are my top tips:
    1. First of all - simplify your life - when you take yourself out of the Rat-Race and stop comparing yourself to others you find what is truly important for you and find ways of achieving it that in many cases do not involve spending money

    2. Have designated accounts dedicated for a specific expense.

    3. Track down on a DAILY basis your expenses

    4. Work with a budget both in business and for your private needs and check on a MONTHLY basis how you're doing

    5. Make sure you have some money for FUN - for those things that might not be essential, but giver you JOY

    1. @Bina: Once again you beat me 🙂 Love to see YOU always writing the first comment! Please keep up doing this!You are such an Inspiration!

      And you know what? I love all of your 5 tips, especially tip #2. That's just a must do!

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