Shifting from a Fixed Mindset to a Growth Money Mindset

16 May 2025

Money—it’s something we all deal with, yet many of us struggle with our beliefs and attitudes around it. Have you ever felt like no matter what you do, you just can't get ahead financially? Or that money is something only the "lucky" or "gifted" people are good at managing? If so, you're probably stuck in a fixed money mindset.

But here’s the good news: you can shift your mindset and start thinking about money in a way that opens doors instead of closing them. That’s where a growth money mindset comes in—a belief that you can improve your financial situation through learning, effort, and smart strategies.

In this article, we’re going to break down what a fixed money mindset is, how it keeps you stuck, and the exact steps you need to take to adopt a growth money mindset that helps you build wealth and financial freedom.

What Is a Fixed Money Mindset?

A fixed money mindset is the belief that your financial situation is set in stone—you’re either good or bad with money, and there’s little you can do to change it.

People with a fixed mindset often say things like:

- “I’ll never be rich.”
- “I’m just not good with money.”
- “I wasn’t born into a wealthy family, so I’ll always struggle.”
- “Investing is too complicated for me.”

This type of thinking limits your potential because it makes you believe that financial success is something you either have or don’t have, rather than something you can work towards.

The Damage a Fixed Money Mindset Can Do

A fixed mindset doesn’t just hold you back financially—it affects nearly every area of your life, from your career to your relationships and even your mental health.

1. You Avoid Financial Growth Opportunities

If you believe money skills are something you're either born with or not, you're less likely to seek financial education or take risks that could improve your situation—like starting a business, investing, or asking for a raise.

2. You Fear Failure

With a fixed mindset, failure feels permanent. If you make a financial mistake—like losing money in an investment or struggling with debt—you might see it as proof that you’re just “bad with money,” instead of as a learning experience.

3. You Stay Stuck in Bad Habits

When you believe financial success is out of your control, there’s little motivation to budget, save, or make better money decisions. You might even fall into a cycle of reckless spending or avoidance because “what’s the point?”

What Is a Growth Money Mindset?

A growth money mindset is the belief that your financial situation can improve with effort, education, and persistence. It’s about seeing failures as opportunities to learn rather than reasons to give up.

People with a growth mindset say things like:

- “I may not know much about investing now, but I can learn.”
- “Financial mistakes are just stepping stones to getting better with money.”
- “I have control over my financial future.”

This shift in thinking gives you power over your financial decisions, allowing you to take steps toward building wealth and financial security.

How to Shift from a Fixed Mindset to a Growth Money Mindset

Ready to change the way you think about money? Here are some powerful steps to help you make the shift.

1. Challenge Your Limiting Beliefs

The first step in changing your mindset is identifying the negative beliefs you hold about money. Ask yourself:

- What do I believe about money, and where did these beliefs come from?
- Are these beliefs serving me or holding me back?
- What would happen if I replaced these beliefs with more positive, growth-focused ones?

For example, if you’ve always believed "I’m bad with money," challenge that thought. What evidence do you have to support it? How can you start proving to yourself that you can improve?

2. Reframe Financial Failures as Lessons

Instead of seeing financial mistakes as proof that you’re destined to fail, view them as learning experiences.

Let’s say you invested in a stock that didn’t perform well. Instead of thinking, "I’m terrible at investing," ask yourself:

- What can I learn from this?
- How can I make a better investment decision next time?
- What resources can I use to improve my financial knowledge?

Shifting your mindset in this way helps you grow from mistakes instead of getting stuck in them.

3. Surround Yourself with a Wealth-Building Community

The people around you influence your mindset more than you realize. If you’re constantly hearing negative messages about money—like “money is evil” or “rich people are greedy”—those beliefs can seep into your own mindset.

Instead, seek out people who are working towards financial growth. Follow personal finance experts, join money-focused communities, or find a mentor who can guide you in making smarter financial decisions.

4. Educate Yourself About Money

A big reason many people feel stuck financially is because they simply don’t know what they don’t know. The more you learn about money management, investing, and wealth-building strategies, the more confident you’ll feel about taking control of your finances.

Some great ways to build your financial knowledge include:

- Reading personal finance books
- Listening to finance podcasts
- Taking online courses
- Following financial experts on social media

The more you learn, the easier it becomes to make informed financial decisions.

5. Set Financial Goals That Challenge You

Growing your wealth requires intention and action. Set financial goals that push you outside your comfort zone but are still achievable with effort.

For example, instead of saying, “I want to save money,” set a clear goal like, “I will save $5,000 in the next 12 months by cutting unnecessary expenses and increasing my income.”

Having specific, measurable goals helps keep you focused and motivated.

6. Take Consistent Action, Even When It’s Scary

A growth mindset isn’t just about thinking differently—it’s about doing things differently. Start taking small but consistent actions toward improving your financial situation.

- Open a savings account and start depositing money regularly, even if it’s just $20 a month.
- Create a budget and track your spending.
- Start investing, even if it’s just $50 in an index fund.
- Look for ways to increase your income, whether through a side hustle, freelancing, or negotiating a raise at work.

The key is consistency. Small actions compound over time, leading to big financial gains.

Final Thoughts

Shifting from a fixed money mindset to a growth money mindset is one of the most powerful financial changes you can make. It’s not about instant wealth or overnight success—it’s about believing in your ability to improve your financial future and taking action to make it happen.

Remember: Your financial situation is not set in stone. The more you educate yourself, challenge limiting beliefs, and take consistent action, the closer you’ll get to achieving true financial freedom.

So, are you ready to ditch the fixed mindset and start building wealth? The choice is yours.