Category Archives: Money and Psychology

5 Tips for Discussing Money with Your Life Partner

We’re always told that money should be something that is regarded without emotion. When we make decisions about money, we are supposed to be rational so that we don’t make poor choices. Unfortunately, money stirs strong emotions in us. It’s very difficult to leave emotion out of it entirely. This seems even more apparent when…Continue Reading

Why We Don’t Act In Our Best Interest

As human beings, we too often don’t act in our own best interest–and it’s perfectly natural, says behavioural economist Dilip Soman. Speaking at the Financial Planning Standards Council’s Vision 2020 Symposium last month, Soman outlined the key reasons as to why our behaviour often doesn’t fuel good financial outcomes. We don’t keep the end result…Continue Reading

What is Opportunity Cost?

One of the important concepts to understand when it comes to money is that of opportunity cost. When you make spending decisions, it’s a good idea to step back and consider the opportunity cost. What are you giving up in order to make that spending choice? Remember, your resources are finite, and you can’t be in…Continue Reading

Why Are You Over Spending?

Many of us have a problem with over spending. You get to the end of the month and realize that you don’t have enough money. Out come the credit cards. In some cases, you might even have a budget or spending plan meant to help you limit your spending — and still you might spend…Continue Reading