Years ago, at a personal development seminar on the topic of wealth and prosperity, the presenter asked his audience who wanted to be financially independent. All hands rose. He then asked who was saving regularly and making a focused study of wealth-development. Most of the hands dropped.
And then he made his big point: if wealth building is not in your top three values, you are unlikely to achieve your outcome of financial independence.
I was rocked by his message, by this realisation that I couldn’t have the dream without the action. It’s common sense, but I had other higher values…
Which brings us to the topic of the four ‘money personalities’. Most people are familiar with psychological profiling such as Myer-Briggs and the plethora of other models. The ancient Greeks identified four ‘temperaments’: the choleric, the sanguine, the melancholic and the phlegmatic. Many of the other models have their roots in this one. There are, of course, few ‘pure’ examples – most of us embody a blend of these traits but we tend to have a dominant style.
The choleric is the natural leader, one who is highly driven and undeterred by obstacles though inclined to be impetuous, impatient and even aggressive.
The sanguine is easy-going and likable, a social butterfly who likes to be part of whatever is happening. This can result in a scattered approach to life and a tendency to be superficial and unreliable.
The melancholic is usually quiet and serious, methodical and systematic, often striking us as negative or stuck in the past, but they are excellent observers of life.
~Novel Serialisation: Heavens Fire~
The phlegmatic are calm and generous, faithful friends and nurturers but inclined to laziness or being excessively trusting.
How do these four ‘personality types’ show up when it comes to money? And therefore, which of them naturally value money and wealth building, and which are prone to financial difficulties?
The choleric is clearly the entrepreneurial type who will take risks and pick herself up again quite quickly after failing. This ‘money personality’ makes and loses money fairly easily, so if the cap fits, do a little more research than you are perhaps inclined to do in order to buffer yourself against the worst risks – and carry on striving!
The sanguine’s ‘FOMO’ and urge to keep up with the Joneses means that he frequently lives beyond his means. This ‘money personality’ is the one who especially needs to establish a good saving habit.
The melancholic is pretty methodical about saving and is discerning in her spending patterns. This ‘money personality’ is most likely to value wealth but can miss opportunities by becoming stuck in ‘paralysis by analysis’.
The phlegmatic is a salt of the earth type who works hard but can fall for get-rich-quick schemes and be overly generous. This ‘money personality’ is also sometimes a bit of a doormat, and needs to do more research before pulling out the credit card.
While we’re learning from the Greeks, the oracle of Delphi famously said: ‘Know thyself’, and clearly that aphorism applies here: The greater our self-awareness, and therefore our knowledge of our financial strengths and weaknesses, the better our chances of managing money successfully and building long-term wealth.
As we in Australia have one of the highest levels of household debt in the world (according to the Australian Bureau of Statistics), this is clearly an important lesson. Our behaviours as adults flow on from our childhood modelling: most people tend to repeat their parents’ money habits. While some parents – probably those with melancholic or choleric traits! – deliberately teach money skills, most young people are left to unconsciously perpetuate family habits when it comes to saving, spending and investing.
There’s a wonderful opportunity here for schools to teach life skills such as financial literacy as a regular compulsory subject so that all young Australians are empowered to understand the principles governing wealth and prosperity, and are encouraged to open their own savings accounts from a young age and to learn to evaluate financial opportunities.
By Liliane Grace
Liliane Grace is the author of Quest Four Riches, a Young Adult novel about four teenagers who are offered the opportunity of a school trip to India. Each teenager represents one of the four ‘money personalities’. A collaboration with business coach Camilla Mendoza and her program ‘Money Mastery For Teens’, this novel helps youth identify their attitude to money, become financially literate, and develop better monetary habits. https://lilianegrace.com
