Money psychology refers to the underlying beliefs, attitudes, and behaviors that influence our financial decisions. It encompasses the way our minds process and perceive money, ultimately shaping our financial habits and outcomes.

One important aspect of money psychology is our relationship with money. Some people view money as a source of security and control, while others see it as a measure of success or social status. These differing perspectives can lead to unique financial behaviors, such as saving vigorously or constantly seeking to acquire more wealth.

Another significant factor is the emotional response to money. We all experience various emotions related to money, such as fear, guilt, happiness, or anxiety. These emotions can impact our decision-making process, sometimes leading to impulsive spending or irrational investment choices.