PREVIOUS : Archetypes – #3

SITE : At The Well+Good Podcast — Listen to the full episode  re. archetypes

REMINDER : See list of all types in Part 1

✥ MONEY-MAKER 
Their top priority in life is making money. They believe that life gets better the more money they make, because money is so important to them, & they take risks to win bigger. Even so, their ability to save is good & get pleasure from the approval & recognition from other people for their financial efforts & successes.

Compulsive Moneymakers are usually on a strong path to achieving financial freedom, but can enter dangerous territory if they start neglecting important relationships , choosing to work on weekends over spending time with loved ones). Being so focused on making money, they miss out on shorter-term fun & later regret not having a more balanced approach to their life.

✥ SAVER
A bit like the money-maker, the compulsive savers see money as a source of personal security & financial stability. They’re afraid of the dangers of impulsive spending, or spending money for pleasure, so they’re expert at hunting down bargains, & pride themself on being very ‘careful”. This makes them excellent savers, but may be saving at the expense of enjoying life.

Savers are the polar opposite of Big Spenders. They’re the budgeting champions, always looking for ways to cut costs & save a little more. Content with what they have they’d rather watch their bank balance grow, being conservative investors, opting for security over high returns.

✥ HOADER  (SAVER Variation)
For this type, money also represents security – they live by the mantra, “save, save, save! . They are terrified of risk & stockpile cash which would probably be better investing – or even spending it.  EXP :  a 94 yr. old man still saving half of his pension.

Money hoarders tend to avoid spending money on gifts, entertainment, or activities that allow them & their loved ones to live a full life, which can cause resentment & tension in relationships.
Statistics suggest that about 1/3 of people who have made withdrawals have simply put the money in savings accounts, even though interest rates are at record lows & their actions could have triggered a tax penalty.

“If you were raised in a family where money was tight, you probably need to feel a lot of security.” These  people may cash in their pensions from fear that the value will drop if they don’t take it out of the market. Everyone needs a rainy day fund, but cash is not a suitable long-term investment  – even more so at a time of rising inflation.” says Claudia Hammond, a psychology lecturer & author of the book “Mind Over Money”.

✥ GAMBLER  “Fortune favors the brave, right?”
There are 3 main styles :  Casual – gambling regularly or on occasion for fun,  Professional – gambling for a living (poker masters), Compulsive – gambling addiction, those who can’t stop. (More….)

Overview:  this Financial type is an interesting mix of Money-maker & Compulsive spender, eager to make a lot of money quickly, who believe that taking big risks produce big rewards.  They get a real buzz from the risks that pay off, & feel very depressed when losing. The promise of reward is a pleasure in itself they can quickly get lost in. But sometimes they cant gamble away their money just to escaping boredom.

It’s not unusual for Gamblers to encounter sudden windfalls or devastating losses.  In an extreme case, if their gambling gets out of control they may dip into retirement saving, their children’s college fund …. Saving isn’t really on their agenda — they’re all about making as much money as possible, thriving on the high.
Advice : It would be better to split their money up to have a pot they’re willing to risk & a pot that they’re not. A healthy goal is to become emotionally introspective & practically restrictive about financial risks, to gain balance & security instead of chasing excitement.

NEXT : Archetypes. #5