What do your spending habits say about you?
According to a study done by the Association for Psychological Science, decisions on how you spend your money can signal critical traits about your personality. For instance, people who tend to be neurotics spend less on mortgage payments than others.
Some of the findings might not be all that surprising:
- People who are more open to experiences tend to spend more on flights.
- More extroverted people tend to make more dining and drinking purchases.
- More agreeable people donate more to charity.
- Conscientious people sock away more in savings.
- More materialistic people spend more on jewelry and less on donations.
- People who reported greater self-control spend less on bank fees.
Additionally, people categorized as neurotic (or those who have higher anxiety & worries) tend to have lower mortgage payments, possibly because they’re more likely to worry about overextending themselves financially.
Understanding your spending habits will help you feel more in control of your finances and help you achieve your financial goals.
Source: Association for Psychological Science