Have you ever seen yourself excited after doing something you enjoy? For example, if your favorite food is pasta, that exciting feeling after eating it is as a result of dopamine. Dopamine is a chemical in our brain that makes us feel good when we do something we enjoy. Meanwhile, financial wellness means managing your money smartly so you can take care of your needs and save for the future. 

Where the problem lies is that, sometimes, dopamine can make you spend money without thinking much about it. Let’s look at how to handle dopamine and aid financial wellness.

What is Dopamine?

Dopamine is a special chemical in our brain, often called the “feel-good” chemical. Let’s take for example, Albert has been battling with debt for months, he kept on borrowing more money to take care of his basic needs. One day, Albert spoke with a debt expert at EmpireOne Credit, and he got up to 80% reduction from his debt. When he had lots of overwhelming debt, he cancelled all his subscriptions and reduced his expenses which included eating pasta at his favorite restaurant every day. He told himself he wouldn’t eat pasta until he cleared his overwhelming debt. After several months, he cleared his debt and went out to his favourite restaurant to eat a plate of pasta. He was elated and enjoyed the tasty meal. The feeling he’s having after enjoying this meal is called dopamine.

Now, the thing with dopamine is that, it doesn’t help us make the best or the right choices. Sometimes, you may see yourself wanting things too much, leading you to make decisions that feel good right now but might not be good for you in the long run. Nobody wants to feel bad, everyone wants to feel good right now and every time. But we need to know where to draw the line, so we don’t allow dopamine control us and land us in serious trouble.

Dopamine and Financial Decisions

When you get excited about buying something new, it’s usually dopamine at work. This can make you feel like you need to buy things right away, even if you don’t need them or can’t afford to buy them. 

There are a few activities we can enjoy without spending a dime, but there’s hardly an activity or something you need without spending. You don’t even need to enjoy something before you buy it. For example, whether Albert enjoys pasta or not, he needs food to stay healthy, productive, and alive. When dopamine then comes into play, he may overdo it so he can feel good all day and all year long. But finances don’t work that way, as there is no unlimited supply of money anywhere. So you need to be smart when handling money because your financial wellness depends on it. It’s easy to get buried in credit card debt if care is not taken. Do your best to keep yourself in check to be financially fit.

Strategies for Managing Dopamine’s Influence

If you want to keep dopamine from leading you to bad financial decisions, there are a few things you can do. First, you should be mindful. This means stopping to think about why you want to buy something or take a financial risk before you go ahead. Is it going to benefit me, or is it just for a quick dopamine rush? These are questions you should not be tired of answering.

Another thing you can do is to set clear financial goals. Your goal could be to save for a vacation, buy a home, or you could just build an emergency fund. When you have this clear goal, you will hardly have the wiggle room to buy things you didn’t plan for. For example, if Albert earns $3000 monthly and all his expenses including debt management, bills, basic needs, and savings is $2900. If he sees a jacket that is worth $500, even though it’s Louis Vuitton, his favorite designer, he can’t buy it yet because he doesn’t have it in his plan. If he does, it will affect his expenses, and he may want to use a credit card to cover the other important expenses. So rather than feel good about the jacket and get indebted, he can plan to buy it later without owing anyone and he will still feel good.

This approach could also mean delayed gratification. When we feel the urge to buy something right away, we can wait a bit, maybe a day or two, before deciding. This waiting period could help reduce the urge to spend impulsively.

Conclusion

Financial wellness isn’t just about having enough money; it’s about making informed decisions that lead to a stable and fulfilling life. Learn to control the urge for instant gratification and focus on your long-term financial health. You can still enjoy the benefits of dopamine without letting it derail your financial goals.

Many people are battling with overwhelming debt and are seeking help. Debt is not a light burden to carry, but there is a solution, irrespective of how large the debt is or what the causes are. You can speak with one of our experts at EmpireOne Credit to get tailored advice. Your debt can be reduced by up to 80%, and interest will stop immediately. Call us at (416) 900-2324 to schedule a free consultation with us. Being debt-free feels good!