The money trick your brain can't ignore
This neuroscience trick makes you 42% more likely to hit your money goals, writes Jessica Brady.
Back in 2022, after selling my share of the financial advice business I co-founded, I plonked myself on a Greek island for two weeks, where I inhaled books, research papers and podcasts on brain function, neuroscience and goal attainment.
I felt like I was unlocking the secrets to the universe as I learned how to hack the brain for success.
Have you ever walked through scrub so thick that every step feels treacherous and you keep getting smacked in the face with branches? It's exhausting, disorientating and almost impossible to keep your bearings. That's how life can feel when you haven't got a clear direction on where you're heading.
What follows are my takeaways from all the ferocious notes I took on my 'holiday' - which you can now take advantage of as you plot your financial goals.
Create goals that tip the scales in your favour
Did you know that writing clear goals makes you 42% more likely to achieve them?
Without writing them down, it's difficult to know how to allocate your income correctly, which investments are going to work best, how much risk you should (or shouldn't be taking), or if you're on track.
The brain's filtration system
The reticular activating system (RAS) is essentially your brain's filtration system.
It takes the millions of pieces of information (sounds, sights, smells, sensations and thoughts) your brain is bombarded with daily and decides what's important enough to be let through the filter. In other words, this system decides what makes it into your conscious awareness, and what needs to be filtered out as background noise.
By getting clear with yourself on what you want, the RAS will quietly start looking around for things aligned with your goals and bring them into your consciousness.
Use visualisation and rehearsal
Visualisation is your brain's version of a dress rehearsal before the big show.
While the idea of visualising something into reality might sound cute (or a tad woo-woo), the concept of 'faking it till you make it' when it comes to achieving a goal is heavily steeped in science. In fact, brain imagery has shown that when we imagine ourselves taking action, it uses similar neural circuits to the ones used for executing that action.
Visualising helps you rehearse, plan for obstacles and refine tasks, making you likely to perform better when you do it for real.
Win over your brain with effort, action and outcome
If you've ever tried to win over a teen and turn them into an enthusiastic participant, you'll know it's no mean feat. It can be the same with your brain. But here's the secret: it wants to know two key things before it says 'yes' to playing ball. The first is why, the second is how.
First, it's trying to figure out whether this thing is worth doing. Basically, your brain is trying to test if you value this goal enough. If the answer is 'no', your brain is probably shutting the door in your face. If it's still playing along, then it next wants to understand what actions need to be taken and whether they're worth the effort.
If your brain doesn't think the outcome is worth it, it gives it a hard pass. So make sure you really connect with why it's worth the mud, sweat and tears and you'll have a better chance of getting it on board.
Make your goals ... just right
Remember the curious golden-haired porridge thief who wanted the perfect midpoint between hot and cold? Setting goals is much the same. I call it the 'get Goldilocks goals' method or 'GGG'.
When you're setting goals, if they're too easy, your brain won't engage with them enough.
But if they're too hard, your brain is likely to think they're unattainable and give up. You get where I'm going with this, right? You want your goals to be in the Goldilocks 'just right' sweet spot. Make them just enough of a stretch that you know, if you put your mind to it, you could achieve them.
Break big goals down into bite-sized pieces
How do you eat an elephant? Apparently, one bite at a time. It is the same with goals. Microtask the shit out of your to-do list and break each goal into the teeniest tasks or chunks.
Yes, 'wasting' time writing out all the small, tiny little steps in each goal, which you know you need to do, can feel silly - until you get to the point where you can start ticking things off your list. Every tick gives you a dopamine hit, which starts to rewire your brain to seek out more progress.
Mark the milestones
Now you know your brain gets a boost from progress, you can use that to your advantage. The trick is to make your progress visible.
Create a milestone tracker for each money goal and update it every pay cycle.
For example:
• Debt reduction Draw a simple thermometer or bar with your starting balance at the top and zero at the bottom. For every repayment you make, colour in the next slice down.
• Savings goals Write your target at the end of the bar and add markers for specific increments as you move towards it - perhaps $500 or $1000 increments. Each time you top up your savings, colour in the bar up to the new level.
Celebrate the wins
You don't need to publicly broadcast every milestone you reach. But you should find a way to meaningfully acknowledge and celebrate every win along the way (without spending!).
Our brains need to not just look forward and see where we are going (important) but also identify how much of the track we have already walked down (just as important). So when you get to certain milestones, pausing and recognising that is a must.
This is an edited extract from Get Growing: A no-nonsense guide to cultivating wealth and financial freedom by Jessica Brady (Wiley, $34.95). Enter now to win a copy!
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