What influences our Financial Decisions?

By Ehsanul Hoq

EMBO reports 2013 said, “Your decisions are what you eat.” Philip Hunter quoted the following statement:

Metabolic state can have a serious impact on risk-taking and decision-making in humans and animals

Losing weight is some of our common New Year’s resolutions. Research says you’re probably in good financial condition if you are eating well. Eating well not only helps you to get in shape but also gives you the opportunity to earn a better financial status. Researcher Saloman Israel thinks, “a person who possesses the skills to better manage their health is more likely to possess the skills to better manage their finances.” However, this researches also indicated some of the healthy habits which will guide your financial decisions. 

1. Learn the art of Sleeping

A sleepless night is not a solution for productivity. Being sleepless for 24-hour sleepless will make you perform like an alcoholic person. If you take 4-5 hours of sleep your decision-making will be less blunt, ultimately transforming into poor money-making. People at the age- 20-30, need to learn higher decision-making skills. Without the skill, they can’t survive in the modern world. Any occupation needs focus and agility which is directly connected with good sleep at night. You might be earning a lot in the past but a bad sleeping habit will force you to make bad decisions like overpaying for a new car or a house. This will eventually sweep away your savings making you financially weak.

Fortunately, just by researching the internet we can learn about how successful people used to sleep to improve their efficiency and focus on the work. Scientists have always recommended eight-hour sleep a midpoint for a healthy life. But you can sleep an hour more or less it will keep you on the track. Smartphones are a bigger distraction for our sleep. So keep it away from the bed 30 minutes before you sleep every night. Some of the successful people also took naps to recharge. They used to take a nap for 10-30 minutes each day for boosting up their performance and make better money-making decisions.

2. Learn the art of Diet

Poor nutrition is a killer of our financial independence. It wipes out the chances of being a financially strong personality. When we talk about nutrition we only imagine the poor. Most of the poor people lack the nutrition they need to be energetic, focused, and productive. However, the newly trending restaurant lifestyle is also unhealthy and not properly balanced in terms of nutrition. According to the USDA, a middle-class family of four members spends $245 a week on food, which is a lot lesser than having food at restaurants. Such expenses mightn’t be a suitable financial decision for the future. Moreover, eating too much junk food can lead to poor cognitive abilities. There’s also a study about having a high-fat diet by rats making short term memory loss and lower brain functions. The study was conducted by the lab study.

Planning meals in advance can be a good solution. If a person is not having a disciplined diet he/she might be spending too much on junk foods. Without discipline or self-control, your financial dream will never be achievable. Although going out for a meal or two in a week can be considered a good option but eating junk food regularly is bad for health and wealth. Try to buy fresh vegetables and fruits which you might consider expensive but over time the habit of eating lean will help you to spend less on unnecessary calories. Try to google energy-boosting foods and eat them on a daily basis. It will increase your productivity and financial condition within a short time.

3. Learn the art of Exercise

Maintaining fitness is not as easy as it sounds on your regular TV show. Every year around 50% of the members retire from their gym, according to IHRSA research. It is difficult to continue the art of exercise due to several reasons in a person’s life. For instance, many people facing unemployment in their life have to give up the membership to support their basic needs. Some people just give up as doing regular exercise is a difficult task for them. The benefits of fitness are that it provides you energy. It can also sharpen your brain giving an advantage over your co-workers. Regular exercises boost your positive attitude and confidence helping you to reach the goal more easily.  Many creative people mentioned about cardio, kickboxing, and yoga exercises as a formula for their creation.

But doing only half an hour exercise for a day won’t help. You need to exercise at least 3 times a week for 1-2 hours each session. Biking to work, using stairs instead of lifts, and watching TV shows while doing cardio’s can be handy skills to improve overall health condition. The biggest secret of physical activity is that it gives you the discipline needed for financial independence. You will sleep on time and be more attentive in your work. Regular exercises will help you to stick to your financial decisions for the long-term.

4. Learn to control stress

If under control stress can keep us motivated to get things done. But most of the people around the world suffer from stress due to high work pressure. Many underdeveloped countries of the past have become economically stronger in the last few decades. Asia is now considered a financial hub of the world. The transformation is so fast that millions can’t accept the pace of the new corporate life. So depression and stress is inevitable. Unfortunately, stress is responsible for the reduction in productivity. Low productivity will lead to the risk of losing a job ultimately destroying our financial independence. During the financial crisis of 2008, thousands of Americans lost their job. But it is not easy for an employer to choose whom to stay or fire in the time of crisis. So the best method is to lay off the least productive employees who failed to control stress in the past. One research indicated that when employees are experiencing stress they tend to be detached from the office. 57% of the stressed employees found to be facing work-related issues than their peers.

Since stress can lower your work mood so that it can have an impact on your wallet. Too much stress can lead to the habit of over-eating or over-shopping. Many think that shopping and eating reduce the stress but it will only weaken your financial decisions nothing more. Emotional spending might become your worst enemy. 

Your financial future will always be on your hand. Just making some healthy habits will open all the opportunities for you in the long-run. Choosing the option of healthy sleep, diet, and exercise will help you to reduce stress and depression. It will also influence you to make better life-changing decisions.

Ehsanul Hoq

Ehsanul Hoq

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Ehsanul Hoq is a research associate and freelance content writer/Blogger 

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