Understanding Your Spender Tendencies and Money Behavior

Your relationship with money reveals much about your financial identity. Some people feel energized by purchases, while others find satisfaction in watching their savings grow. Recognizing whether you lean toward spending or saving is the first step toward building a healthier financial life. Financial professionals emphasize that understanding your natural inclinations helps shape sustainable money decisions.

The Spending Profile - Recognizing Common Traits

People with spending-oriented personalities tend to share identifiable patterns. According to Michael Liersch, head of advice and planning for Wells Fargo Wealth & Investment Management, one key indicator is whether you accumulate possessions you rarely use. Many spenders make purchases they later forget about or find unused in their homes. A practical test involves removing 10-30% of your belongings to gauge whether you’d feel relieved by their absence—this often signals that a spending pattern dominates your decision-making.

Another revealing trait involves your emotional response to financial planning. Sara Gardner, CFP and wealth advisor at EP Wealth Advisors’ Denver office, notes that most spending-oriented individuals feel uncomfortable when budgeting becomes the topic of discussion. While they may have a general sense of their spending level, spenders often find themselves surprised when they actually calculate where their money goes. Notably, when faced with discretionary purchases like vehicles or home remodels, spending-oriented people typically proceed with the purchase if it doesn’t directly threaten their overall financial stability.

Your savings account balance provides perhaps the most straightforward indicator. If you consistently have minimal emergency savings or find yourself living paycheck-to-paycheck, your financial personality likely skews toward spending rather than preservation.

The Saving Approach - What Sets Savers Apart

On the opposite end of the spectrum, saving-minded individuals exhibit fundamentally different behaviors. When asked about the joy of spending money, savers typically respond negatively. Rather than experiencing pleasure from acquisitions, savers derive satisfaction from watching their wealth accumulate over time. This distinction represents a core psychological difference in how these two personality types relate to their finances.

Savers practice “paying themselves first,” a discipline that Gardner identifies as a defining characteristic. These individuals prioritize allocating funds toward emergency reserves, retirement accounts, travel goals, or specific projects before considering discretionary spending. Additionally, saving-oriented people view budgeting and delayed gratification positively. Gardner explains that savers typically embrace spending plans with enthusiasm, maintaining clear awareness of where their money flows and what future objectives will cost. They take genuine pride in maintaining structured financial plans, whether they’re actively earning or already retired.

Beyond the Labels - Why You Spend or Save

The question of whether being a spender or saver is inherently good or bad reveals an important truth: neither personality type is superior. Gardner emphasizes that financial health depends on achieving balance between both tendencies. Your spending or saving inclinations didn’t develop randomly—they emerged from your personal history. Your upbringing, past financial crises, career experiences, and whether you support dependents all shaped your current financial personality. Understanding these roots provides valuable insight into your current behavior patterns.

Finding Your Money Messages - The Path to Financial Awareness

Liersch recommends moving beyond mere self-identification toward deeper self-reflection. The crucial question becomes: “What are my money messages?” This refers to the internal narratives you maintain about spending and saving. After identifying these messages, critically evaluate their truthfulness within your current life context. Someone who grew up believing “spending is bad” might benefit from reframing this as “spending can be good if I can afford it” or “I prioritize spending on necessities while carefully evaluating discretionary purchases.”

This recalibration process ensures that your natural spending or saving tendencies genuinely serve your authentic values rather than inherited programming. By examining and refining your money messages, you transform financial personality traits from unconscious patterns into intentional financial behaviors that support your long-term wellbeing. The goal isn’t eliminating your spender nature or becoming rigidly frugal—it’s achieving conscious alignment between your actions and your true financial priorities.