Many people dream of achieving financial stability, but they often get stuck in a frustrating cycle. They make an effort to improve their financial situation, see some progress, and then slip back into their old habits, leading to being broke again. 

This cycle can be disheartening and, at times, feel inescapable. In this blog, we will explore the intricacies of this cycle and offer tips for breaking free from it.

The Initial Shift

This cycle often kicks off with a lightbulb moment. It could be a sudden expense that forces you to take your finances seriously, a realization that you need a better life, or maybe some advice from a financial wizard. 

You start budgeting, cutting down on unnecessary spending, saving money, and chipping away at your debts. For a while, things look up - you see some extra cash in your bank, your debts shrink, and you finally think you've given the boot to your money problems.

Creating Results

As you keep on making those smart financial moves, you begin to see some real results. You might pay off those high-interest debts, stash away some cash for a rainy day, or invest in things that grow in value. 

All of this good stuff boosts your confidence, and you start seeing the light at the end of the financial tunnel. You set your sights on buying a home, planning some cool vacations, or securing your golden years, and you're making progress toward these goals.

The Return to Old Habits

But here's the kicker - even after all that hard work and progress, a lot of us end up backsliding into the same old bad money habits. We might start splurging on things we don't really need, ditch the budget, or simply get lazy with our financial decisions. It can be a real head-scratcher because it feels like we're sabotaging our own success. So, why does this happen?

Reasons Why We Fall Back to Old Habits

Lack of Consistency

Staying on the straight and narrow with money habits over the long haul is no walk in the park. We start with guns blazing but then, over time, our resolve dwindles, and we fall back into our old ways. To keep that from happening, we've got to stick with our long-term financial goals.

Unaddressed Underlying Issues

Sometimes, the roots of our financial troubles go way deeper. It's not just about dollars and cents; it's about what's going on inside our heads. 

These hidden issues are often the triggers that pull us back to our old financial habits. Sometimes, the roots of our financial troubles go way deeper. It's not just about dollars and cents; it's about what's going on inside our heads. These hidden issues are often the triggers that pull us back to our old financial habits.

We need to go deeper into our money story and see what we can change. Acknowledging your money trauma is one thing, but healing it is a different story-- and it's a long one with many chapters.

Peer Pressure

Peer pressure and the desire to live large can easily lead to spending more than we should and falling back into the debt trap. Trying to keep up with other people or impressing others can mess with our financial game plan. The trick is to stick to what matters most to you. 

Don't let your ego make your decisions. Do things that feels in alignment with you-- don't spend to impress other people.

Knowledge is Power

Sometimes, we make bad money moves because we simply don't know any better. Investing in learning about personal finance, investing, and wealth building is crucial for making informed decisions.

Breaking Free from the Cycle

Breaking free from the cycle of shifting, creating results, and reverting to old patterns that keep you broke is challenging, but it is entirely doable. Here are some things that you can do to break free from this vicious cycle:

Practice Self-awareness

Understanding your financial triggers and habits is a must. Figure out what makes you splurge impulsively. A bit of self-reflection goes a long way.

Think Long-Term

It's not all about quick fixes. Make a solid financial plan that's all about your long-term goals and how to get there. Having a roadmap helps you stay on track.

Build a Support System

Surround yourself with friends, family, a financial advisor, or a business coach who can hold you accountable and provide guidance when needed. A strong support system can help you stay motivated and responsible for your financial choices.

Keep on Learning

The more you know about money management and making your cash grow, the better your financial choices will be. There are loads of resources to school yourself on money matters.

The Final Takeaway

The cycle of going from flat broke to better and then sliding back into old habits is a common challenge. Understanding why it happens and taking steps to break free is the key to lasting financial success. 

So, whether you're doing some soul-searching, planning for the long haul, leaning on your pals, learning the money ropes, saving for a rainy day, or checking in on your goals--- you can break free from the cycle and set up a rock-solid financial future. 

Keep in mind, financial success is all about making steady, smart choices and being open to learning. Breaking free from this cycle is proof of your dedication to a financially secure future.

Achieving a financially secure future can be challenging when you're not sure where to start. Are you a wealthy woman or are you playing the ‘girl making money’ persona?

There are 3 important identity pillars to being a wealthy woman and to being truly financially secured. Learning which pillar you need to work on can give you a significant push to your financial goals. Check out Wealthy Woman Identity to learn more!