Everyone Needs a Money Mentor
by Andrew Downing
It doesn't matter how much you know or don't know about finances, everyone needs someone to talk to about financial decisions.
Unfortunately, we rarely get to openly talk about money and our personal finances. Whether we are worried about being judged or feeling uncomfortable, we are forced to make a lot of crucial decisions on our own. But that doesn't have to be the case, which is why I'd like to encourage you to find a money mentor, or become one.
The purpose of a money mentor is to listen and talk through financial concerns. They are not trained financial advisors. They are confidants.
Having someone to talk to is important because everyone experiences at least some level of anxiety when deciding what to do with their money. Whether they are contemplating budgeting, buying a house, paying off student loans, or planning for retirement, there are tons of choices and no clear answers. As a mentor, you can alleviate some of that anxiety, and as a mentee, you will experience less anxiety.
Guidelines for money mentors:
You must keep your conversation private and judgement free. The relationship between you and your money mentee is based on trust.
Be empathetic. Tailor your ideas and advice to your mentee's lifestyle and goals.
Practice compassionate listening, ask questions, and help them talk through critical decisions. It's not necessary to give advice.
It doesn't require expertise, but you do need to understand the basics. If you are not financially savvy, take time to educate yourself. And if you are financially savvy, keep learning. You can never know too much about finances. (When necessary, researching difficult questions with your mentee is a perfect opportunity to build your relationship and establish more trust.)
Follow up and hold each other accountable. Before you decide to mentor anyone, it's important to discuss expectations. Your mentees should value your time and take your conversations/advice seriously.
As leaders, we want the next generation to succeed where we failed, and it is our job to make sure they have the necessary knowledge. We have all made mistakes with money. Being a money mentor is your chance to share what you’ve learned and turn those mistakes into teaching opportunities.