Is your thinking Rational?

Rational Emotive Behaviour Therapy (REBT) uses the ABCDE method to change irrational thinking. Rational means showing evidence of clear and sensible thinking not based on emotion or prejudice. Irrational thinking is unreasonable thinking.

In order to change those self defeating thoughts and actions about your finances, you need to understand how to turn those thoughts and beliefs around. REBT can help you do this. In other words to change the fruit (lack of money) you need to change the root (unhealthy thoughts about being financially well or sick). Although you cannot change the past, you can change how you let the past influence the way you are today and the way you want to be tomorrow.

How the A-B-C’s work. The “A” is the activating event, what started things off. The “B” is the underlying belief you hold about a certain thing. The “C” is the consequence and action you take or the reaction you have because of what your underlying belief is.

My brother constantly says “there’s no point in being the richest man in the cemetery”. This is a belief he holds strongly because of a scare he had with cancer. When he sees cruises advertised (the activating event) his subconscious belief kicks in and he books a cruise (the consequence because of the belief he holds). Although he is close to retiring he has no savings for the future because of this belief. Thankfully he also has a belief if you can’t pay for something fully today – don’t do it. So although he doesn’t have any savings for the future, he doesn’t have any debt either.

So before you spend your money (the action) evaluate your own thinking to see if it is rational or irrational. Try to identify the belief you have deep down and how this could show up in your everyday financial transactions.

After you identify your defeating belief then you add the D (disagree) with that belief and the E (exchange) your previous unhelpful belief for a new helpful belief. 

Silbo Systems, conduct money lessons for parents together with their children in small groups. For information contact us