6 Personality Traits That Set Financially Successful People Apart From Everyone Else, According To Study
People who tend to be more financially successful possess certain traits that helped them get there.
Roland Denes | Unsplash If there’s one thing that most people could agree on, it would be that they wish they were more financially successful. Although everyone is at different places on their financial journeys, there never seems to be enough money to go around, and people always want more. Luckily, a new study shed some light on the personality traits that the financially successful have, and they are things that you can work to cultivate in your own life, even if you don’t have the money to show for it yet.
The study, published in the British Journal of Psychology, concluded that there are specific traits that more financially successful people tend to have. Jeff Haden, who covered the study for Inc., noted, “Those personality traits matter. And can be adopted. While you can’t change your personality, you can change some of your behaviors.” This is good news for anyone who wants to be a bit wealthier. Perhaps, based on researchers’ findings, financial success is something that can be learned.
1. Extraversion
cottonbro studio | Pexels
It makes sense that someone who is more extroverted might do better with money. As Haden said, “The ability to engage with others, to build relationships, to motivate and inspire, and to genuinely connect is definitely important.” Extraversion, one of the so-called Big Five Personality Traits, goes beyond being a social butterfly. Kaytee Gillis, LCSW, BACS, described it this way: “It is a personality trait characterized by those who are motivated by social stimuli. Extroverts draw energy from being around others, talking, and socializing.”
As Haden pointed out, this can be crucial to networking and building relationships, which seems to be the backbone of any solid career. Truity Psychometrics was also able to prove that extroverts are more likely to take on higher-paying jobs, such as leadership positions. An introvert probably wouldn’t be too comfortable being a boss, but an extrovert would. This gives them a leg up when it comes to financial success.
2. Openness
Openness is another one of the Big Five Personality Traits. It’s a bit similar to extraversion, but not exactly the same. According to psychosocial rehabilitation specialist Kendra Cherry, MSEd, “People high in the trait of openness tend to be more open-minded and willing to embrace new ideas and novel experiences. They approach unfamiliar things with a level of curiosity. They’re also good at thinking about and making connections between different concepts and ideas.”
If you have a higher level of openness, then you’re more likely to be open to new experiences. Often, new experiences can be lucrative. People rarely make more money by staying stuck in the same place they’ve been in for years. Someone who is more open would be more willing to try something new than someone who has a low level of openness. Instead, that person would just stay where they are because it’s comfortable. If you want to be more financially successful, stepping outside of your comfort zone is key.
3. Conscientiousness
Vlada Karpovich | Pexels
Conscientiousness is yet another Big Five Personality Trait, and one that would definitely be important to financial success. Professional life coach Sherri Gordon said, “Conscientiousness is a core personality trait that involves being diligent, responsible, and careful. When someone is conscientious, they are able to exercise self-discipline and self-control in order to pursue and ultimately achieve their goals.” Someone who is conscientious is going to be very goal-oriented and take a lot of responsibility in being that way.
A study published in Frontiers in Psychology found that people who are conscientious are more successful both objectively and subjectively. Objective success, that which is determined by set standards, can include income and wealth. Someone who is more goal-oriented and diligent is just naturally going to achieve greater financial success. They will work towards their money and business goals and do so with discipline. They’ll hold themselves accountable, which is essential when you’re trying to grow your wealth.
4. Narcissism
Narcissism is essentially a sense of self-centeredness. Psychology Today said “it encompasses a hunger for appreciation or admiration, a desire to be the center of attention, and an expectation of special treatment reflecting perceived higher status.” Haden argued this isn’t always a bad thing, like we tend to make it out to be. It could involve just holding yourself to really high standards. Psychology Today also noted that narcissism is a spectrum, so everyone experiences it to some degree.
Scientific American’s Diana Kwon reported that as many as 6% of Americans have experienced narcissistic personality disorder at some point in their lives. While this may not be ideal for the people around them, it can help their bank accounts. People who are more self-centered are less likely to be concerned about others and will therefore see less of a need to use their money to help others. They have no problem keeping it all to themselves. Or, like Haden said, it could mean they hold themselves to a higher standard and expect better things of themselves.
5. Emotional stability
Mwabonje Ringa | Pexels
Having emotional stability is basically the opposite of the Big Five Personality Trait neuroticism, which clinical psychologist Arlin Cuncic said, “is often defined as a negative personality trait involving negative emotions, poor self-regulation (an inability to manage urges), trouble dealing with stress, a strong reaction to perceived threats, and the tendency to complain.” Being neurotic means you are emotionally unstable and more likely to follow wherever the wind blows.
This would naturally make financial success hard to achieve because it means you might be more likely to spend money on a whim or give in to the urge to quit a job because it’s not going well. Having self-control is important to becoming wealthy, and part of that means not giving in to random impulses that tell you to do something or spend something. Haden said, “When you’re quick to respond in a negative way, with anxiety, moodiness, worry or fear (what psychologists call ‘negative arousal’) it’s much harder to be successful.”
6. Internal locus of control
You don’t hear people talk about a locus of control very often, but it’s a fairly simple concept. Cherry stated, “Locus of control is the extent to which you feel you have control over events that impact your life.” She further explained that believing you are in control over what happens means you have an internal locus of control, while thinking the outcome is all based on external factors means you have an external locus of control. So, having an internal locus of control means that you believe you’re in the driver’s seat of your life, as opposed to life just happening to you.
Forbes contributor Chris Carosa pointed out that having an internal locus of control is essential for entrepreneurs. Entrepreneurs learn through experiencing the highs of success and the lows of failure. If you think that those things are just happening to you, and not things you consciously caused or overcame, then you’re less likely to hold onto that entrepreneurial mindset, which is important whether you start your own business or work for someone else.
Don’t feel discouraged if you feel like you don’t possess these traits right now, or even have the opposite. Like Haden said, you can work to develop and incorporate new personality traits and behaviors. So, even if you’re not that financially successful person right now, there is always room to improve and move closer. Don’t write yourself off yet.
Mary-Faith Martinez is a writer with a bachelor’s degree in English and Journalism who covers news, psychology, lifestyle, and human interest topics.
