Can you learn to be financially disciplined?

Some people seem to reach their money goals with ease, but this doesn’t happen by chance. Rather, their financially-disciplined behaviour puts them on the path to success. 

This article explores whether it’s possible to learn financial discipline, and the steps you can take to optimise your progress. 

Tip: A good starting point on the road to financial success is monitoring your credit score.

What does it mean to have financial discipline?

Financial discipline means applying good money habits – budgeting, tracking expenses, accruing savings, following a debt repayment plan, and setting up and maintaining an emergency fund - with consistency.

These habits can be cultivated, says Sherry Tapfuma, a paraplanner at Crue Invest – but the first step is to set goals, as they are the basis of your financial roadmap.  

“Start with the end in mind,” she says. “Be clear about what you want to achieve, whether setting up an emergency fund, saving for a downpayment for a house, or accumulating funds for retirement.” 

The world of sport - a practical example

The psychology of sport can teach us a lot about discipline, says psychologist Quinton Williams. Successful sportspeople are good at setting goals, consistent in how they set out to achieve them, and able to maintain their motivation.

Tapfuma agrees that having a clear goal allows you to focus, power through obstacles, and remain committed for the long term. “If you’re self-aware, you can set realistic, attainable goals without feeling financially constrained,” she says.  

Sportspeople understand the link between setting a goal and achieving a reward, which drives them to improve their performance. “They won’t put themselves through hardships if the reward isn’t worth it,” says Williams.

“Once they know what they’re working towards, they’re consistent in their routines and never skip practice sessions.”

When you set your heart on a goal – such as buying your first home or setting aside funds for your education – you need to remain motivated to get there.

“This may mean learning how to be more responsible with money,” says Tapfuma. “For example, if you’re saving for a house, don’t divert those funds towards other things; and if you’re building up an emergency fund, don’t use that money to pay for your lifestyle.”

Adopt new financial habits

Adopting new financial habits means making behavioural changes that will allow you to work systematically towards your goal, says Williams. 

He notes two key traits that promote financial discipline: the ability to delay gratification, and personality hardiness; that is, the ability to adapt under negative conditions. 

Both involve being able to manage your emotions through good times and bad, letting nothing distract you from the prize.

Williams says there are three steps to take to change your behaviour:

1. Unfreeze. Understand how your current behaviour prevents you from reaching your goal and examine any resistance to change.
2. Introduce new behaviours. Adopt new behaviours that align with your values and objectives. The quicker you learn to focus on the goal, and not the pain, the more likely you are to succeed.
3. Refreeze. Embed new habits in your everyday life. Focus on short-term wins, which will make you more comfortable with new ways of doing things.

Tapfuma recommends starting with small, realistic changes. Although it may help to automate your savings, for example, it doesn’t make sense to commit to a debit order that will disrupt your cash flow just so you can save. 

“This will defeat the purpose and leave you more overwhelmed than motivated,” she notes.

Having an accountability partner can help you stay on track. “Share your goals and progress with your financial planner, a family member, or a trusted friend,” she recommends. “Discuss your financial journey with someone who can encourage and motivate you along the way.”

Stay the course

It’s important to persevere – and celebrate small wins. “If you’re doing better than you were the last time you measured your performance, you’re winning,” says Williams. 

Tapfuma says financial discipline ultimately allows you to gain control over your finances. “It reduces your stress and builds your confidence, which can be motivating in itself,” she concludes.

Tip: Saving and investing are crucial wealth-building steps. Find out more here.