What Are Money Blocks? 3 Steps To Overcome Them Now

what are money blocks

Are you a victim of money blocks? They’re one of the biggest reasons why we never reach our financial goals and dreams.

Earning a low income, struggling to pay off debt and living pay cheque to pay cheque. 

Money blocks contribute to all of these, but it doesn’t have to be this way. 

I’m here to dispel those limiting beliefs, help you overcome your money blocks and achieve financial success. 

what are money blocks

What Is a Money Block?

To overcome money blocks we first need to understand what they are.

A money block is a psychological or emotional barrier that stops a person from saving, earning more and effectively managing their money. 

These may have come from past experiences, limiting beliefs or a lack of education about money. 

A quick example: 

You grew up in a poor household and you believe that the highest-earning person in your family is the maximum you can earn. 

This is a money block. You’ve convinced yourself that you can’t earn any more and that is the ceiling of how far you can go in life. 

This example also gives us a sense of limiting beliefs and low self-worth.

How Do You Know If You’ve Got a Money Block?

Here are the 4 main signs you’ve got a money block:

  • You avoid conversations around money.
  • Consistently sabotaging your financial goals.
  • Have a negative mindset around money.
  • You feel anxious or guilty about money. 
what are money blocks

How Do You Overcome Money Blockages?

Overcoming money blocks comes down to three main steps:

1. Awareness

First, you need to become aware of your money blocks. 

Pinpoint the negative beliefs, emotions and past experiences that you might have influenced your financial mindset. 

Take some time to reflect on your upbringing, cultural influences and any money-related events that might be affecting you. 

An extra way to find out hidden money blocks is to talk to a close friend to see if they notice any you have.

2. Education

Now you need to rewire what you know about money. 

Learn good personal finance habits such as budgeting and living within your means. 

Become smarter and start paying down high-interest debt if you have any. 

Then understand that money isn’t the root of all evil. You can use money to make money and grow it by taking calculated risks and investing. 

Education is a key tool in breaking down the walls of money blocks.

3. Overcome

You now have the education. It’s now time to implement and overcome the money blocks.

Overcoming money blocks will take effort and persistence as they have been built up over a long period of time. 

Start by setting small achievable goals to build confidence and prove to yourself that you can succeed. 

This will take time, but the stress and anxiety you’ve been feeling around money will slowly reduce and you’ll be able to unlock your full financial potential.

Check out this post on Money Affirmations that can help reframe your negative thoughts around money.

11 Examples of Money Blocks and How to Fix Them

1. The Fear Of Failure

One of the biggest money blocks is the fear of failure. 

The voice of “but what if it fails” stops you in your tracks and you decide to carry on as you are and not take the risk of bettering yourself. 

You’re so worried about the failure of the business opportunity or a promotion not working out that you decide to just stay as you are.


A way to combat these issues is to write down the “worst that can happen” outcomes. This way you can be calculated about your decisions. 

Furthermore, the feeling of the fear of failure is a lot worse than actually failing. 

Another way to combat these money blocks is to reframe failure as a learning experience. This is how we develop as humans. By learning from our mistakes and our “so-called” failures. 

what are money blocks

2. Limiting Beliefs

Have you ever heard yourself say “Wow that house is beautiful, I’d never be able to afford that” or “I’m never going to be able to pay off this debt”?

These are limiting beliefs because you’ve already said to yourself that you “could never” or “I’m never”.

Limiting beliefs are very common. They go through our heads daily and they keep us from moving forward with our money goals because we think they’re not achievable. 


To overcome your limiting beliefs we need to start reversing our negative thinking and be more optimistic.

Instead of “I’m never going to pay off this debt”, take a pause and reframe what you just said to “This debt needs to be tackled, each payday I’m going to pay off a portion of it before any other spending”.

Or “I’ll never be able to afford a house like that”, start thinking “That house is amazing, I wonder how I can make extra income to one day afford it?”.

Over time with a can-do attitude and an optimistic mindset, you’ll be surprised at what you can achieve.

3. Scarcity Mindset

Having a scarcity mindset leaves you to believe that you’ll never have enough money. 

This means when you do have money you’re hesitant to spend it. It can sometimes lead you to not spend on necessary things like healthcare or education, which can hinder your long-term financial well-being.


To overcome your scarcity mindset of not having enough, you need to have an abundance mindset.

This focuses you on opportunities and growth rather than limitations.

Once you begin to reframe your thoughts around money you’ll begin to see it can be a tool for creating value and building wealth.

Another tip to help overcome this money block is to put into practice some good personal finance habits. Such as making a budget and setting realistic financial goals.

This will relieve some of the anxiety and stress that comes with a scarcity mindset. 

4. Having Grudges Towards Others

When someone is doing well financially and you have a grudge against them for it. 

This money block is down to jealousy. You become bitter and envious of them for doing better than you.

The reason this is a money block is because you’re spending so much of your time on negative thoughts rather than focusing on yourself.


Don’t envy them, emulate them! Use them as inspiration and start thinking of how they’ve become successful. What are the contributing factors to how they’ve become successful?  This is the best way to overcome this money block.

Being humble and thinking about what you already have rather than being jealous of others will also give you a positive mindset. 

5. Previous Money Mistakes 

Are you punishing yourself for your previous money mistakes? It’s a common money block. 

The mental pain caused by a bad decision where you have lost money or regretted a purchase can put a mental barrier up. It’s a type of defensive mechanism to stop you from making the same mistake. 

It can be helpful, but also a hindrance.


Firstly, nobody is perfect, even the smartest people make mistakes. So understand that you’re no different to anyone.

Now, to get over this mental barrier you first need to realize how you made the money mistake. Then to overcome, you need to acknowledge, learn and then practice the new money habits you’ve learnt.  

6. Debt Shame

Having debt shame is a money block which is hard to overcome. You’re bogged down by the financial burden and can’t see a way out. 

Example: Jenny has significant debts which have come about from medical bills and have been compounded by poor budgeting. 

She feels embarrassed to talk about it and often compares herself to her financially successful friends, which in turn leads to stress and anxiety.

Solution: To overcome her debt shame and release her from her money block. Jenny needs to seek support, educate herself on debt management and reframe her beliefs about her financial worth. 

By working through her shame and shifting her mindset to a positive one, Jenny can take proactive steps towards managing her debt and create a healthier financial future. 

7. Lack Of Financial Literacy

Managing our finances isn’t taught in school, so if you’ve not grown up in a household where good financial habits are used, then it’s understandable for you not to be financially literate. 

Example: Jessica is a recent college graduate in computer science. She has a great job at a tech company with a fairly large salary.

Unfortunately for Jessica, she isn’t financially literate and spends what she earns each month and has even racked up credit card debt. 

In turn, she now feels anxious and stressed about money as she now lives pay cheque to pay cheque.

Solution: the lack of financial literacy is clear to see. Jessica never had a budget and didn’t know about high-interest credit cards.

She needs to learn basic financial literacy to move forward. 

Budgeting, debt repayment strategies (debt snowball, debt avalanche), saving and investing. All these will help her overcome her mistakes and help her take proactive steps towards growth. 

8. Low Self-Worth

When a person has low self-worth they believe that they don’t add value to anything and constantly feel unworthy.

Example: Micheal is a great copywriter, he has many years of experience and has glowing reviews. 

Yet he seems to always underprice his work. Raising his prices is out of the question because he feels he’s not worthy. 

Solution: If Micheal is to overcome this money block he needs to build his self-confidence and recognise his achievements. 

Also looking back at what the possible causes were to contribute to his low self-worth can break down psychological barriers. 

Once he becomes self-aware of the underlying factors he can finally overcome them and start charging what he’s worth. 

9. Fear Of Success

This is a funny one because on the surface you may think “Why would anyone be scared of success”?. 

Success comes with pressure, criticism and high expectations. This can be enough for someone to have a money block and not achieve their full potential. 

Example: James is a talented artist, he dreams of turning his passion into a full-time career. 

He has the opportunity to showcase his art, but he turns down the opportunity. He fears if he is successful, he wouldn’t be able to handle the pressure, criticism and high expectations.

This fear of success affects James’s self-worth and financial mindset. He feels he wouldn’t be able to manage the money that comes with being a successful artist. 


James is experiencing a very common money block. To overcome this he needs to get out of his comfort zone and start challenging his beliefs. 

Start by going to other art exhibitions and confiding in other artists that are in the position he wants to be. This will reassure him that he can be a successful artist. 

Now Alex should seek out and accept opportunities that come his way to showcase his art. With small steps and time, James can achieve artistic and financial success. 

10. Comparing Yourself To Others 

Say you went to school with somebody who is a millionaire and you’re comparing yourself to them.

They’re going on extravagant holidays, buying nice clothes and you feel inadequate because you aren’t in the same position as them. 

By comparing yourself to others you’re giving yourself an uphill battle. You’re focusing on them and in turn, this will delay you from reaching your milestones and goals.

Solution: Have you ever heard of the saying “Comparison is the thief of joy”? Well, it couldn’t be more true for this money block.

Concentrate on your path. Start setting goals that align with where you’re at and where you want to be.

Don’t try to keep up with the Jones, it can result in a spiral of debt. Start developing a healthier relationship with money by spending within your means.

Every person’s situation is different. Acknowledging this will help you overcome this money block. 

11. Perfectionism 

Sometimes we feel that everything has to be perfect before we start that next business idea or side hustle. 

When in-fact perfectionism is the very thing stopping them from starting.  

Example: Sarah is a super creative entrepreneur, she has an awesome business idea. However, her perfectionism is stopping her from launching her first product. 

She feels she doesn’t know enough and is constantly tweaking parts of her product because it’s not perfect.

As a result, months go by and Sarah has missed many great opportunities and chances to grow her business. 

Solution: Progress over perfection. This is the key message that Sarah needs to instil. 

By launching the business she can learn and tweak things along the way. 

Customers will give her feedback and changes can be made. 

Money blocks quiz (Discover your relationship with money)

Another way to see if you’ve got a money block is to take this quiz:

1. How do you feel about discussing money with others?

  1. Comfortable and open
  2. Neutral, it depends on the situation 
  3. Uncomfortable and I try to avoid

2. What are your thoughts when you think about investing or taking financial risks?

  1. Excited and motivated to explore opportunities
  2. Interested, but hesitant to take big risks 
  3. Anxious and fearful, I prefer to play it safe

3. How do you view your financial work or value?

  1. I feel confident in my worth and what I bring 
  2. I have moments of doubt, but overall I believe in myself
  3. I often doubt my worth and feel inadequate 

4. When unexpected expenses arise, how do you react?

  1. I handle them calmly and find solutions 
  2. I feel a bit ashamed, but I figure out a way to manage it 
  3. I get very anxious and worry about how to cope

5. How do you talk to yourself about money and financial goals?

  1. I use positive and optimistic language 
  2. I mix positive and negative thoughts
  3. I tend to be self-critical and doubt my ability

6. How do you react when someone compliments your financial achievements?

  1. I am happy to take the compliment and feel encouraged 
  2. I feel a bit uncomfortable, but I appreciate it
  3. I downplay my achievements or feel awkward about the compliment 

7. Do you feel you deserve financial success and abundance?

  1. Yes, I believe I deserve it
  2. I’m unsure, but I’m open to the idea
  3. No, I often feel undeserving of financial success. 

8. How often do you review your financial goals and track your progress?

  1. Regularly, I like to stay on top of things.
  2. Occasionally, when I remember to do so
  3. Rarely, I tend to go with the flow and not think about my goals

Count the number of times you selected each letter:

  • A:
  • B:
  • C:

What your score means:

  • Mostly A’s: You have a pretty good relationship with money and hardly any money blocks, if any. 
  • Mostly B’s: You have some minor money blocks, it might be an idea to think about your thoughts around money and challenge your thinking.
  • Mostly C’s: It appears you might be dealing with a fair few money blocks. These are likely holding you back from financial success. Maybe consider seeking help or addressing the blocks with educational resources. 

*This money quiz just provides a general insight into your thoughts about money. 

It is in no way shape or form professional advice.

It’s just a handy way to see in black and white what you’re feeling and if you have any money blocks that you might be unaware of.

What is the reason for money blocks?

Money blocks can arise for many different reasons. 

Things like how you were brought up, societal pressures, past money-related experiences, and even your personal beliefs can contribute to these blocks. 

It’s like if you had negative money experiences as a kid, cultural ideas about wealth, or fears of not succeeding financially.

These emotions and beliefs can hold you back from financial success. People often work with therapists, and coaches, or do self-reflection to tackle and overcome these blocks.

What if I don’t clear my money block?

So, if you don’t clear your money block it will continue to impact parts of your financial life. 

You’ll likely continue to make bad financial decisions and find managing your money stressful.

Not clearing your money blocks might also limit your ability to earn more, or achieve your financial goals. 

Negative beliefs and emotions surrounding money can influence your actions and prevent you from taking risks or seeking out new opportunities.

Over time, this could hold you back from achieving things such as a pay rise, investing in property or simply managing your money well with a budget. 


I hope this post has given you the encouragement you need to overcome your money blocks and thrive.

By acknowledging your money blocks, learning and persistently taking action you can take the steps to a brighter financial future.

Remember, anything is achievable. 


Why it is important to challenge money blocks

It’s important to challenge money blocks as it allows you to chip away at any mental barriers you have about money. 

When you challenge the thoughts and feelings you have you’ll slowly be able to remove your limiting beliefs.

Challenging them may include building a savings pot, paying down debt or asking for a pay rise. 

Once you see the positive changes and money blocks are just mental barriers, you’ll be able to increase your income potential and start building better financial habits. 

Money beliefs unlocking your abundance

Your money beliefs are often shaped by upbringing, culture, experiences and financial worth.

To unlock your abundance you’re going to have to challenge your negative money beliefs and create a positive money mindset that believes in financial growth and prosperity. 

By adopting an optimistic mindset you’ll be open to abundance and any opportunities that come your way. 

8  abundance blocks 

Here are 8 abundance blocks that can stop you from reaching your goals for abundance and prosperity:

  • Procrastination 
  • Scarcity Mindset
  • Negative money beliefs
  • Impulsiveness
  • Overworking 
  • Comparison 
  • Dependency 
  • Resisting Change 

Money blocks books 

Educating yourself by reading is a great way to overcome your money blocks. 

Here are my top 3 books:

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