Episode #388 – Money Mindset Series Part 1: The Hidden Costs of Financial Fear

Welcome to Brilliant Balance, the show for those of us who still dare to want it all—who have big dreams and bold ambitions. I believe we deserve to have a big, full life and the freedom to enjoy it. So let’s design our next chapter together—for brilliance, not burnout. Each week, I’ll bring ideas, insight, and a fresh perspective to keep you growing into a life that feels as good as it looks. Brilliant Balance. Your life. Your way. Now let’s get started.

This is Episode 388 of the Brilliant Balance podcast, and today we’re kicking off a four-part Money Mindset series. This is Part One: The Hidden Costs of Financial Fear.

I’m so glad you’re tuning in for today’s episode because if you are, it probably means you’re intrigued by what you can do to improve your money mindset. Maybe you’re wondering about your current level of financial fear—whether it’s something you experience occasionally or regularly.

I’m really excited about what I have in store for you over the next four episodes. Insider tip: this isn’t the first time I’ve done a series on finance or money mindset. While it’s not the core focus of Brilliant Balance or my work, it is highly relevant to the women I serve—ambitious, successful women. Sometimes they’re executives or leaders within organizations; sometimes they’re business or practice owners. Money is always in the mix. And the way we think about it—the stories we’ve been told and the beliefs we hold—shapes so much of our lives.

In fact, our relationship with money often parallels our relationship with other parts of our lives. Fun fact.

Today, in this first episode, we’re going to talk about the hidden costs of financial fear. In the next three episodes, we’ll dive into three other equally important angles of money mindset.

So for today, get settled in. Maybe even take some notes. And if you’re a long-time listener who’s heard a version of this before, remember—you may be in a different place now and draw out completely new insights this time around.

Let’s begin.

So, why am I doing this series? Why, on a podcast that’s really about balance, priorities, and purpose, are we talking about finances? It might seem like it’s coming out of left field, but here’s why:

One of the biggest barriers I see to women achieving their full potential—the work they’re here to do, the legacy they’re meant to leave—is actually finances. And not in the way you might initially think. It’s not usually a lack of actual money that’s the problem—it’s how we think about money or, in many cases, how we avoid thinking about it altogether. That thought pattern is what gets in our way.

Over this four-part series, we’ll unpack some of those mindsets, explore how they might be impacting your choices, and look at what shifts you can make.

Today’s focus is financial fear. Just pause and consider: how does that phrase feel in your body? Do you feel it in your gut, your throat, or your shoulders? Even a subtle sense of tension is worth paying attention to.

Financial fear is often linked to what’s called a “scarcity mindset.” Stephen Covey coined this phrase to describe a belief that there’s not enough—of anything. Today, we’ll talk specifically about money, but scarcity mindsets can apply to time, love, opportunities—almost anything.

And this mindset can lead to some really distorted behavior patterns. When it comes to money, the core belief is that there’s not enough. You start asking: Will I have enough? What if I lose it? Why don’t I have more? Why does she have more?

These thoughts don’t even have to reflect reality. You might have plenty of money, but your mind is telling you otherwise. Maybe the market’s down, or a balance is lower than you’d like, and it triggers that fear.

Here’s the problem: even if the threat isn’t real, financial fear can cause real consequences. It leads to decisions that reinforce the fear rather than alleviate it.

So today, I want to talk about three specific behavior patterns that emerge from financial fear:

1. You stay stuck in your comfort zone.
Your comfort zone is just what you already know. It might not be comfortable in the true sense—you may not love your job, your home, or your lifestyle—but it’s familiar. Financial fear keeps you from taking risks. The belief that you can’t afford to lose even a little keeps you from reaching for more. You don’t try something new because the fear of losing outweighs the hope of gain.

2. You get stuck in the blame game.
When you’re deep in scarcity thinking, you look for someone to blame—your partner, your parents, your employer, the government. You fixate on the why instead of the what’s next. You focus on past events, reliving them, rehashing them, trying to make others understand your story. But this backward-looking energy takes your focus away from action. You’re not thinking about what you can do to improve your circumstances—you’re trapped in trying to explain how you got here.

3. You go into fight-or-flight mode.
This might be the most dangerous. When your financial security feels threatened, your brain interprets it as a life-or-death threat. You get tunnel vision. It’s all you can think about. And that hijacks your cognitive capacity—your problem-solving skills, your creativity, your ability to make long-term decisions. Studies show that people in a scarcity mindset perform significantly worse on cognitive tests than when they feel financially secure.

One fascinating study on sugarcane farmers in India showed this clearly. These farmers are paid annually, right after the harvest. Immediately after they’re paid, they feel “rich” and make better decisions. But just before harvest, when money is tight, the same farmers make significantly worse decisions. The only difference? Their mindset.

So, what can you do?

First, stabilize your mindset. Imagine you’re drowning—what’s the lifeboat? How can you create a sense of short-term security so you can breathe again?

Then ask yourself this one powerful question:

“What would I do if everything were okay?”

This flips the switch. It puts you in a mindset of abundance and possibility. You stop acting out of fear and start taking calm, strategic actions. Sleep. Eat well. Have a rational conversation. Do what you would already do if things were okay—and you’ll start stacking wins that lead you forward.

To recap, here are the three big hidden costs of financial fear:

1. It keeps you stuck in your comfort zone, afraid to take risks.

2. It traps you in the blame game, focused on the past instead of the future.

3. It hijacks your brain, impairing your ability to make good decisions.

So, ask yourself: What would I do if everything were okay? That question can help you return to agency, to clarity, and to control.

Financial scarcity is no way to live. Taking responsibility and choosing abundance—no matter your current financial circumstances—can open the door to everything you want.

And here’s the thing: this shift isn’t limited to people with limited means. I work with many women of significant financial wealth who are still stuck in scarcity mindsets. And others, with modest means, who live in full abundance. It’s a head game.

If you’re ready to go deeper on this topic, reach out to me or my team. Head to the Brilliant Balance website, or DM me on Instagram @cskolnicki. I’d love to hear from you.

And don’t forget to tune in next week for Part Two of the series, where we’ll explore whether you’re acting like a financial child. It’s an episode full of eye-opening insights—I can’t wait for you to hear it.