- Building wealth isn't always about the money.
- In a recent podcast, Suze Orman said there are three internal obstacles women face when it comes to building wealth: fear, shame, and anger.
- Orman said women often put themselves "on sale," which causes them to settle for less - they're afraid to ask for what they want and don't ask for what they know they're worth.
Surprise: Making money isn't always about the money.
Women must first overcome a few mental obstacles when it comes to building wealth that have little to do with how big their bank account is, according to bestselling personal finance author Suze Orman.
"Fear, shame, and anger are the three internal obstacles to wealth," Orman said on a recent "So Money" podcast with journalist Farnoosh Torabi and editor-in-chief of Money magazine Adam Auriemma.
"Bar none, that is the exact three internal emotions that keep you from being more and therefore, having more. The only way to do it is by taking action," Orman said. She shared the story of a hairdresser she once went to who billed Orman $135 for a color, cut, blow-dry, and conditioning treatment.
"I looked at her and I said, 'Are you crazy?' She said, 'Well Suze, if I charge more, I'm afraid that the people won't use me anymore.' I said, 'But, you're not making any money. You've put yourself on sale. You are one of the best hairdressers I've seen, the best colorist. Oh, my God. You should be charging $300 or $400 for this, at least.'"
This is the epitome of what Orman calls women putting themselves "on sale."
"They're afraid to ask for what they really want," she said. "They put a price tag on themselves as to what they think people will pay."
A confident and capable mindset is a key to building wealth
Orman continued on to say the reason more women started working during the recent 2008 recession was because they were willing to take a huge pay cut and give up their vacation pay if it meant others got to keep their job. Some men, meanwhile, wouldn't accept a salary cut and would wait for a job with higher pay, she said.
"Women tend to settle for less," Orman said. "They don't ask for what they know they're worth, because they are afraid of the consequences if they speak up. They put themselves on sale."
It's this fear, shame, and anger that are preventing women from growing their wealth. Torabi added that women should "just jump in the deep end."
"I think women in particular is so much a reflection of how we were raised and the modeling that we had growing up and that's just compounded over all of these generations," Torabi said.
Ultimately, cultivating a confident and capable mindset is a huge contributor to building wealth, no matter your gender. Steve Siebold, author of "How Rich People Think" and "Secrets Self-Made Millionaires Teach Their Kids," has found that rich people put their energy into more cognitive visions to achieve success, namely learning, courage, and results.
"When it comes to the success they've had, they talk more about things like mindset, attitude, vision, belief, self-growth, confidence and continued learning," he wrote of the worldwide millionaires he's interviewed. "The bottom line: getting rich is not all about money."