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Level 1. Understanding Habits

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Take an in-depth lesson on the psychology of habits to learn how to break bad ones and create good ones to manifest the future you want!

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Level 1. Understanding Habits
 

Level 1. Understanding HabitsOnline version

Take an in-depth lesson on the psychology of habits to learn how to break bad ones and create good ones to manifest the future you want!

by WM
1

What is a habit?

Definition: A habit is a behavior you repeat so often that your brain does it automatically.

Example: brushing your teeth, using your phone, driving, etc

Why it matters: Habits play a part in how you manage your money and also how you manage your life, which in turn affects your ability to save, spend, invest, and build wealth

2

The Human Brain Loves Shortcuts!

Why: The human brain is designed to save energy. When actions are repeated, the brain creates a neural pathway that makes the behavior easier over time. The more the action is repeated, the more automatic it becomes. Eventually, the brain no longer needs energy to complete the action. It happens automatically, and the brain uses the energy for other areas

3

The Habit Loop

Every habit follows a simple loop:

Cue (Trigger): Something in your environment or feelings that starts the habit.

"Feeling depressed after a failed exam or feeling lazy on a rainy day"

Routine (Behavior): The action you take in response to the cue.

"Shopping to cure the depression or ordering food delivery because of the laziness"

Reward: The benefit your brain receives, often a burst of dopamine

"The pleasure of getting new things or the satisfaction of tasty food"

4

Dopamine - The "Feel Good" Chemical

When your brain gets a dopamine reward, it reinforces the habit loop, making the behavior easier to repeat the next time. Over time, your brain starts expecting the reward whenever the cue appears, which is why habits can feel automatic.


Understanding this loop helps you break bad habits and create good ones.

5

Breaking Bad Habits

If you use the habit loop, you can easily identify how the habit was formed, and if you disrupt the loop, you disrupt the bad habit.

  1. Identify the cue
  2. Replace the routine
  3. Keep the reward

Instead of shopping after a depressing moment, hang out or talk with a best friend

Instead of ordering food delivery, try a simple recipe at home or make a "rainy day treat"

Both can still give you a burst of dopamine, but in a positive way, and your brain won't know the difference!

6

Forming Good Habits

Using the habit loop again, you can easily create good habits with cues, routines, and rewards.

Cue: Attach a cue to an existing habit

"Before I scroll on any social media, I will open the Word Of The Day app"

Routine: Perform the behavior

"Learn one new word"

Reward: The behavior triggers a dopamine boost to your brain for accomplishing a goal

"You learned a new word and expanded your vocabulary"

Now you've created a habit loop of learning new things every day based on something you already do every day, which makes it easier to remember.

7

Maintaining Habits

Once the habit is in motion, it's crucial to reinforce the habit loop with repetition and consistency. Until it's a part of your subconscious behavior, the newly formed habit is very fragile and easy to abandon.

  1. Make new habits easy and small. If it's not overwhelming, it's easier to maintain.
  2. Try to do it at the same time every day. This trains your brain to get used to a routine at a certain time, which makes it easier to remember as well.
  3. Reward yourself. Rewards trigger dopamine boosts, which naturally make your brain connect the reward to the cue.


Small actions repeated daily become powerful habits!

8

Your Habits = Your Future

Your habits today will decide how your future looks years from now. Becoming the person you want to be, achieving the goals you want to achieve, or building the wealth you desire all come down to the habits you practice now.


If you want to change your future, change your habits!

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