Finance plays a major part in all our lives. However, few people directly relate character with finance. In fact, your character is revealed by your pattern of behavior, thoughts and feelings when dealing in financial matters, such as money, borrowing, and investments.

Money is merely a way to measure value and a medium of exchange. Since money enables the human act of buying goods and services, obtaining or having more money is a desirable value in our society. Everyone deals with money from an early age.

The old age saying “money is the root of all evil” recognizes money’s universal importance. However, money is an inanimate object and therefore by itself is not inherently evil. But people’s obsession with and their actions relating to money may be evil.
 you earn, spend, borrow or invest money, you create a distinct financial relationship between yourself and  another. That financial relationship can be good or bad, successful or unsuccessful based upon the character you exhibit.

All your financial actions have consequences. Every financial relationship has measurable consequences. The consequences of poor character in financial matters can destroy relationships and can be extremely destructive to individuals, families, businesses, governments and society.


Everyone realizes that people who steal or swindle money have poor character. But what about people who are law-abiding, hard-working and well-meaning, who lack financial discipline or self-control and who act based upon short-term desires, whims or bad habits, without proper planning or thought? As a result, they may find themselves “in over their heads,” overspending or making a bad investment, and they lose all their money. To get the answer, we cannot look merely at the result, but instead at their actions that led to the result.

For example, “John” is someone who spends more than his income. If he has no cash, he uses his credit card and borrows more and more each year. John is living beyond his means, running up excessive debt, knowing that he cannot repay. John is spending money that he has not earned, does not have, and does not intend to repay. He is benefiting himself today, but leaving someone else (his lender) to suffer the financial loss.

John promised to repay his lender. Breaking this promise by continuing to borrow money without intending to repay constitutes lying. John exhibits flawed character through selfishness, dishonesty and lack of integrity. He exhibits no fortitude or respect for his lender or his financial relationship. He is trying to “get something for nothing.” and letting someone else “clean up his mess” financially for his poor character. This is morally and ethically wrong.


Remember that sooner or later, every financial act has measurable consequences.

We must recognize the problem: not merely that John spent more money that he had and ran out of money, faced bankruptcy and ruined his financial relationships and his future ability to borrow. The problem is that he himself created his sad destiny because of his poor character in his financial dealings.

The lesson to be learned is that in most circumstances, negative financial outcomes are often caused by inappropriate, irresponsible actions stemming from lapses of character in financial dealings. If a person demonstrates good character in financial matters, he or she develops improved relationships and financial outcomes, as well as long-term success.

The solution is to teach everyone applicable character principles along with basic finance, budgeting and accounting, beginning at a young age.


Over the last decade, the word character development has grown to subsume character education while also adding many important advancements and developments, such as social emotional learning (SEL), interpersonal skills, positive psychology, positive youth development, whole child movement, positive school culture and climate, restorative practices, leadership, growth mindset, academic improvement, and workplace readiness. These very broad initiatives today are referred to as comprehensive character development” initiatives and are intended to cover all important bases in a single program. 

As a result, today’s comprehensive character development initiatives, in response to scientific research and discoveries, as well as the needs of our schools and society, intentionally incorporate a much broader curriculum focus as well as utilizing greatly improved and more efficient and effective implementation technologies.


While advanced finance can be complex and difficult, teaching basic financial principles together with character is quite simple.

First, there can be no double standard – people must recognize that all the basic character principles and virtues that apply to everyone also apply to their financial dealings. By always acting with integrity, you will build trust, and foster good relationships. This will result in long-term success in all your dealings, including your financial activities.


An important measure of your character for your lifetime is how you deal with financial matters. Remember that every financial action you take reflects a relationship and will always have long-term, measurable financial consequences. Therefore, have the strength, self-control, and courage to do the right thing. Be knowledgeable, just and honest with yourself and have wisdom, vision and integrity in order to achieve trust, strengthen financial relationships and create long-term positive outcomes and success in the area of finance.