Money Analysed

Overcoming Indecisiveness: Strategies for Better Financial Decisions

Indecision is a common phenomenon that affects people across different aspects of their lives. It can arise from a variety of reasons, such as fear, lack of confidence, perfectionism, information overload, or procrastination, and it can have a significant impact on a person’s financial wellbeing.

In this article, we will explore the causes of indecisiveness and its negative impact on finances.

Causes of Indecisiveness

Fear of Failure

The fear of failure is a powerful emotion that can hold people back from making decisions that may improve their lives. It is a fear of not meeting one’s own or others’ expectations that could lead to humiliation or embarrassment.

For instance, a person may be hesitant to invest in the stock market due to fear of losing money. Such fears often lead to indecision, which could ultimately harm the person’s financial wellbeing.


Perfectionism is a trait that entails placing excessively high standards on oneself and others. This trait also leads to indecisiveness since someone is hesitant to make a decision because they feel they do not have enough information or fear making a mistake.

In the context of finances, perfectionism could cause someone to spend too much time analyzing potential investment options without ever making a decision.

Information Overload

The internet age provides an abundance of information available at our fingertips. However, the excess of information can cause individuals to become overwhelmed and indecisive.

For example, when searching for financial products, the numerous options could lead to information overload. In such instances, a person becomes indecisive because they lack clarity on which option is the best to take.

Lack of Confidence

Inadequate confidence in one’s abilities or knowledge often leads to indecision. The lack of confidence could arise due to past failures, limited knowledge, or constant negative feedback.

In the context of finances, an individual who lacks confidence may avoid making investment decisions or fail to take advantage of opportunities that could benefit them.


Procrastination is the act of avoiding tasks or decisions that require immediate attention. In the context of finances, procrastination could mean putting off saving for retirement or postponing investment decisions indefinitely.

The result could be missed opportunities and financial instability.

How Indecisiveness Harms Finances

Procrastinating on Financial Goals

Procrastination on financial goals can lead to missed opportunities to build wealth. For instance, delaying investing in a retirement plan could mean losing out on the power of compound interest.

Over time, the impact of not making the right financial decisions accumulates, leading to significant financial losses.

Missed Opportunities

Indecisiveness can lead to missed opportunities, such as investing in a particular stock or real estate opportunity. People who struggle with indecisiveness may see an opportunity and recognize that it could be profitable, but their fear of making the wrong decision keeps them from taking the necessary action.

Not Making Smaller Decisions Can Add Up, Too

The small financial decisions we make throughout our lives add up to a big impact on our finances. Indecisiveness can harm our finances since we often avoid making small decisions that contribute to our long-term financial wellbeing.

For example, we could hesitate to invest in small but steady growth stock or save a small amount of money each day, week, or month.

Lack of Future Planning

Indecisiveness often results in a lack of future planning. When people cannot make decisions, they cannot create a clear plan for their financial future.

A lack of planning could lead to a lack of investment in retirement vehicles or saving to buy a home. Such indecisiveness can harmirreparably, the financial wellbeing of individuals and families in the long run.

Stops You from Seeking Financial Help

Indecisiveness can stop someone from seeking financial help from professionals or family members. Often, individuals who are indecisive in finances do not know the right questions to ask or feel like they lack sufficient knowledge to make informed decisions.

Rather than asking for help that could guide them to make informed financial decisions, they often remain indecisive, leading to further financial harm.


In conclusion, indecisiveness is a common experience that affects many aspects of people’s lives and the decisions they make, including financial decisions. It can arise from fear, perfectionism, information overload, a lack of confidence, and procrastination, to name a few.

Indecisiveness can harm finances as it causes people to procrastinate on financial goals, miss opportunities, fail to consider small financial decisions, hinder future planning, and stop seeking financial help. To avoid the dangers of indecision, people must self-reflect to identify their fears and insecurities and seek the help of professionals or advice from trusted friends and family.

Developing a comprehensive plan, setting deadlines and seeking advice from reputable financial advisors, can help individuals overcome the negative impacts of indecisiveness on their finances. Indecisiveness can harm our finances, personal relationships, and overall wellbeing.

However, like any other trait, indecisiveness can be managed, and people can learn to counter it with the right strategies. In this article, we will outline several effective strategies to counter indecisiveness and make better financial decisions.

Let Go of Your


Perfectionism is a main cause of indecisiveness, sometimes, individuals focus too much on being perfect that they fear making mistakes, which may lead to inaction. People need to understand that human life is bound to errors, and sometimes judgments cannot be perfect.

To alleviate indecisiveness, it is vital to let go of being perfect and instead focus on taking specific actions to achieve desired goals.

Remember That Action Leads to Positive Change

Positive change arises from taking action, even if that action leads to a failure experience. When people fear taking action or are indecisive, they cannot make meaningful progress towards a better financial future.

It is essential to remember that taking some action, no matter how small, rather than standing still, is the first step towards improving financial wellbeing and overcoming indecisiveness.

Narrow Down Your Choices

When presented with numerous options, people tend to experience information overload, which often causes indecisiveness. To counter this, people may need to use trusted resources that act as a filter, narrowing down the options and presenting a few choices.

Narrowing down choices will help an individual be more decisive when it comes to making financial decisions.

Practice on the Small Stuff

Practice can improve decision-making skills and reduce indecisiveness. People can start practicing on smaller decisions, increasing their confidence and skills, before they move on to more significant investments or buying decisions.

Such a developmental approach can provide the experience needed for people to make better and more informed decisions for their finances and personal life in general.

Educate Yourself

Financial education is critical to make informed financial decisions that could improve an individual’s financial wellbeing and help reduce indecisiveness. Individuals who struggle with indecision may not have adequate knowledge about the financial fundamentals or investment products – thus resorting to indecisiveness to avoid making the wrong decisions.

Education will equip them with more knowledge, helping them become more decisive and confident in making financial decisions.

Use a Pros and Cons List

One way to make better financial decisions and counter indecisiveness is to create a pros and cons list. The list helps an individual weigh the potential benefits and drawbacks of different options, helping them make an informed decision.

When one has gathered as much information as possible and analyzed the available alternatives, making a pros and cons list will help to achieve a more clear perspective and encourage decision-making with much less hesitancy.


Indecisiveness is a common experience, and it can harm one’s life, especially their finances. However, people can counter this trait with simple but practical strategies, including letting go of perfectionism, practicing decision making, narrowing down options, gathering information, remembering that action leads to positive change, and using a pros and cons list.

Making more informed and better financial decisions will help individuals improve their financial wellbeing, and increase their overall confidence and decision-making ability. Indecisiveness is a common trait that can harm an individual’s financial wellbeing.

However, people can counter this trait by implementing several practical strategies, such as letting go of perfectionism, remembering that action leads to change, narrowing down options, practicing on small decisions, educating oneself, and using a pros and cons list. By becoming more decisive and taking action, individuals can make more informed financial decisions that could improve their financial wellbeing in the long run.

Whether it is investing in a retirement plan or simply practicing good spending habits, taking the necessary steps towards a better financial future is essential. Therefore, it is vital to work towards countering indecisiveness by building confidence and improving decision-making skills.

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