Money fuels our basic needs, security, autonomy, and aspirations. It can empower, restrict, motivate, or stress us out.

Because of this, compensation is deeply emotional. Every team member filters their pay through their personal money story—a subconscious narrative shaped by life experiences.

Common Money Stories:

• “Money is the root of all evil.”
• “There’s never enough money.”
• “Wanting money is greedy.”
• “Money creates freedom.”
• “There’s more where that came from.”

While you can’t control these stories, you can encourage self-awareness to help team members break free from limiting beliefs. When people understand their default money mindset, they gain the power to shift it—especially if they tie their compensation to self-worth.

Encourage Your Team's Awareness of Their Own Money Mindset:‍

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For many in US work culture, money is a private matter. This is not a topic where team members will likely want to meaningfully share with their supervisor or co-workers. With that said you can still share how important it is to be aware of one's own default money mindset and money stories. Offer this set of questions as something for them to contemplate in the privacy of their own home.

1. What were you taught about money growing up?
2. What do you believe about wealth, scarcity, and security?
3. What do you see these beliefs reflected in how you make, save and spend money?
4. Which of these beliefs serve you—and which do not?
5. If someone was just to look at where you spend your money, what would they say you value?
6. Does your spending align with your actual values?

Pro-Tip: Do NOT offer this opportunity near raise or bonus time or it could be misconstrued.

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As a leader, you can’t rewrite your team's money stories—however you can shape how your organization defines compensation, value, and fairness.

Bonus Ways to Support a Healthy Compensation Culture

+ One of the best benefits you can provide your team? Financial literacy training. Partner with a non-profit that offers unbiased education (rather than financial product sales). There are also quite a few written resources you can point your team to as well.

+ Remember: psychological compensation matters just as much as money. Team members weigh flexibility, autonomy, appreciation, values alignment, and team camaraderie just as heavily as their paycheck.

+ People will talk about their salaries—and they should. Suppressing pay discussions signals secrecy or unfairness. Instead, create a culture where compensation is fair, transparent, and clearly communicated.

+ Do not have compensation conversations at the same time you have performance reviews.

+ Check out Chapter 14 of Culture Works: Crack the Compensation Code
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Here’s to fostering a workplace where compensation is fair, meaningful, and empowering!

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