[00:00:06] Viktoriia Miracle: Hello. Hello and welcome to happy time happy money podcast and today we have Krystle McGilvery. She uses behavioral finance as a foundation to provide business consultancy and financial coaching. She's focused on improving the financial capability and wellbeing of business owners. Krystle is chartered accountant is known for connecting money to the mind as the starting pointing to for improving financial dexterity. She is deeply passionate about the pyschology of financial decisions, making financial education and the opportunities it grants. Hi and welcome Krystle.

[00:00:51] Krystle McGilvery: Hi, thank you for having me.

[00:00:54] Viktoriia Miracle: Absolutely pleasure. I would love to learn more about how did you become, someone who is interesting in finance? You know, all the psychology around finances.

[00:01:05] Krystle McGilvery: Ah, it's a big story. So I am a chance accountant and I have been for, I think over 10 years definitely. I don't know exactly now I've lost track. My promise are wishing to come attract accountant. I studied financial matters, in my household, it's kind of an unwritten rule that you have to go to university and just pursue, you know, quite traditional career.

[00:01:25] So I did that at the same time. So I was living in a single parent home raised by just my mother and she was actually self-employed. So she was self employed. She's a hairstylist. She has a salon. Lovely. But she didn't have the skills to manage the finances of a business. So she struggled. So we were living, you know, struggling day-to-day to get by.

[00:01:49] And we managed, but it was, it was a challenge and being the oldest sibling, I was responsible for maintaining the household and keeping everything, you know, in good condition. So quite early on, I., I kind of became really aware of the importance of finance and the impact it can have on your day-to-day life.

[00:02:10] So, as I said, I went on to become a class accountant and doing that and being surrounded by people who have finance in the working space. I obviously started to really improve my personal circumstances. So I acquired seven properties, you know, just really built up a lot of money and done me well for myself.

[00:02:28] But the people that I grew up with and the community I was from didn't have a similar lifestyle to me as to the one I was developing at the same time. It shows you how much I do, but at the same time I was teaching math and I started teaching math when I was 18 years old. So I still quite connect to the community.

[00:02:46] And yeah, I think I got to a point. So working as a chartered accountant within finance, the finance department of a company, I think I got to the point where I was quite frustrated seeing what was happening in the, you know, the general community and the, the life that I was experiencing. I was like, I can do more.

[00:03:08] And in terms of my passion, why cared about, I started to get to a place where this isn't enough for me, this, you know what I'm doing day to day, I'm not fulfilling my purpose. So I actually went away and quit, quit everything. I packed it all in. I quit my really high paying job. Mother was quite upset and I went traveling for a year and a half.

[00:03:27] So, and that provided the space for me to really really tap into, what was that my core, what cared about? And I realized that what I cared about was women finance, especially women being the head of the home, the fact that children often go to them for education and learning. And then you have a bunch of women who found those, or, you know, At the importance of women having their financial independence.

[00:03:53] So that, that became my real passion and drive and my focus area that was quite few years ago. So I came back to London. Well, what's those traveling actually, I set about creating a plan as to what I'm going to do. So obviously being a chartered accountant and being good at maths, it helped with me setting up my own business.

[00:04:11] So I've gone on to set up a feed business, some have failed, which I understand is a common journey for many founders. And I currently do just that, I support people men and women, mainly women, I guess that's down to women gravitating towards me to get that financial support and only mine side. So I don't just do finances.

[00:04:33] I actually focused on the founder themselves and where they are mentally. So it's, you know, I've done a CPT course and I've done a lot of psychology courses to understand how the mind processes, financial decisions and, you know, it's sort of about confidence and, you know, feeling like you're capable of learning this part of the business.

[00:04:54] No, and I'm sure you're aware, we're not taught this stuff in school. So people don't just pop out into the world as an adult and all of a sudden they're skilled with the financial, you know, education that they require. So I focused on the individual first. Get them confident with the idea of learning about finance and take them gently on that journey, which is a large contrast to what a lot of the finance educators do today.

[00:05:18] I was just talking to someone about it today, and a lot of them can be quite harsh in, you know, telling you off aggressively for making the wrong mistake, you know, at times and instead my approach is very different. Look going to my social, just see them much more gentle about it because I can see this.

[00:05:36] There's something underneath the surface that's going on for someone to make that decision. So, yeah, that's what I do now. And I've got lots of things in the pipeline, but I want to do, just to really help this space. Yeah, that's how I got here.

[00:05:48] Viktoriia Miracle: That is so awesome. I would love for you to share the top three mistakes that people making it before becoming financial free?

[00:05:59] Krystle McGilvery: In terms of business or personal?

[00:06:01] Viktoriia Miracle: Personal, and business.

[00:06:03] Krystle McGilvery: Yeah. Okay. I think on the business side, and this is funny, I was just putting something together before it was cool on the business side. One would be people thinking that a attractively looking bank balance means that doing well in business. It doesn't and instead of me going into detail and our, basically it doesn't take into account or reflect the liabilities.

[00:06:25] You have things that you have to pay, the things that are due to be paid, just because you have a lot of money right now, you may still be liable to pay things out. And you know, Again, with the funds education, you can learn what needs to be done and how to best analyze your financial position and now that would be financial mistakes. You say?

[00:06:47] Viktoriia Miracle: What?

[00:06:48] Krystle McGilvery: Did you say financial mistakes.

[00:06:50] Viktoriia Miracle: Yes.

[00:06:51] Krystle McGilvery: Yeah.

[00:06:51] Viktoriia Miracle: Top 3 ones

[00:06:53] Krystle McGilvery: Yeah. I think the other would be trusting your mind. We are we're humans and our bring God's to take the easiest route. So if you have a goal to maybe save a certain amount of money and you're not doing it right now, you're not saving as much as you'd like to you.

[00:07:10] Haven't got the systems in place. If you, you know, for example, some people want to save monthly and they say, I'm going to say at the end of the month. So I get paid at the beginning of. I'm going to go through the months, spending on what I need to, and what's left off save. You're never going to say what you plan to say.

[00:07:26] You have to set up that force your hand, that you're not in control of what you're doing. They're just happening in the background. I think the third one would be back to business. I think it would be trust in your accountant to make the best financial decisions for your business. So an accountant is there to manage your day-to-day finances and maybe work on the statutory reporting and the legal side of your finances.

[00:07:53] They're not necessarily there to forecast your business and create the strategy to get you where you want it to get to. I think that's a common misconception that people have, and that's not, that's not right.

[00:08:06] Viktoriia Miracle: I love it. So you talk about behavioral finance, like what is it and why do you speak about it?

[00:08:13] Krystle McGilvery: So it's, it's, it's funny, it's an area that's been around for about just 10 years, actually, as a lots of research going into it and also into neuro finance. I did a course on that and it was went too deep. It was literally looking at the brain and the structure of the brain. And I was like too far, behavioral finance is basically the psychology of financial decision-making.

[00:08:31] So take a look at the psychology of your brain, why you make decisions, how you make decisions, but influencing factors that get you to where you are today, and then focusing that expertise in the space of finance. So if you look out, if you think about limiting beliefs or you know, people who spend way more than they should be spending or sustaining an overdraft day-to-day, it's looking at psychology as to why somebody gets there. So a lot of what I do is trying to understand that psychology and apply it to an individual, to help them reflect first of all, to understand what they're doing and why they're doing it. And then find ways to kind of undo that or do the opposite to get them to where they want to get.

[00:09:17] Viktoriia Miracle: So, is there the same thing that, when people let's say overspending, like, is it the same trauma I guess or anything that will triggers that in every person, always at different for everbody.

[00:09:30] Krystle McGilvery: It's different. It's totally different. So if you think about an individual, so forget finances for a second, we're also different.

[00:09:37] We grew up in a different society, a different community of our parents taught us different things about finances. And also what I think people often forget is when you go to college or university, the people you interacted there impacts the decisions you make, you know, whether it's peer pressure or it's a partner, there's so many different factors that influence you and what you believe about yourself and about money as you continue to grow.

[00:10:02] And, you know, you evolve all of that blends together. So it's, you know, the starting point is looking at, okay, what are you doing? That's maybe hindering you get, you know, getting you to where you want to get to. Okay. Why do you feel about what do you feel? What's the thought process and re unpicking that process?

[00:10:19] Viktoriia Miracle: Got it. And the last question that I have for you is to fill in the blank. So fill in the blank for me, if you really knew me, you will know that I am blank.

[00:10:30] Krystle McGilvery: I'm very silly.

[00:10:35] Viktoriia Miracle: That's awesome. All right. I know you have an awesome gift and actually it's, this is like two gifts in there. Can you share more about what it is and why are our audience must go and grab it?.

[00:10:48] Krystle McGilvery: Yeah. Once a startup finance manual, basically just for people who are starting a business or about to start a business and they're really in a bit of a mess when it comes to what to do with their money and how to manage it. So that's, that's that one. And then on the personal side, it's kind of a little money maker. So if you haven't ever taken the time to look at your finances, this will help you by prompting the range of questions, to think about your finances in different areas, and hopefully help you make decisions as to what to do.

[00:11:16] Viktoriia Miracle: Awesome. Thank you so much. And if you're watching or listening to this episode and wonder where as you can come grab it to scroll down, there's going to be a link to our webpage, where you will find the video, audio, transcript, and all the links that we mentioned in episode and more.

[00:11:33] Thank you so much for coming and thank you so much for watching and listening to this episode and I'll see you in the next one.

[00:11:42] Bye bye.