Why Scared Money Don’t Make Money Should Be Your Financial Mantra

Do you find yourself hesitating when it comes to making financial decisions? The saying, “Scared Money Don’t Make Money,” popularized by football coach Billy Napier, could be a game-changer for your mindset.

This article unravels the essence of this mantra and how it can transform your approach toward investing and wealth creation. Let’s dive into why embracing risk is crucial in scoring financial touchdowns!

Key Takeaways

“Scared Money Don’t Make Money” is a powerful financial mantra that encourages individuals to embrace risk-taking in order to achieve significant returns and wealth creation.

Investing is crucial for building wealth, and understanding the concept of risks and rewards is fundamental. Balancing between conservative and aggressive investments based on your tolerance for risk shapes your unique investing philosophy.

Transitioning from a scarcity mindset to an abundance mindset involves focusing on what you have, practicing gratitude, and affirmations, prioritizing saving and investing, increasing income through side hustles or additional streams of revenue, changing your mindset around money, seeking financial education and taking calculated risks.

Practical ways to start investing today include: investing in yourself by gaining knowledge and skills; exploring index funds like Vanguard Index Funds for long-term growth; considering Real Estate Investment Trusts (REITs) for passive real estate investment opportunities; starting a business as an exciting way to take control of your financial future.

The Origin and Meaning of “Scared Money Don’t Make Money”

Billy Napier
Billy Napier, pictured above. Photo via Wikipedia.

The phrase “Scared Money Don’t Make Money” has its roots deep in sports and music culture, with two main figures bringing it into the limelight – Billy Napier, a well-known American football coach, and Young Jeezy, an acclaimed rapper.

Known for his daring strategies on the field, Napier breathed life to this proverb during a halftime interview while coaching Louisiana Rajun Cajuns. He exhibited this fearless attitude when he opted for a touchdown instead of playing it safe with a field goal against Ohio University—a move that helped popularize the saying.

Parallelly, in 2009, Jeezy’s song “Scared Money” echoed similar sentiments about risk-taking in order to achieve financial success. Essentially embedded within these four words is the notion that fear holds you back from making potentially fruitful financial decisions.

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Only by overcoming apprehension and taking calculated risks can one expect significant returns or advances towards wealth creation—thus affirming why ‘scared money doesn’t make money.’ Notably, practical examples of this mantra are Jeff Bezos’ mighty gamble on Amazon or Warren Buffett’s steadfast investing philosophy; their leaps past fear have led them to monumental gains.

The Importance of Investing

stock trader isnt scared

Investing is crucial for building wealth and securing a financially stable future.

Understanding Risks and Rewards

In the world of investing, grasping the concept of risks and rewards is fundamental. A basic tenet in finance, as American football coach Billy Napier quoted, “scared money don’t make money,” underlines the significance of risk-taking for potential returns.

Dabbling in investments without understanding their inherent risks is akin to venturing into a battlefield uninformed. Just like how Warren Buffett stated that risk comes from not knowing what you are doing, so study your options thoroughly before making any investment decisions.

On one end of the spectrum lies conservative investors who prefer less risky investments such as bonds or Vanguard Index Funds that offer steady albeit smaller rewards over time — think slow but sure growth propelled by compound interest.

The other extreme houses aggressive investors intrigued by high-risk-high-reward ventures like cryptocurrencies or real estate investment trusts (REITs). Balancing between these spectrums based on your tolerance and appetite for risk will shape your unique investing philosophy, steering you toward financial independence.

The Power of Compound Interest

Unleashing the force of compound interest is like tapping into a secret wealth-creation method. Picture it as an invisible financial ally working tirelessly to increase your investment returns over time.

Even Warren Buffett, one of the world’s most successful investors, attributes his immense wealth to “a lifetime of compound interest.” The marvel here lies in its simplicity; you earn interest on your initial investment and then continue to earn more interest on those earnings.

Say, for example, you invest in an index fund such as VTSAX or VFIAX with consistent performance – your money isn’t just sitting passively; instead, every dollar invested is growing exponentially due to reinvested dividends and appreciation.

Compound Interest reflects a true investor’s philosophy – making money work for them rather than working tirelessly for money – aligning perfectly with the mantra “Scared Money Don’t Make Money”.

It may start small initially, but given enough time, patience, and continued contributions – compound interest can propel your investments like no other financial tool.

Moving From Scarcity to Abundance

piggybank and money

To transition from a scarcity to an abundance mindset, focus on what you have and practice gratitude and affirmations regularly.

Abundance vs scarcity mindset

The disparities between an abundance mindset and a scarcity mindset can drastically affect your financial success and overall happiness.

Abundance MindsetScarcity Mindset
1.Sees opportunities for growth and wealth creation everywhere. This mindset involves thinking big, dreaming big, and believing in unlimited potential. Abundance mindset follows the principle of “Scared Money Don’t Make Money” and understands the importance of investing as a way to create wealth and surpass traditional means of savings.Exists in a constant state of fear about money. This mindset is characterized by holding onto money due to fear of potential losses. Those with a scarcity mindset may avoid investing, thus stopping their money from growing. Keeping all money in a bank can actually be risky due to low-interest rates and inflation rates.
2.Believes in self-improvement and self-investment. Those with an abundance mindset understand the value of investing in themselves. They focus on financial education and understand what they’re doing to mitigate risks in investing. This philosophy is aligned with the wisdom shared by Warren Buffett.Lacking in self-belief and development. Scarcity mindset involves viewing resources as being limited and thus not utilizing opportunities to improve or invest. This fear and worry can obstruct one’s financial growth and general well-being.
3.Embraces risk for growth. An abundance mindset understands that taking calculated risks, such as investing in index funds, real estate, a business, a website, and cryptocurrency, can lead to wealth generation. The belief in the power of compound interest can significantly grow one’s money over time.Avoids risk due to fear of loss. Those with a scarcity mindset often avoid investing and taking necessary risks due to fear, thus missing out on potential financial gains. They may fail to use their resources optimally, which can lead to financial stagnation.

Strategies to transition from a scarcity to an abundance mindset

To transition from a scarcity mindset to an abundance mindset, you can try the following strategies:

  1. Practice gratitude: Appreciating what you have instead of focusing on what you lack can shift your perspective and open up possibilities for abundance.
  2. Affirmations: Use positive affirmations to rewire your thinking and cultivate a mindset of abundance. Repeat statements like “I am abundant in every area of my life” or “Money flows easily and effortlessly to me.”
  3. Pay yourself first: Prioritize saving and investing by allocating a portion of your income to yourself before paying bills or expenses. This reinforces the belief that you are deserving of financial abundance.
  4. Increase income: Look for opportunities to increase your earnings through side hustles, online tutoring, virtual assisting, or creating and selling courses and e-books. By expanding your income streams, you create more opportunities for abundance.
  5. Change your mindset around money: Challenge limiting beliefs about money and wealth that may be holding you back. Recognize that money is a tool that can help you achieve your goals and live a fulfilling life. Even NASA recognizes that “you “You can’t win with scared money.”
  6. Seek financial education: Learn about personal finance, investing, and wealth creation to build confidence in managing your finances. Understand the risks associated with investments and develop a sound investing philosophy.
  7. Take calculated risks: Embrace risk-taking as part of the wealth-building process. While it’s important to assess risks thoroughly, avoiding all risks may prevent you from seizing profitable opportunities.
  8. Focus on what you have: Shift your attention from scarcity to abundance by focusing on the resources, skills, and strengths you already possess. Leverage these assets to create opportunities for growth and success.

Practical Ways to Start Investing Today

man holding stacks of cash

Start investing today by taking steps to invest in yourself, explore index funds like Vanguard Index Funds, consider real estate investment trusts (REITs), and think about starting a business or venture into the world of cryptocurrency.

Invest in Yourself

Investing in yourself is one of the most important steps you can take toward financial success. By investing in your skills, knowledge, and personal growth, you are setting yourself up for long-term prosperity.

Take the time to learn new things, gain valuable certifications or degrees, and attend workshops or seminars that will enhance your expertise in a particular field. Don’t overlook high-paying dirty jobs that require specialized expertise. Upgrade your skills and stay updated to secure lucrative opportunities. Remember Warren Buffett’s advice – risk comes from not knowing what you’re doing.

So invest in yourself and gain the knowledge necessary to make informed financial decisions that will pay off in the long run.

Index Funds

Index funds are a popular and effective investment strategy for individuals who want to minimize risk and achieve long-term financial growth. With index funds, your money is invested in a diverse portfolio of stocks that mirror the performance of a specific market index, such as the S&P 500.

This diversification helps protect your investments from volatility and reduces the impact of individual stock fluctuations. For example, Vanguard Index Funds like VTSAX and VFIAX track broad market indexes, making them reliable options for investors seeking stability and consistent returns.

By investing in index funds, you can take advantage of overall market growth while minimizing the risk associated with holding individual stocks or trying to time the market. It’s a simple yet powerful way to grow your wealth over time.

Real Estate Investment Trusts (REITs)

Real Estate Investment Trusts (REITs) provide an excellent opportunity for individuals to invest in real estate without the hassle of owning and managing properties. These investment vehicles generate income through rental earnings from the properties they own and manage.

One of the key advantages of investing in REITs is their ability to distribute a significant portion of their earnings as dividends, making them attractive for investors seeking regular income.

Moreover, REITs offer diversification by investing in different types of properties across sectors like residential, commercial, and industrial. They can be easily bought and sold on major stock exchanges, providing liquidity and accessibility to individual investors.

Starting a Business

Starting a business can be an exciting and profitable way to invest your money. It allows you to take control of your financial future and potentially reap significant rewards. Whether you have a passion for a specific industry or want to capitalize on a market opportunity, starting your own business gives you the freedom to make strategic decisions and build wealth over time.

Not only does it provide potential income streams, but it also offers tax benefits and the ability to create jobs for others in your community. With careful planning, research, and dedication, starting a business can be a smart investment that yields both personal fulfillment and financial success.


Cryptocurrency is one of the practical ways to start investing money today. With its rise in popularity and potential for significant returns, it has become an attractive investment option for many individuals.

Unlike traditional forms of currency, cryptocurrency operates on a decentralized network using blockchain technology, which ensures secure transactions and transparency. Bitcoin, Ethereum, and Ripple are some of the most well-known cryptocurrencies available for investment.

However, it’s essential to note that investing in cryptocurrency carries risks due to its volatile nature. It requires thorough research and staying updated with market trends before making any investment decisions.

Frequently Asked Questions About the Mantra “Scared Money Don’t Make Money”

What does “scared money don’t make money” mean?

“Scared money don’t make money” is a popular financial mantra that signifies the importance of taking calculated risks in order to achieve financial success. It means that being overly cautious or afraid to invest or take chances can prevent one from earning profits or achieving financial growth.

How can embracing this mantra benefit my finances?

Embracing the mindset of “scared money don’t make money” can help you overcome fear and hesitation when it comes to making financial decisions. By being willing to take calculated risks, invest wisely, and seize opportunities, you increase your potential for earning greater returns and achieving long-term financial goals.

Are there any precautions I should consider before taking risks with my money?

While embracing the idea of taking risks is important, it’s crucial to approach them thoughtfully and responsibly. Before investing or engaging in any high-risk ventures, it’s advisable to conduct thorough research, seek professional advice if necessary, diversify your investments, and only risk what you can afford to lose without causing significant harm to your overall financial well-being.

 Can this mantra be applied outside of investment scenarios?

Absolutely! The concept behind “scared money don’t make money” extends beyond just investment decisions. It encourages individuals not to let fear hold them back in various aspects of life where opportunities for growth exist – whether it’s starting a business venture, pursuing career advancements, or even personal development endeavors. Taking measured risks and stepping out of your comfort zone often leads to valuable experiences and increased rewards both personally and financially.


In conclusion, adopting the mantra “Scared Money Don’t Make Money” can be a game-changer for your financial journey. By embracing risk-taking, learning about investing, and shifting from a scarcity to an abundance mindset, you can start making strategic decisions that lead to wealth creation.

Whether it’s through index funds, real estate investment trusts (REITs), starting a business, or exploring cryptocurrencies, taking calculated risks is essential in building your financial future.

So don’t let fear hold you back; instead, empower yourself with knowledge and start making fearless money moves today.



Power & Money

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Chad is the co-founder of Unfinished Man, a leading men's lifestyle site. He provides straightforward advice on fashion, tech, and relationships based on his own experiences and product tests. Chad's relaxed flair makes him the site's accessible expert for savvy young professionals seeking trustworthy recommendations on living well.

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