Anatomy of the Financially Savvy Brain is a 6 week series that will run every Thursday until April 7/11. The entire series can be found under Money Tips.

Ever wonder what is actually happening inside our brains as we plan our money management strategies, bravely stave off impulse spending , and work towards that end goal of financial freedom? This series will answer those very questions by looking at the seven main processes of the brain and how they effect our money management.

Last week we looked at the fourth process, the limbic system .  This week we are going to look at the Cerebellum.

The cerebellum is the part of your brain that is responsible for coordinating your motor movements, balance, and equilibrium. It sits at the bottom of the skull just above the brain stem.

These motor areas of our brain, which include the primary motor cortex and premotor, are critical in the planning and executing of movements. Using this part of the brain actually induces angiogenesis, which is the process of growing new blood vessels. The more you use it, the more healthy new blood vessels you create.

Although the cerebellum may not play a role in decision making about what to do with our finances, it still is involved. Here’s how:

Every time you write a cheque you engage your cerebellum.

Every time you log your expenses you engage your cerebellum.

Every time you go to work to make a paycheck, you engage your cerebellum.

You see, all of the other brain processes rely on the cerebellum because it puts them into action. Your thoughts and emotions are only as good as how you act on them. Our actions, those motor movements, are controlled by our cerebellum.

So, next time you are going to sit down and write our your budget for the month, pause and take a moment to acknowledge your cerebellum.

Well, there you have it, the breakdown of the fifth brain process that plays a role in your financial success.  Stay tuned next week where I discuss the sixth and final process, the Occipital Lobe.