What Is Broke? What Is Poverty? How To Build Confidence Through Both
Hope In The Hard Seasons
Someone asked me the other day, what is broke and what is poverty? I thought to myself that I’m sure there are millions of other people with the same question.
Not because they may be in one currently, but just because both sound like holes hard to dig out of.
You will be surprised at not only the difference, but the truth about both holes and how they can affect your mindset, life, and bank account.
And more importantly, how you can start climbing up with confidence intact.
Broke Is a Season. Poverty Is a System.
Let’s get something clear right away: broke and poverty are not the same.
Broke is a temporary financial state. It means you’re low on money or even at zero, but it's not always connected to deeper systemic issues.
People go broke after holiday spending, during a rough month, or in between paychecks. It often happens because of timing, spending habits, or unexpected changes.
Poverty, on the other hand, is long-term and rooted in lack of access. It's not just about being low on money. It's about not having consistent access to income, opportunities, education, healthcare, and generational wealth.
Poverty isn’t about one bad month. It’s about systems that make it hard to ever catch up.
You can often bounce back from being broke with strategy and support.
Poverty requires more time, resources, and often community-level change.
Why Broke Still Feels Like Failure
Even though broke is temporary, it can feel like personal failure.
It feels embarrassing to tell your friend you can’t afford to hang out.
It feels exhausting to check your account and see $12 with four days to go till payday.
And it can feel isolating when everyone online looks like they’re thriving.
But being broke doesn’t mean you’re lazy or irresponsible.
It means life is lifing. It means something didn’t line up this time.
And that’s okay.
The problem isn't the number in your bank account. The real issue is what that number starts saying to you about who you are. That’s where confidence starts to erode.
The Quiet Battle of Poverty
If broke is a short storm, poverty can feel like a long winter with no end in sight.
It’s working full time and still needing help just to get by.
It’s being afraid to get sick because a doctor visit might wreck your budget.
It’s not applying for better jobs because you don’t have the tools, education, or connections.
It’s knowing you’ve done everything right and still feeling behind.
Poverty builds a mindset where survival becomes the focus. Dreaming, planning, and hoping often get pushed to the background.
And when the world tells you it’s your fault, that weight only gets heavier.
Poverty doesn't just affect finances. It affects how you see yourself.
So Where Does Confidence Come In?
You may be broke.
You may be facing poverty.
But you are not powerless.
Confidence is not pretending you have it all together. It's deciding how you respond when things are falling apart.
It’s saying, “This is where I am, but it’s not where I’ll stay.”
Confidence through financial struggle is built like this:
By noticing small wins, like not giving in to impulse buys.
By speaking the truth, even when it feels uncomfortable.
By tracking progress, even if it’s emotional, not financial.
By learning about money and your patterns.
By changing your story, even if your situation hasn’t caught up yet.
Confidence isn't about always being sure. Sometimes it’s about showing up, again and again, even when you’re not.
Mindset Doesn’t Magically Fix It
To be real. A good mindset won’t stop rent from being due.
It won’t lower gas prices or erase debt.
But what it does do is give you back the ability to choose how you respond.
You can be broke and still choose better money habits.
You can live in poverty and still build self-worth.
You can struggle and still show up for yourself with love and respect.
Mindset is not magic.
But it is the foundation.
Without it, you may fix the outside and still feel lost inside.
One Dollar Doesn’t Decide Your Destiny
I’ve seen people grow up in poverty and still build amazing lives.
I’ve seen people lose everything, then start over and thrive.
And I’ve also seen people who have the money but still feel empty inside.
Until you believe that you’re worthy of more, you’ll keep accepting less.
That’s why confidence is not a luxury. It’s a necessity.
It starts when you decide you’re not your bank balance.
It grows when you choose to act with self-respect, even if you're still in the struggle.
Upgrade for deeper dives into the psychology of money, emotional spending, and mindset shifts that lead to real transformation. New posts every Monday and Wednesday.
It’s Okay to Struggle. It’s Not Okay to Settle.
You don’t have to be positive all the time.
You don’t have to fake it if you're feeling overwhelmed.
But what you can’t do is settle into the belief that your current struggle is your permanent identity.
Being broke is hard.
Poverty is painful.
But neither one has the final say over your future.
You are someone living through something. That’s different than being defined by it.
And if you stay focused, if you hold onto your sense of purpose, if you keep trying even when the results feel slow, you will shift your life.
Last Words
For me, both provide opportunity to change the setting.
One must hold the focus to carry their weight out of their situation and tread the waters day by day.
You don’t need to have all the answers.
You don’t have to know the exact path.
But you do need to move.
One step. One decision. One belief at a time.
Broke and poverty may feel like deep holes. But confidence is your rope.
It’s the lifeline that keeps you moving when you’d rather give up.
You are not stuck.
You are becoming.
And that journey is worth every step.
❤️ If you find this helpful, leave a heart and share to support my work!
📕 If you want to feel more peace around money, grab your copy of The Psychology of Your Spending today.
My truth: i am a furloughed government employee and single parent with very low confidence. I look at other people everyday who have supportive partners and steady incomes flowing into their respective households. I hate my situation not for the lack of money but for what it shows my child: Mommy does not have much money and she cannot depend on her job. I want my daughter to have a solid emotional foundation so she can live the adult life of her dreams but not at the expense of living in scarcity and watching her mother struggle to survive. The end of the year, Oct through December and basically until spring, are death months and typically always bring sadness and strife with them. It never once dawned on me that having what I thought was a stable a federal job would one day be the reason my family struggles to no end. This post about the difference between being broke and poverty opened my eyes to my ability to change and showed me i always have choices to make that are not based on having money.
It would be helpful if there was a donation you can make to grant your book, “The psychology of your spending” to those negatively impacted by the government shutdown. Thank you
This was an amazing article