How Does Trauma Impact Decision-Making and Risk-Taking? By Your Trauma Therapist

Trauma impacts decision making

When you have trauma, people often react in one of two ways: they become super risk-avoidant, seeing danger around every corner, or they swing the other way and live life taking risk after risk, potential consequences be damned.

Let’s discuss the cautious person’s experience first. Imagine you’re at a party, and instead of enjoying the treats, your brain is scanning the room for exits, suspicious of every unfamiliar face. That’s trauma’s handiwork; your mind’s alarm system is stuck on high alert, always ready to bolt, even when there’s no actual danger. Decisions? Oh, they’re not just about what you want, but about what might go wrong. Trauma turns every choice into a potential landmine.

Let’s get specific. When you’ve been through something tough, your brain rewires itself for survival mode. You end up with what psychologists call an “attentional bias” toward threats. You notice danger everywhere, even in boardroom meetings and brunch menus. That constant vigilance means you might:

  • Avoid planning for the future (because, hey, what’s the point if disaster always strikes?).

  • Struggle with impulse control (hello, late-night online shopping sprees).

  • Overweight every bad experience you’ve ever had, letting old fears steer the ship instead of today’s facts.

Now, let’s talk about daily life. Trauma doesn’t just haunt your dreams; it shows up in your bank account, your relationships, and your career. Here’s how:

Trauma causing reckless spending

1. Avoiding Budgeting or Overspending

Ever find yourself avoiding your budget like it’s a bad ex? Maybe opening a spreadsheet makes your skin crawl because you’re terrified of poverty or repeating an old struggle. Or maybe you swing the other way, splurging on things you can’t afford because you want to prove you’re worth it, to yourself or to others. It’s not just money, it’s about soothing those deep, old wounds.

Example: You skip checking your bank balance for months, then panic when your card declines at brunch. Or you buy designer shoes you don’t need, convincing yourself you deserve them after everything you’ve survived.

2. Pushing People Away or People-Pleasing

Trauma can make you believe everyone’s going to leave, so you push people away first (better to be the dumper than the dumpee, right?). Or maybe you do the opposite—bend over backward to keep people happy, avoiding conflict at all costs because you can’t handle another loss.

Example: You cancel on friends at the last minute, convinced they’ll betray you anyway. Or you agree to every favor, even when you’re exhausted, just to keep the peace.

3. Stagnation or Overworking

Sometimes, the fear of failure is so paralyzing that you can’t move forward. You stay in the same job, same routine, never risking a thing. Other times, you go into overdrive, working yourself to the bone to prove you’re competent, lovable, or just okay.

Example: You let promotions pass you by because you’re scared to fail in a new role. Or you’re the last one in the office every night, terrified of being seen as lazy or incapable.

Here’s the twist: What seems risky to others, like quitting a stable job, might feel like the only safe move to you, because anything that offers a sense of control is better than feeling trapped by your history.

Whether you’re the risk-taker, always chasing the next thrill, or the overly cautious one, sticking to the sidelines, trauma can end up running the show. But here’s the truth: no matter where you fall on that spectrum, you don’t have to let old pain dictate your present or future. Southern Pine Counseling gets it. They know exactly how to help you process what you’ve been through, so you can finally stop living on autopilot, reacting to fear, or running from it, and start living with intention.

Processing trauma isn’t about erasing your story; it’s about finding your power to choose how the next chapters unfold. With the right support, you can move from just surviving to truly thriving. Imagine waking up with a sense of peace, feeling safe in your own skin, and building real connections with the people you care about instead of pushing them away or clinging on for dear life.

Southern Pine Counseling is ready to help you break free from those old cycles. You deserve to live with joy, not just in spite of your past, but because you finally made space for something better. Let us help you find your way to a life where peace, connection, and happiness are your new normal. Contact us today!

breaking free from trauma
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Can DBT therapy support trauma recovery and prepare you for EMDR? By Your Trauma Therapist