Showing posts with label money & happiness. Show all posts
Showing posts with label money & happiness. Show all posts

April 26, 2021

Financial Wisdom


Money quotes offering wisdom:

“Exiting the market after a decline – and thus failing to participate in a cyclical rebound – is truly the cardinal sin in investing.” Howard Marks

“Time in the market beats timing the market.”

People first, then money, then things. – Suze Orman

“Annual income twenty pounds, annual expenditure nineteen and six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery”
― Charles Dickens, David Copperfield

“Enough” and “Stay the course.”  Jack Bogle

“Whether we’re talking about socks or stocks, I like buying quality merchandise when it is marked down.” Warren Buffet

February 1, 2020

Time to get real about New Year's resolutions

Behavioral economist Dan Ariely writes in The Wall Street Journal (2/1/20):
"To get a resolution to stick, we need to make the desired behavior automatic. For instance, if you want to exercise more, build a very simple habit: Every Tuesday at 5 p.m., go to a group exercise class after work. Ideally it will be something you find enjoyable and rewarding, so that the habit is more likely to stick. The more you repeat a behavior in the same context at the same time, the more automatic it will become and the less you’ll have to rely on willpower."

"For a good introduction to the research on this topic, I recommend Wendy Wood’s recent book, Good Habits, Bad Habits: The Science of Making Positive Changes that Stick.


Good Habits, Bad Habits: The Science of Making Positive Changes That Stick

Good Habits, Bad Habits: The Science of Making Positive Changes That Stick

 
A landmark book about how we form habits, and what we can do with this knowledge to make positive change

"We spend a shocking 43 percent of our day doing things without thinking about them. That means that almost half of our actions aren't conscious choices but the result of our non-conscious mind nudging our body to act along learned behaviors. How we respond to the people around us; the way we conduct ourselves in a meeting; what we buy; when and how we exercise, eat, and drink--a truly remarkable number of things we do every day, regardless of their complexity, operate outside of our awareness. We do them automatically. We do them by habit. And yet, whenever we want to change something about ourselves, we rely on willpower. We keep turning to our conscious selves, hoping that our determination and intention will be enough to effect positive change. And that is why almost all of us fail. But what if you could harness the extraordinary power of your unconscious mind, which already determines so much of what you do, to truly reach your goals?"

"Wendy Wood draws on three decades of original research to explain the fascinating science of how we form habits, and offers the key to unlocking our habitual mind in order to make the changes we seek. A potent mix of neuroscience, case studies, and experiments conducted in her lab, Good Habits, Bad Habits is a comprehensive, accessible, and above all deeply practical book that will change the way you think about almost every aspect of your life. By explaining how our brains are wired to respond to rewards, receive cues from our surroundings, and shut down when faced with too much friction, Wood skillfully dissects habit formation, demonstrating how we can take advantage of this knowledge to form better habits" Source:
https://www.goodreads.com/book/show/43565368-good-habits-bad-habits

February 9, 2019

Want to buy happiness?

Ross Menke's five strategies:
1. Help others,
2. don't let special treats become routine,
3. favor experiences over possessions,
4. hire others to do chores you hate, and
5. pay now but consume later.
Read Jonathan Clements' advice at https://humbledollar.com/2019/01/spending-happily/

January 10, 2018

Don’t make New Year’s resolutions this year. Redesign your life instead


Designing Your Life: How to Build a Well-Lived, Joyful Life

A repeat suggestion from last year: "In their new book, “Designing Your Life: How to Build a Well-Lived, Joyful Life,” Stanford professors, Bill Burnett and Dave Evans, provide tools for how we can initiate meaningful changes when we’re feeling stuck without overhauling our whole lives."
https://www.washingtonpost.com/news/inspired-life/wp/2016/12/30/dont-make-new-years-resolutions-this-year-redesign-your-life-instead-says-stanford-professor/?utm_term=.451e053518cb

October 28, 2016

Parents Pass (Bad) Money Habits to Kids

"Parents signal their attitudes about money, either through purposeful and explicit messages or in unconscious ways.  Meanwhile, children learn the behaviors that take them into adulthood by observing what parents do.  These observations can override financial knowledge in shaping behavior." The Squared Away Blog features a research summary by Dr. Sonya Britt, a certified financial planner and associate professor at Kansas State University, who explains some of the parent-child dynamics that affect money management behaviors. Check it out to see how you are affecting your children or were/are affected by your parents at: http://squaredawayblog.bc.edu/squared-away/parents-pass-bad-money-habits-to-kids/

January 8, 2015

3 Money Myths

Start the new year by dispelling 3 money myths by Susan Bross:
Myth #1: Money Is About Wealth
Myth #2: Money Is About What We Can Spend
Myth #3: There Isn't Enough Money for Everyone
Sign up for Susan's monthly Money Freedom Newsletter on her website: http://brossmoney.com/

January 7, 2015

How Spending can Enhance Happiness

The new year is a good time to reflect on our spending practices. In their book Happy Money: The Science of Happier Spending by researchers Elizabeth Dunn and Michael Norton reveal that how you spend your money may be more important to your happiness than how much you can spend. According to the author, you may be able to boost your feeling of well-being by spending money on others, paying for experiences, or using your money to free up time. According to reviewer and financial adviser Michael Kitces, the research “suggests that sometimes, the best things we can do to improve our happiness may lie in not trying to maximize our wealth, but instead focusing on experiential purchases (rather than ‘stuff’ that appreciates in value), spending money to buy time, and even spending money to support family and relatives instead of ourselves (which may not be cost-effective, but can be remarkably happiness-effective!).” Five ways in which money can “buy” happiness:

- Buy Experiences, Not Stuff
- Make It a Treat
- Buy Time
- Buy Now, Enjoy Later (remember Lay-a-way?)

December 24, 2014

Increase your Happiness by Giving



Feel Better by Giving.
Research shows that happiness increases when we spend money on others rather than ourselves. A great way to give this holiday season is by helping mothers stay in school and finish their college degree with the USU Center for Women & Gender's Helping Hands fund: http://womenandgender.usu.edu/helping-hands.html It's never too late to donate!

Can Money Buy Happiness?

Research shows that people in rich countries like the US are happier than people in poor countries who are struggling to survive. No surprise. In the U.S. and other wealthy countries happiness increases with income up to about $75,000 and then levels off. Basically, once we are financially secure more money doesn't result in more happiness. What really matters is not how much you earn but how you spend.
"life experiences give us more lasting pleasure than material things" Research by Dr. Ryan Howell reveals: “People think that experiences are only going to provide temporary happiness, but they actually provide both more happiness and more lasting value.” "And yet we still keep on buying material things, he says, because they’re tangible and we think we can keep on using them," according to Wall Street Journal writer Andrew Balckman. Cornell University research psychologist Thomas Gilovich has concluded:  "Experiences... tend to meet more of our underlying psychological needs. They’re often shared with other people, giving us a greater sense of connection, and they form a bigger part of our sense of identity." “Hedonic adaptation” makes it so hard to buy happiness with possessions. "The new dress or the fancy car provides a brief thrill, but we soon come to take it for granted." we tend to compare our possession but not our experiences with other people. “Keeping up with the Joneses is much more prominent for material things than for experiential things,” Gilovich says. “Imagine you’ve just bought a new computer that you really like, and I show up and say I’ve paid the same amount for one with a brighter monitor and faster processor. How much would that bug you?” Conclusion: spend time with family and friends; avoid the (online or bricks & mortar) mall and reduce your impact on the landfill. Happy Holidays!
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