As explained in Morgan Housel’s book, “The Psychology of Money,” the most important word in building personal wealth is having “enough.” Being content with your standard of living allows you to focus on how you want to spend your time, rather than chasing more dollars. Having “enough” doesn’t mean you don’t have aspirations. It creates space for you to recognize what’s truly important to you, and to use your funds to create a meaningful life.
Try Enjoying Your Wealth, Rather Than Trying To Maximize It
Imagine watching a football game and each time your team gets close to the end zone, the goal line moves another ten yards. Most individuals have fallen into the habit of moving their financial goal-posts to the point where they never get to enjoy life. Irony strikes when they already have the funds to fulfill all of their goals but continue to chase the almighty dollar. Instead of fixating on a number, ask yourself, what’s truly important to me right now?
Play Your Own Game
Social comparison, or “keeping up with the Jones’s,” is a phenomenon we observe in all walks of life. The media reminds us that there is always a nicer car, bigger house, or a larger income to aspire to. Remember that for each step up the lifestyle ladder, there is a price to pay. The desire for too much can lead to regret, missing opportunities to spend time enjoying your loved ones. Focusing on your personal goals and aspirations may provide a richer experience than chasing after what someone else has.
Time Is Your Most Valuable Asset
Psychology tells us that people prioritize autonomy, the ability to control their time, over money. Only when you have mastered the word “enough,” can you really begin to enjoy your most valuable asset – your time.