The Importance of Spending Money on Happiness:  Splurge on Experience

No doubt we’ve all encountered people who exemplify this rhetoric before. They’re the people who cut coupons, buy food for the entire year, and pinch every penny possible. They also usually shame you for not doing the same: “Pfft. You know that burger is going to cost you $10,000 in 20 years right?”

After being bombarded by these statements, you might think to yourself “ah crap, well I guess the only choice I have is between choosing happiness now vs happiness later.” And I’m here to say that spending money on happiness is JUST as important as saving for your future.

In this post I’ll cover the impact of saving money (vs spending it) and my own experience investing in happiness. Hopefully by the end, you’ll feel more comfortable not tucking away every penny for the future. Let’s jump right in.

What’s the Point of Saving Money?

Now, before I start this section, I want to clarify that when I say “what’s the point of saving money?” I’m not saying “saving money is pointless.” Far from it. I’m literally posing the question to you: “What is the point of saving money?” Or more specifically “what does saving money mean to you?”

The Impact of  Pinching Pennie

Let’s say I make 75k a year from my job and have no other income streams. My goal is to ultimately retire early and I think that I can do that once I hit $2 million in net worth. So I aggressively live below my means and save a ton of money. 75k a year is around 6k a month, so let’s say I save around $2500 of that and toss it into an index fund.

What Happens When You Invest in Happiness

BUT, let’s say I also LOVE to eat out. All this time, because I’m listening to those financial gurus, I resist the urge to eat out and watch as my friends eat out once a week at my favourite restaurant. “NO, Jeff, you can’t let yourself eat out because your goals are so much BIGGER than your friends. You’re going to be financially free!”

Swipe Up to check out more ways to save $1000 a month

Swipe Up to check out more ways to save $1000 a month