Wednesday, July 11, 2012

We don't need to be a millionaire to be happy

Clown with eyeglasses
Pinoy Payaso, the clown with the eyeglasses whom we met at my inaanak's (godchild's) birthday party.

I'm a huge fan of "investing on experiences" rather than acquiring depreciable stuff and I'm happier when I'm the one gifting instead of being the receiving end. But of course, gifts are welcome anytime. Heehee.

Here's an excerpt from New York Times' Don't Indulge. Be Happy:

Interestingly, and usefully, it turns out that what we do with our money plays a far more important role than how much money we make. Imagine three people each win $1 million in the lottery. Suppose one person attempts to buy every single thing he has ever wanted; one puts it all in the bank and uses the money only sparingly, for special occasions; and one gives it all to charity. At the end of the year, they all would report an additional $1 million of income. Many of us would follow the first person’s strategy, but the latter two winners are likely to get the bigger happiness bang for their buck.

We usually think of having more money as allowing us to buy more and more of the stuff we like for ourselves, from bigger houses to fancier cars to better wine to more finely pixilated televisions. But these typical spending tendencies — buying more, and buying for ourselves — are ineffective at turning money into happiness. A decade of research has demonstrated that if you insist on spending money on yourself, you should shift from buying stuff (TVs and cars) to experiences (trips and special evenings out). Our own recent research shows that in addition to buying more experiences, you’re better served in many cases by simply buying less — and buying for others.


Ibyang said...

thanks for sharing this article. it's a very insightful read.

kg said...

super agree! :)

ako hindi mayaman sa travel lahat napunta. but it's worth every cent. :)

Josiet said...

we also invest more on experience by traveling.
how are you, wits? :)

witsandnuts said...

Ibyang, I'm a fan of insightful reads. :)

KG, the benefits of traveling are priceless. And again, I'm excited for your return to Europe this time with your father. :)

Josiet, I enjoy reading your travel stories as well. I'm doing good. Super busy but slowly regaining my blogger spirit heehee. I'm sort of updated about you and other blogger pals through Google Reader, but I still need the "proper bloghopping" with commenting. I'm getting there!