Financial envy is even more of a thing now than it was back in 1913 when cartoonist Arthur R. “Pop” Momand debuted the comic strip “Keeping Up with the Joneses,” which centered on the misadventures of Aloysius P. McGinnis and his family, who were always trying to keep up with their never-seen neighbors, the Joneses. [1]
Today, we not only have television shows displaying lifestyles of the rich and famous, we’re punched with images and status updates in social media, too. [2]
We not only see the “Joneses” on television, but we are likely connected on social media to colleagues and friends who post frequent photos and statuses about their new luxury car, boat, or 3-carat diamond ring. [3]
Though we may think the grass is greener at the Joneses, we have no way of knowing whether that snapshot is a true picture of “the good life,” or a depiction of living beyond one’s means. [4]
One 2016 study of household debt in America shows the average household has debt balances totaling almost $17,000, and the average household with any kind of debt, including mortgages, owes nearly $135,000. [5]
Most people pursue happiness and there are economists who assert that happiness is the best indicator of a society’s health. In that pursuit, some folks assume if we spend money on an object, we will be happier longer because that item lasts longer than say, a one-off experience like a vacation or a concert. According to recent research, though, that assumption might be incorrect. [6]
That same study showed buying things makes us happy, but only briefly. Its continual presence makes it fade into our surroundings. The study also showed that among those surveyed, people’s satisfaction with buying things decreased, while those who spent money on experiences showed increased satisfaction over time. That is because experiences tend to become imbedded in our identity. [7]
There are at least two tactics we can employ to enhance and prolong our enjoyment of spending our lifestyle expenses: spending on experiences, not things, and savoring those experiences.
The good news is that there are techniques you can develop to savor your experiences and amplify the happiness you derive from them. Researchers have identified four common strategies for relishing. You can use one or combine tactics. [8]
These ideas help prolong your experience and make it bigger than life, which ultimately makes you feel as though you have gotten the most out of your investment, whether you spent $300, $3,000 or $30,000 on your experience.
If you have any questions or would like to discuss any financial topics, we are happy to talk.
Footnotes, disclosures, and sources:
Investment Advisory Services are offered through Brookstone Capital Management, LLC, an SEC Registered Investment Advisor. KC Financial Advisors and Brookstone Capital Management LLC are separate companies. These views should not be construed as investment advice. Neither Brookstone Capital Management LLC nor any named representative gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. Please consult your financial advisor for further information.
[1] http://money.usnews.com/money/personal-finance/articles/2013/09/26/how-to-combat-financial-envy [Accessed April 13, 2017]
[2] http://www.therichest.com/expensive-lifestyle/entertainment/10-tv-shows-about-rich-people-problems/ [Accessed April 5, 2017]
[3] http://money.usnews.com/money/personal-finance/articles/2013/09/26/how-to-combat-financial-envy [Accessed April 8, 2017]
[4] http://money.usnews.com/money/blogs/my-money/2015/04/10/why-you-should-never-try-to-keep-up-with-the-joneses [Accessed April 13, 2017]
[5] https://www.nerdwallet.com/blog/average-credit-card-debt-household/ [Accessed April 8, 2017]
[6] https://www.fastcompany.com/3043858/world-changing-ideas/the-science-of-why-you-should-spend-your-money-on-experiences-not-thing [Accessed April 27, 2017]
[7] https://www.fastcompany.com/3043858/world-changing-ideas/the-science-of-why-you-should-spend-your-money-on-experiences-not-thing [Accessed April 27, 2017]
[8] https://www.learnvest.com/2012/02/savoring-the-key-to-stretching-your-dollar/ [Accessed April 20, 2017]
[9] https://www.learnvest.com/2012/02/savoring-the-key-to-stretching-your-dollar/ [Accessed April 20, 2017]
[10] https://www.learnvest.com/2012/02/savoring-the-key-to-stretching-your-dollar/ [Accessed April 20, 2017]
[11] https://www.learnvest.com/2012/02/savoring-the-key-to-stretching-your-dollar/ [Accessed April 20, 2017]
[1] http://money.usnews.com/money/personal-finance/articles/2013/09/26/how-to-combat-financial-envy [Accessed April 13, 2017]
[1] http://www.therichest.com/expensive-lifestyle/entertainment/10-tv-shows-about-rich-people-problems/ [Accessed April 5, 2017]
[1] http://money.usnews.com/money/personal-finance/articles/2013/09/26/how-to-combat-financial-envy [Accessed April 8, 2017]
[1] http://money.usnews.com/money/blogs/my-money/2015/04/10/why-you-should-never-try-to-keep-up-with-the-joneses [Accessed April 13, 2017]
[1] https://www.nerdwallet.com/blog/average-credit-card-debt-household/ [Accessed April 8, 2017]
[1] https://www.fastcompany.com/3043858/world-changing-ideas/the-science-of-why-you-should-spend-your-money-on-experiences-not-thing [Accessed April 27, 2017]
[1] https://www.fastcompany.com/3043858/world-changing-ideas/the-science-of-why-you-should-spend-your-money-on-experiences-not-thing [Accessed April 27, 2017]
[1] https://www.learnvest.com/2012/02/savoring-the-key-to-stretching-your-dollar/ [Accessed April 20, 2017]
[1] https://www.learnvest.com/2012/02/savoring-the-key-to-stretching-your-dollar/ [Accessed April 20, 2017]
[1] https://www.learnvest.com/2012/02/savoring-the-key-to-stretching-your-dollar/ [Accessed April 20, 2017]
[1] https://www.learnvest.com/2012/02/savoring-the-key-to-stretching-your-dollar/ [Accessed April 20, 2017]
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CONTACT US
OUR LOCATION
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Building 27, Suite 190
Overland Park, KS 66210
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