Thoughts on a finance article
http://finance.yahoo.com/career-work/article/110876/why-the-rich-dont-feel-rich
I found this article very interesting for a few reasons. Not so much because they pick this guy apart for not recognizing how rich he is, but for some of the other points made.
1. The brouhaha is ripe with psychological lessons. First, Henderson is a classic example of the hedonic treadmill at work. First articulated by psychologists in the late 1960s, the hedonic treadmill speaks to the phenomenon of human adaptation. We buy something new, we're thrilled with it, then we get used to it, then we want something bigger and better and we're unhappy when we don't get it (or, in Henderson's case, we end up feeling "poor.")
I certainly see this with Dylan. It's the main reason I don't buy him a lot of toys. He's far more interests in the novelty than actually having more stuff. It just makes more sense to bring him to a friend's house and let him play with "new" toys there... And return the favor for other friends.
I also use this for myself quite a lot. It's easy for me to confuse the idea of "want" and "need.". A great example is my new iPad. I really didn't need it even though I really wanted one for the last year or so they've been out. I never would have bought it for myself, but was really happy that Matt was willing to spoil me a little on my birthday. He told me when he gave it to me "I knew you'd never buy it for yourself.". But usually I'll have this conversation with myself when considering a new purchase -do I really need it or do I have something else at home already that fulfills this same function. -is the money I'm going to spend on this worthwhile? -can I wait a little longer before making this purchase? By the time I think through all of that I usually decide I can skip it, at least for now. And then the next time I get the urge to buy it I repeat these questions... Which more often tan not results in another postponement. It's fairly effective.
2. He is time affluent. The minimal commute, the nanny and the lawn service all buy him more time to do what he wants outside the workplace. Numerous studies have shown people who are time affluent are happier than those who are materially affluent.
I am sure I wasn't the first one to say it, but I certainly have been saying for a long time "time is the new money.". I didn't realize until now that this only applies if you have enough disposable income to pay for things that you probably could do on your own.
For a few years we had a cleaning service. It was the greatest thing ever. It really was. I love having a clean house, but it is so hard to find the time to have a clean house all at once. I can have a clean kitchen, or a clean basement, but everything perfectly cleaned all in one day, its just not feasible for me, i'd have to clean from sun up to sun down. And then I'd be REALLY frustrated when the next day things would get messy again. However, now that I'm a stay at home mom I really had a hard time justifying the expense. I mean aren't my 2 priorities as a SAHM to teak care of Dylan and the house. Surely that must mean that I should be capable of staying on top of chores. But it's not easy. And I have to get used to the house only being clean in phases again. Plus I feel like all my cleaning time goes to the "basics" like vacuuming, dusting, laundry, bathrooms, that I never have ti e for the nitty gritty stuff like cleaning the baseboards, the inside of the oven, etc. I keep considering getting a new cleaning service, but then I go back to the questions posed above and decide that, no, I don't really NEED it, as much as I want it. Maybe when I go back to work that will change.
3. This is the 2nd article I've read in 2 days that refers to Cziskzentmilhalyi. I read a few of his books in college and found them really interesting, maybe one day I'll go back and reread them.
4. If anything, I appreciated Henderson's honesty. It inspired me to revisit my definition of "rich," and come away with a deeper appreciation for my family, friends, neighbors, good health and the wildly underappreciated wealth of living in a free nation.
I completely agree. It's so easy to constantly look up at what you don't have and feel like you are lacking. I'm really trying instead to look at what I do have and really how truly full my life is.
I found this article very interesting for a few reasons. Not so much because they pick this guy apart for not recognizing how rich he is, but for some of the other points made.
1. The brouhaha is ripe with psychological lessons. First, Henderson is a classic example of the hedonic treadmill at work. First articulated by psychologists in the late 1960s, the hedonic treadmill speaks to the phenomenon of human adaptation. We buy something new, we're thrilled with it, then we get used to it, then we want something bigger and better and we're unhappy when we don't get it (or, in Henderson's case, we end up feeling "poor.")
I certainly see this with Dylan. It's the main reason I don't buy him a lot of toys. He's far more interests in the novelty than actually having more stuff. It just makes more sense to bring him to a friend's house and let him play with "new" toys there... And return the favor for other friends.
I also use this for myself quite a lot. It's easy for me to confuse the idea of "want" and "need.". A great example is my new iPad. I really didn't need it even though I really wanted one for the last year or so they've been out. I never would have bought it for myself, but was really happy that Matt was willing to spoil me a little on my birthday. He told me when he gave it to me "I knew you'd never buy it for yourself.". But usually I'll have this conversation with myself when considering a new purchase -do I really need it or do I have something else at home already that fulfills this same function. -is the money I'm going to spend on this worthwhile? -can I wait a little longer before making this purchase? By the time I think through all of that I usually decide I can skip it, at least for now. And then the next time I get the urge to buy it I repeat these questions... Which more often tan not results in another postponement. It's fairly effective.
2. He is time affluent. The minimal commute, the nanny and the lawn service all buy him more time to do what he wants outside the workplace. Numerous studies have shown people who are time affluent are happier than those who are materially affluent.
I am sure I wasn't the first one to say it, but I certainly have been saying for a long time "time is the new money.". I didn't realize until now that this only applies if you have enough disposable income to pay for things that you probably could do on your own.
For a few years we had a cleaning service. It was the greatest thing ever. It really was. I love having a clean house, but it is so hard to find the time to have a clean house all at once. I can have a clean kitchen, or a clean basement, but everything perfectly cleaned all in one day, its just not feasible for me, i'd have to clean from sun up to sun down. And then I'd be REALLY frustrated when the next day things would get messy again. However, now that I'm a stay at home mom I really had a hard time justifying the expense. I mean aren't my 2 priorities as a SAHM to teak care of Dylan and the house. Surely that must mean that I should be capable of staying on top of chores. But it's not easy. And I have to get used to the house only being clean in phases again. Plus I feel like all my cleaning time goes to the "basics" like vacuuming, dusting, laundry, bathrooms, that I never have ti e for the nitty gritty stuff like cleaning the baseboards, the inside of the oven, etc. I keep considering getting a new cleaning service, but then I go back to the questions posed above and decide that, no, I don't really NEED it, as much as I want it. Maybe when I go back to work that will change.
3. This is the 2nd article I've read in 2 days that refers to Cziskzentmilhalyi. I read a few of his books in college and found them really interesting, maybe one day I'll go back and reread them.
4. If anything, I appreciated Henderson's honesty. It inspired me to revisit my definition of "rich," and come away with a deeper appreciation for my family, friends, neighbors, good health and the wildly underappreciated wealth of living in a free nation.
I completely agree. It's so easy to constantly look up at what you don't have and feel like you are lacking. I'm really trying instead to look at what I do have and really how truly full my life is.
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