{"id":11846,"date":"2020-05-04T09:00:34","date_gmt":"2020-05-04T07:00:34","guid":{"rendered":"https:\/\/my-life.lu\/?p=11846\/"},"modified":"2025-04-29T13:34:34","modified_gmt":"2025-04-29T11:34:34","slug":"do-you-spend-to-live-or-live-to-spend-51041","status":"publish","type":"post","link":"https:\/\/my-life.lu\/en\/do-you-spend-to-live-or-live-to-spend-51041\/","title":{"rendered":"Do you spend to live, or live to spend?"},"content":{"rendered":"<p class=\"entete\">Most people will agree that money shouldn\u2019t dictate our life choices. Rather, the life we want should be what dictates our financial decisions. The trick is to have a clear idea of what kind of life that is before recruiting an expert to assist with money management.<\/p>\n<p>In another article, we ask whether you have <a href=\"https:\/\/my-life.lu\/en\/do-you-have-happy-money-51032\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"text-decoration: underline;\"><strong>\u201chappy money\u201d<\/strong><\/span><\/a> to help identify your emotional relationship with spending. If the answer is no, it\u2019s time for you to think about whether there may be a disconnect between the life you want and how you use your financial resources. Your banker is there to point you in the right direction, but they certainly can\u2019t take your place or guess what your deepest aspirations might be. They are there to facilitate the day-to-day management of your finances and help bring your plans to fruition, so that you can approach life\u2019s milestones with optimism. But to do that, you need to have at least some idea of the value you attach to money and the path you want your life to take. It is particularly important for your banker to know what your wants and needs are when working out an investment strategy for you.<\/p>\n<p>Let\u2019s take a closer look at what we mean by \u201cthe life you want\u201d. Can you articulate it for yourself? And is what comes to mind really what you want, or do you find that societal pressure has you following someone else\u2019s path?<\/p>\n<h2 id=\"h2_0\" >My life, or yours?<\/h2>\n<p>Imagine that most of your friends have taken out 20-year mortgages to afford big family homes. However, they\u2019ve had to accept living far away from the city centre, and some even have significantly longer daily commutes. You have a nice flat in town, but you\u2019re still feeling an urge to follow suit. Especially because your friends can\u2019t stop gushing about all the space, peace and quiet they now have.<\/p>\n<p>So what should you do? If it\u2019s not something you really want deep down, you can bet that investing your money in an expensive piece of property will end up causing you more heartache than anything else. If you like the city life, hate spending time in the car (or on the train), and use weekends to venture far from home, why bother investing in something at odds with that? Why move and make a financial commitment that it could take decades to repay? Your money would be better placed in an investment that could one day finance your children\u2019s studies abroad, or a trip around the world with your partner. In this example, owning property is just as unlikely to deliver the life you want as holding the money forever.<\/p>\n<blockquote><p>Recent economic studies have shown that people who value spending time with their loved ones and having great experiences are happier than those who simply pursue the goal of amassing more wealth.<\/p><\/blockquote>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-11841\" src=\"https:\/\/my-life.lu\/wp-content\/uploads\/2020\/04\/Article_51041_2.jpg\" alt=\"\" width=\"863\" height=\"770\" srcset=\"https:\/\/my-life.lu\/wp-content\/uploads\/2020\/04\/Article_51041_2.jpg 1202w, https:\/\/my-life.lu\/wp-content\/uploads\/2020\/04\/Article_51041_2-300x268.jpg 300w, https:\/\/my-life.lu\/wp-content\/uploads\/2020\/04\/Article_51041_2-768x685.jpg 768w, https:\/\/my-life.lu\/wp-content\/uploads\/2020\/04\/Article_51041_2-1024x913.jpg 1024w, https:\/\/my-life.lu\/wp-content\/uploads\/2020\/04\/Article_51041_2-1080x963.jpg 1080w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/p>\n<p>Generally speaking, recent economic studies have shown that people who value spending time with their loved ones and having great experiences are happier than those who simply pursue the goal of amassing more wealth.<\/p>\n<h2 id=\"h2_1\" >What can money buy, anyway?<\/h2>\n<p>What do we learn from this? It could be that spending all those extra hours at the office just to get promoted and earn a little more won\u2019t improve your life as much as you think. It could be that buying a house in the suburbs will be a bigger source of frustration than the little flat in the centre you have now. Of course, living in a big house in the countryside could be an end in itself, and one that can easily make\u00a0up for long daily commutes. But if it\u2019s not part of the life you want, spending two or more hours a day in the car or on the train could make you chronically unhappy.<\/p>\n<blockquote><p>To find out what your financial management needs are, take the time to talk to your family about your priorities and the life plans you\u2019re truly excited about.<\/p><\/blockquote>\n<p>To find out what your financial management needs are, take the time to talk to your family about your priorities and the life plans you\u2019re truly excited about. Even <a href=\"https:\/\/my-life.lu\/en\/taking-a-grown-up-gap-year-56026\/\" target=\"_blank\" rel=\"noopener\"><span style=\"text-decoration: underline;\"><strong>a sabbatical from work<\/strong><\/span><\/a> to spend time with your children can be successfully financed and paid\u00a0off. The key is to take the time to plan it in advance with your banker, who will know what to advise to help you put the necessary savings aside.<\/p>\n<p>All this suggests that while money helps some people achieve greater stability, for others it\u2019s a way to enjoy more freedom, or to find more purpose in their professional lives. What really matters is knowing what path you need to follow to have \u201chappy money\u201d, even if it means having less than you do now.<\/p>\n<h2 id=\"h2_2\" >In the eye of the beholder<\/h2>\n<p>As a general rule, money makes people happier when it\u2019s spent on experiences or to have more time with loved ones. More recent studies on the economics of happiness go even further, showing that money is truly well spent and makes people happier when used in accordance with the individual\u2019s personality, values and tastes.<\/p>\n<blockquote><p>Money is truly well spent and makes people happier when used in accordance with the individual\u2019s personality, values and tastes.<\/p><\/blockquote>\n<p>This means that someone who places a\u00a0lot of importance on social relationships will probably take great pleasure in spending more to go out with friends more often. This will create priceless memories, and even though it\u2019s high, the person\u2019s dining\u00a0out budget won\u2019t upset them. But for someone else\u00a0\u2013 say, an introvert who loves rare books\u00a0\u2013 a happiness-inducing financial experience could be slowly building their collection of valuable first editions, and eventually displaying them in a real home library. For a homebody looking to buy a place to settle in for good, the ideal way to build savings and invest will be totally different from a person whose dream is to experience other cultures by changing countries every few years.<\/p>\n<blockquote><p>All this simply goes to show that money ill\u00a0spent can never buy happiness, no matter how much of it you have.<\/p><\/blockquote>\n<h2 id=\"h2_3\" >What to remember<\/h2>\n<p>All this simply goes to show that money ill\u00a0spent can never buy happiness, no matter how much of it you have. It can even feed feelings of dissatisfaction and make you believe you\u2019ll never be content with what you\u2019ve got. This is the start of a vicious circle of more, more, more&#8230; one that only leads to more problems!<\/p>\n<p>By contrast, money spent in accordance with the life you really want can go a\u00a0long way to supporting your and your family\u2019s happiness. As long as you have enough to cover your basic needs, this will be true no matter how wealthy you are. This also means that there are as many ways to have a happy relationship with money as there are forms of happiness itself. The most important thing is to be honest with yourself about your deepest desires, and make sure you\u2019re not chasing somebody else\u2019s dream.<\/p>\n<p>Now that all this is clear, it\u2019s high time you made an appointment with your banker to review your past financial choices! If you bring them clear ideas, they can give advice that works for you.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Most people will agree that money shouldn\u2019t dictate our life choices. Rather, the life we want should be what dictates our financial decisions. The trick is to have a clear idea of what kind of life that is before recruiting an expert to assist with money management. In another article, we ask whether you have &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/my-life.lu\/en\/do-you-spend-to-live-or-live-to-spend-51041\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Do you spend to live, or live to spend?&#8221;<\/span><\/a><\/p>\n","protected":false},"author":11,"featured_media":11838,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":"","beyondwords_generate_audio":"1","beyondwords_integration_method":"","beyondwords_project_id":"44704","beyondwords_content_id":"a1f5e426-aaec-4f0d-86bf-063d71bbf3f3","beyondwords_preview_token":"a329502d-900a-4ee8-ae88-eedfb7ad4613","beyondwords_player_content":"","beyondwords_player_style":"standard","beyondwords_language_code":"en_GB","beyondwords_language_id":"50","beyondwords_title_voice_id":"775","beyondwords_body_voice_id":"775","beyondwords_summary_voice_id":"775","beyondwords_error_message":"","beyondwords_disabled":"","beyondwords_delete_content":"","beyondwords_podcast_id":"","beyondwords_hash":"","publish_post_to_speechkit":"","speechkit_hash":"","speechkit_generate_audio":"","speechkit_project_id":"","speechkit_podcast_id":"","speechkit_error_message":"","speechkit_disabled":"","speechkit_access_key":"","speechkit_error":"","speechkit_info":"","speechkit_response":"","speechkit_retries":"","speechkit_status":"","speechkit_updated_at":"","_speechkit_link":"","_speechkit_text":""},"categories":[37,137],"tags":[415,585],"class_list":["post-11846","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-me-and-my-family-en","category-budgeting-en","tag-budgeting","tag-contact-en","my_family"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.3 (Yoast SEO v27.3) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Do you spend to live, or live to spend? - myLIFE<\/title>\n<meta name=\"description\" content=\"Money shouldn\u2019t dictate our life choices. 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