4 Ways Spending Money Can Make You Happier Financial Freedom AARP Everywh

4 Ways Spending Money Can Make You Happier Financial Freedom AARP Everywh

4 Ways Spending Money Can Make You Happier - Financial Freedom - AARP Everywh...

Spending Money on Happiness

4 smart ideas to help you find yourself and financial bliss

You've heard it before: If you want to , on experiences — say, dinner at the new fancy restaurant or a trip to Vancouver — rather than on things. But can't completely replace stuff. Objects can enable experiences, the way new outdoor furniture can inspire summer cookouts and camaraderie. To best use your limited riches to combine experiences and material goods, try these four smart ideas from specialists in financial psychology.

3 Free Ways to Get Happy

Small things "really boost your happiness," says Gretchen Rubin, author of Happier at Home. 1. Revel in good smells
Mood-elevating scented candles are great but expensive. "You don't have to buy anything," Rubin says. "You can smell fresh laundry." 2. Say hello
We get lazy about acknowledging the people we love. Exchanging simple greetings, says Rubin, "totally changed the atmosphere in my home." 3. Suffer for 15 minutes a day
Faced with an unwelcome task? Tackle a bit of it at a time. You'll get lasting relief from attacking a chore. Know what you treasure most The things in life we value usually fall into one of four categories, says Lois Vitt, Ph.D., founding director of the Institute for Socio-Financial Studies. If you're a personal-values person, you're happiest spending on yourself. A . If you're a social-values person, improves your spirits. If you're driven by what Vitt calls physical values, you enjoy getting things that engage the senses ( like a new bike or a luxuriously renovated bathroom). Finally, if you're driven by financial values, you relish money in its purest sense, from it to getting good deals. Figure out your desires and spend accordingly. Bigger isn't better Use your money for a variety of less expensive purchases, instead of one giant one, says University of Texas psychology professor Art Markman, Ph.D., author of Smart Thinking. "Sitting in the balcony of a great concert series eight times a year is better than one blowout evening where you sit in the front row," he says. Don't go overboard Nothing kills happiness like bouncing a check. Overspend and you'll be trading short-term pleasure for long-term anxiety, Markman warns. So take care of your needs (your monthly bills and retirement-savings obligations) before you spend on anything frivolous. As for experience being the best thing to buy, Vitt thinks the recession has dulled that trend: "Particularly for people 50-plus, there's much more of a longing for certainty and stability." That can mean using money by not using it but instead multiplying it. Pay down your mortgage If you're still searching for joy, consider lightening what's probably your biggest financial burden. Getting closer to kissing the bank good-bye offers tremendous psychological benefits. "Older Americans, in particular, are happiest when they own their homes," Vitt explains. "If you feel secure in your home, you feel more secure in life."

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