Happiness vs. Riches
Published on Nov 18, 2015
The original presentation is here: http://www.mrmoneymustache.com/wp-content/uploads/2013/09/happinessvsriches.pdf
The blog post about it is here: http://www.mrmoneymustache.com/2013/09/15/lessons-from-ecuador
Resources: The Art of Happiness (Dali Lama) 50 Prosperity Classics (Thomas Butler Bowden) Four Pillars of Investing (William Bernstein) Your own recommendations?
MORE DECKS TO EXPLORE
PRESENTATION OUTLINE
What's your goal in life?
To be rich...? (why?)
To have money for your needs? (why?)
To be happy!
To have money for your needs? (why?)
To be happy!
Photo by Ed Callow [ torquespeak ]
A review of riches...
Your needs: the amount of money it takes to fund your idea lifestyle.
Rich: having enough passive income fund these needs automatically, forever.
(25-30 times your annual spending, invested wisely)
Rich: having enough passive income fund these needs automatically, forever.
(25-30 times your annual spending, invested wisely)
Photo by jenny downing
Higher desires require more money
To fund retirement using a 4% annual withdrawal rate
How long to reach freedom?
If MMM had wanted to retire at 30 AND have the fancypants executive lifestyle, he would have needed $750,000/yr take-home pay!
What's your money/happiness curve?
Which curve would YOU rather have? You really do get a choice.
Sliding to the right on the green scale is a double-win. But first we need to get on that green scale.
Sliding to the right on the green scale is a double-win. But first we need to get on that green scale.
Becoming that wise green person
Understand what really creates happiness.
Happiness is built right into your DNA, and we've been studying how it works for thousands of years.
Happiness is built right into your DNA, and we've been studying how it works for thousands of years.
Photo by mynameisharsha
Meaningful work
Photo by supersum (off)
helping others
Photo by mynameisharsha
Life philosophy
Photo by infomatique
Friendship
Photo by mohammadali
Freedom
Photo by Stuck in Customs
health
Photo by Claudio.Ar
community
Photo by Pink Sherbet Photography
Private life
Photo by Natalia Romay
notice what's missing?
net worth
Photo by @Doug88888
Fancy Travel
Photo by @Doug88888
Nice clothes
Photo by JonoMueller
fame
Photo by Alan Light
Happiness boosters...
sleep
Photo by mark sebastian
learning
Photo by » Zitona «
Happiness
temporary vs permanent
Temporary happiness is the feeling you get when everything's going your way.
Permanent happiness is when you have the confidence that you'll be OK, no matter what.
Permanent happiness is when you have the confidence that you'll be OK, no matter what.
permanent happiness
level: beginner
Beginner level: you are confident that you have enough money to solve any problem that might come up.
Photo by ...netski...
permanent happiness
level: intermediate
Intermediate level: you are confident that even if you lose your job, money, mate, etc, you could rebuild your life.
Photo by seyed mostafa zamani
permanent happiness
level: advanced
Advanced level: you are confident that your happiness does not depend on any of these external factors. It comes purely from within.
Photo by Stuck in Customs
ultimate happiness
freedom from suffering
Freedom from any sort of suffering at your innermost level.
Photo by Natesh Ramasamy
Suffering
is natural
Suffering is natural. It's the creation of your own mind. You are not a victim.
Photo by Joaquin Villaverde Photography
training the mind
happiness not survival
You are born with a mind programmed for survival, not happiness. But it can be reprogrammed. Just as you can change your understanding of knowledge, you can change your emotional responses--the way you feel.
Photo by Craig Sunter *Click-64*
greed
Although triggered by the desire to obtain something, greed isn't satisfied by obtaining it. Therefore it becomes limitless.
The only antidote is Contentment.
The only antidote is Contentment.
Photo by Great Beyond
compassion
Genuine compassion for all people, not just friends and family. As humans, you have much more in common than you have differences.
Photo by Wonderlane
now that we have the power,
what do we need to do?
Housing
If money were no object: Medium-sized custom home
$50,000 spending: Standard house or apartment
$10,000 spending: Good housemates or creative alternatives
$50,000 spending: Standard house or apartment
$10,000 spending: Good housemates or creative alternatives
Photo by Foxtongue
Food
If money were no object: Fancy recipes, frequent restaurants
$50,000 spending: Fancy recipes, occasional restaurants
$10,000 spending: Fancy vegetarian recipes, meals with friends
$50,000 spending: Fancy recipes, occasional restaurants
$10,000 spending: Fancy vegetarian recipes, meals with friends
Photo by djwtwo
Transportation
If money were no object: Planes, trains, cars, bikes
$50,000 spending: Less planes and trains, some car, more bike
$10,000 spending: Mostly bike and bus, share rides with friends
$50,000 spending: Less planes and trains, some car, more bike
$10,000 spending: Mostly bike and bus, share rides with friends
Photo by Amir Kuckovic
Vacations
If money were no object: International, domestic, active/camping
$50,000 spending: Mostly domestic, active/camping
$10,000 spending: Mostly local trips, active/camping
$50,000 spending: Mostly domestic, active/camping
$10,000 spending: Mostly local trips, active/camping
Photo by Stuart.m.d
Friends/family
Learning, helping people
If money were no object: Yes!
$50,000 spending: Yes!
$10,000 spending: Yes!
$50,000 spending: Yes!
$10,000 spending: Yes!
Photo by *vlad*
Other luxuries
If money were no object: High
$50,000 spending: Medium
$10,000 spending: Low
$50,000 spending: Medium
$10,000 spending: Low
Photo by greenwise art
lower spending
has a COUNTERINTUITIVE BENEFIT
If money were no object: Low effort
$50,000 spending: Medium effort
$10,000 spending: High effort
Which level of effort brings us the most satisfying life?
$50,000 spending: Medium effort
$10,000 spending: High effort
Which level of effort brings us the most satisfying life?
Photo by pursuethepassion
tilting the playing field...
Optimize earning
become a self-development guru
[Note from Joe: That's Tim Ferris, one of the world's most successful self-development gurus. I added his photo, the original presentation by MMM didn't include mention of him]
Photo by hyku
optimize investments
understand investing really well
Or by getting into real-estate or smaller high-yield opportunities
Photo by Perpetualtourist2000
In Conclusion
then optimize everything else
Photo by Gunnar Valdimar
