Morgan Housel, global expert on personal finance, shares powerful lessons on Warren Buffett’s hidden struggles, Elon Musk’s sacrifices, money trauma and financial habits, how to invest wisely, and the psychology behind saving, spending, and success.
Morgan Housel is a partner at Collaborative Fund, former columnist for The Wall Street Journal, and a speaker on investing, saving, spending, and financial independence. He is also the bestselling author of books, such as: ‘The Psychology of Money’ and ‘The Art of Spending Money’.
He explains:
◼️ Why more money rarely solves unhappiness
◼️ How envy and social comparison drive overspending
◼️ Why extreme wealth often comes at the cost of health and relationships
◼️ How inflated definitions of “wealth” fuel endless consumerism
◼️ Why true happiness comes from family, friends, and health – not luxury
00:00 Intro
02:21 The Importance of Spending Money
04:31 Why Will This Podcast Make My Life Better?
07:42 Is There Something Wrong With Chasing Status?
10:14 What’s the Evolutionary Basis for This Stuff?
15:31 There’s Always a Trade-Off
17:43 Saving Addiction
19:29 Can Money Make You Happy?
24:56 Are We All Stuck in a Status Game?
29:02 Is the “Freedom” Culture Actually Making People Unhappy?
31:00 Your Favorite Form of Saving Is Spending
33:05 Jealousy of Other People’s Wealth
35:04 The Spectrum of Financial Independence
38:45 How Do People Achieve Financial Independence?
41:20 How Does Dopamine Factor Into All of This?
48:55 We’re Wired to Want More
54:39 People Retiring Early Tend to Wish They Hadn’t
55:40 Passive Income Myths
57:54 Ads
58:55 Do I Need to Know Economics for This?
1:04:49 What’s Going On in the World?
1:08:43 How Wealth Inequality Is Dividing People
1:10:38 The Charlie Kirk Shooting
1:18:52 Is There a Way Back From This Divide?
1:23:27 What Should We Be Doing to Help?
1:25:16 Are You Optimistic About the Western Economy?
1:27:11 Favorite Chapter From the Book
1:32:22 Ads
1:34:30 Why You Should Try New Things
1:37:17 Are You Chasing a Lifestyle That’s Not Right for You?
1:40:35 Does Jack Think Steven Is Happy?
1:49:25 Should We Feel Guilty About Lacking Contentment?
1:52:37 The Relationship Between Money and Kids
1:55:30 The Exact Formula for Spending
2:01:53 Humble Bubble
2:03:55 Do You Have Major Regrets in Life?
Follow Morgan:
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X – https://bit.ly/4pJf4lT
You can purchase Morgan’s book, ‘The Art of Spending Money’, here: https://amzn.to/3VKPajM
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One thing that gets overlooked in these discussions is public school districts. As we moved around the country after the "pandemic" settling in new locales, school district was the primary criteria. This forced us out of our comfort zone in terms of home cost which ate up the gap from what we need to what we want.
Ich liebe dieses Interview❤.😎👍👍👍👍👍👍
please.. consider not doing automatic translation. It does not sound good. And now I can't find your video with original audio.
somos seres sociales pero hay personas más introvertidas que otras, la mayoría necesitamos vínculos significativos y esos suelen ser pocos en realidad. y hay personas que pueden ser felices teniendo una vida más tranquila y solitaria que otros. Igualmente, tener un trabajo en remoto no significa que la persona no haga vida social o que no tenga oportunidades de hacer vida social y conectar con otros en su tiempo libre.
This guys a fool 😅😂 I live very well from passive income
The thing with people who think money can buy happiness is, they just imagine getting a free money. They don’t imagine what the trade off. If you earn 6 figures but have to do overtime daily and sometimes even in your weekends or during holidays. Not many people are going to be happy. They might said stuff like, if I have the money I wouldn’t live like that. But that’s how many of people get to that point. If you cannot bear it at first, you might not get to that point to begin with.
Except if you are born in wealth, ofc😂
Very well executed video.
these people look so hungry and desperate and they are trying so hard to impress people they will never meet through a video they post on YouTube. SAD
Timestamps (created by deepdive podcast)
00:01 – Passive income is misleading; spending habits are crucial for happiness.
01:32 – Understanding financial freedom requires focusing on spending, not just saving and investing.
05:08 – Money reflects deeper psychological issues and societal values.
06:47 – Living for utility over status reveals true values and motivations.
10:12 – Societal competition and social media drive materialism and wealth perception.
12:00 – Wealth aspirations have dramatically inflated, impacting young people's perceptions of success.
15:25 – Success involves significant trade-offs that are often overlooked.
16:56 – Evaluate what truly matters in life beyond material wealth.
19:48 – Money can enhance happiness but depends on your existing emotional state.
21:20 – Material wealth doesn't equate to happiness or fulfillment.
24:20 – External success often hides personal struggles; true fulfillment comes from within.
25:42 – Independence and purpose are essential for a fulfilling life.
28:41 – Loyalty to deserving individuals fosters fulfillment, not independence.
30:17 – Choosing dependencies enhances purpose and independence in life.
33:11 – Social comparisons can lead to reckless financial decisions.
34:50 – Understanding financial independence as a spectrum enhances saving motivation.
37:46 – Achieving financial independence requires strategic savings and flexible job choices.
39:09 – True wealth is happiness, not just financial abundance.
42:08 – Mental health impacts financial decisions more than formulas.
43:32 – True happiness comes from relationships and health, not monetary pursuits.
46:22 – Money addiction leads to perpetual dissatisfaction and the pursuit of more.
47:43 – The arrival fallacy hinders true happiness and appreciation of the present.
50:39 – Desire for more fuels societal progress and innovation.
52:10 – Happiness comes from purpose beyond money and material desires.
55:17 – Retirement may lack purpose despite financial independence.
56:44 – Passive income requires sacrifice or adjusting expectations.
59:49 – Financial literacy can mislead; true wealth doesn't rely on it.
1:01:19 – Financial attitudes reveal disparity between wealth and materialism.
1:04:33 – Understanding basic finance is crucial amid rising inequality.
1:06:07 – Individual economic experiences vary despite overall growth statistics.
1:09:18 – Population decline and immigration issues threaten societal stability globally.
1:10:53 – Social media amplifies division and extreme views more than ever before.
1:14:09 – Social media fuels division, yet face-to-face interactions foster understanding.
1:15:35 – Encouraging respectful dialogue fosters understanding across differing opinions.
1:18:28 – Social media algorithms heighten division and engagement, reflecting current societal challenges.
1:20:04 – Economic cycles can feel bleak but often lead to recovery.
1:23:13 – Social media algorithms prioritize engagement over accurate information.
1:24:50 – Social media distorts reality, impacting our perception and economy.
1:27:58 – Money should enhance happiness, not just fit a spreadsheet.
1:29:29 – Minimize regrets to live a fulfilling life.
1:32:33 – Startups must adapt to increased regulatory demands and AI tools for success.
1:34:18 – Trying new things can combat life's monotony.
1:37:16 – Chasing someone else's lifestyle can lead to dissatisfaction and is not one-size-fits-all.
1:38:40 – Social comparison fosters jealousy and misunderstandings about success.
1:41:52 – The speaker believes happiness exists but lacks contentment.
1:43:23 – Efficiency and ambition may overlook life's simple joys.
1:46:19 – Life regrets focus on relationships, not financial success.
1:47:43 – Regret and mindfulness enhance life satisfaction amidst financial concerns.
1:50:45 – Signaling influences major life decisions and perceptions of success.
1:52:13 – Seeking contentment is more valuable than chasing happiness.
1:55:17 – Finding personal success requires individual choices, not following others' paths.
1:56:40 – Happiness often stems from meeting personal expectations.
1:59:22 – Gratitude and expectation gaps fuel discontent in financial aspirations.
2:00:42 – People constantly compare incomes, leading to unrealistic financial expectations.
2:03:39 – Life choices shape our purpose and provoke thoughts of 'what if.'
2:05:11 – Reflecting on parenting choices and the impact of youth energy.
Didn’t realize I read his book about a year ago until I was halfway through the interview. Recommended read. It’s really ground and gives you a realistic approach to money and wealth.