[📚Sunday Book Club]: Morgan Housel; "The Psychology of Money"

February 8, 2024

The first Sunday Book Club of 2024 is here 🙌. I was heavily leaning toward a mindset type of book, but then I recalled my latest talk with my coach Linda, and decided to prioritize the world’s oxygen… “money”.

For some, it might be a weird topic, almost a taboo. Depending on our childhood, parents, and culture, we all hold very specific beliefs around money. However I’m not here to question them or change them. I’m here to offer fresh perspectives that I learned from Housel’s book.

Housel doesn’t teach you how to get rich, buy crypto or pick stocks, but rather explains why we do the things we do with money, how we think about money, and how to change our money patterns. Here are a couple of quotes I find highly valuable, because the new year marks a fresh start for many of us. It’s a great time to set intentional money goals. Knowing WHY we want what we want and knowing WHY we do what we do are the key steps to our success, in my humble opinion. I’m only asking for you to keep your mind open to new possibilities. (Trust me, I’m working this “adulting muscle” myself as well 🤓)

“Less ego, more wealth. Saving money is the gap between your ego and your income, and wealth is what you don’t see. So wealth is created by suppressing what you could buy today in order to have more stuff or more options in the future. No matter how much you earn, you will never build wealth unless you can put a lid on how much fun you can have with your money right now, today.”

“Growth is driven by compounding, which always takes time. Destruction is driven by single points of failure, which can happen in seconds, and loss of confidence, which can happen in an instant.”

“Savings can be created by spending less. You can spend less if you desire less. And you will desire less if you care less about what others think of you.”

“Studying a specific person can be dangerous because we tend to study extreme examples — the billionaires, the CEOs, or the massive failures that dominate the news — and extreme examples are often the least applicable to other situations, given their complexity.”

Housel’s book walks us through 19 engaging stories where each of them stands out as great thought-provoking example of the intricate relationship between human behavior and finance. Depending upon where we stand, some stories will resonate more or less.

My favorite part of the book was the chapter called “Confessions” where he admits and shares his own money relationship.

See? If we can be honest with ourselves and have a true nonjudgmental money relationship, we can grow, improve and advance.

That’s what I wish for all of us entrepreneurs!

2024, Let’s Do This 🙌

Love, Hana ❤️

P.S.
Second notice to those who would like to join me in our monthly Real Estate Rockstars Book Club, where each month we pick and dive into a business oriented book to improve our businesses. Interested?
If yes, please sign up at this link, or email us!

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