Every Sunday, Money360 reviews a personal finance book or other book of interest.
No, this isn’t a weight loss book. The subtitle, I think, explains it well: Love What You Have, Have What You Need, Be Happier With Less.
In other words, Peter Walsh’s focuses on minimalization and living with less stuff in your life, which has a lot of financial and personal benefits.
In large part, his argument rests on the idea that the problem isn’t the stuff itself, but the emotional relationship we have with it. We tie far too much feeling to stuff, resulting in emotional entanglements that leave us wanting more and more stuff, a connection that hurts our finances (for starters) and can damage other aspects of our personal lives. I couldn’t agree more, actually.
1. The Life You Imagine for Yourself
The book opens in the right place: visualizing the future and setting specific goals. One angle I really enjoyed from this chapter was the idea of “for life or from life?” In other words, if you’re making statements like “I need this couch for my living room,” you’re likely focused on accumulation. Instead, focus on things that involve the word “from.” What do I want from my career? What do I want from my friendships? What will I get from this item that actually adds value to my life? It changes the value equation. If you’re getting stuff “for” someone or something else, you’re just accumulating. What are you going to get from it? What are you going to get from a new couch that you’re not getting right now?
2. What Makes You Happy
What in your life actually makes you happy? When are you the happiest? What makes you sad in your life? These questions can help you piece together which aspects of your life lift you up and which ones bring you down. They help you figure out where you should put more of your time and energy and where you should put less. Most people find their happiness comes not from stuff, but from other people and from experiences. Thus, putting more of your energy and time into other people and experiences and less into stuff can only have positive effects on your life.
3. The Personal Audit: Your Life
Walsh spends the middle portion of the book focusing (in turn) on three areas to simplify: your life, your money, and your home. With your life, you’re mostly looking at the ways you choose to spend your time and who you choose to spend that time with. Here, Walsh moves you through something of an audit of your time, evaluating the relationships you choose to engage in and the activities you choose to spend your time on. A big part of this is seeking out the sources of tension in your life. What relationships or activities cause you stress or tension?
4. Create Space for What Really Matters
Actually solving those things sounds good, but so often we fill our lives with excuses for why we can’t be bothered to fix it. Walsh spends this chapter walking through a lot of those excuses, like “there’s no time” or “it’s too broken to fix,” and offers a lot of solutions for getting past those excuses. The big thing, really, is to just let go of the things that aren’t really important in your life. If you fill a lot of hours with things that really don’t matter, then you’re squeezing out a lot of the things that do. Instead of watching TV tonight, place a call to someone that you have a fractured relationship with and mend it, for example.
5. The Financial Audit: Your Money
Here, Walsh does something of a personal finance audit, trying to get a grasp on the true financial situation of a person as well as how a person chooses to spend their money. Most of this stuff is pretty standard personal finance: recording your spending, reviewing how you felt about that spending after you’ve done it, looking at what debts you have, figuring out what you have that you can liquidate, and so on. Although this is useful, I don’t think it’s the reason to pick up the book. If this is your area of interest, read something like Your Money or Your Life.
6. Face the Financials
What can you do with all of that data? It’s usually a call to make some life changes. Look at the things that are offering you a poor value for the money you spend and minimize or eliminate them. Instead, focus your energy and time on the things that give you a high value for your dollar. This can involve eliminating activities and items from your life and it can also involve some significant changes to your personal schedule and your buying habits.
7. The Home Audit: Your Stuff
Here, Walsh turns his eyes to the physical items you have in your home. Your closets. Your decorations. Your overstuffed cupboards. Your garage. All of the places in your home where you put stuff that you rarely use. Why do you have these items? What items are truly valuable to you? We’re not talking about financial worth – we’re talking about the value they add into your life. If something isn’t adding much value to your life, why do you still have it?
8. Change the Way You and Your Family Measure Happiness
These chapters describe a lot of change. It’s a movement from stuff to experiences, from accumulation to enjoyment of what you have. If you do this alone, there’ll be a lot of resistance. The best approach is to incorporate your entire family in this. Have family meetings where you talk about these things. Would you rather have yet another game when you haven’t played the ones you’ve got, or would you rather contribute that money to a family activity? Should everyone spend tonight in solitary activity, or should we all do something together? These are the questions that should be asked.
9. Checkup and Maintenance
It’s great to have a big ball of energy to start with, but every great initiative leaves the honeymoon period and runs into some trouble along the way. The best way to ensure long term success is to plan specific goals with milestones that you can check on regularly. Keeping those milestones and goals in mind every day is the best way to keep this change moving forward in your life.
Is Worth Reading?
This book hits the very topic it claims to hit – it focuses in deeply on accumulation of excess, why people do it, and how they can get past it. If you’re an accumulator, there’s value in these pages.
One particular factor worth noting is that this book includes a lot of self-diagnostic questions that are intended to help you dig through your own situation. Quite often, these seem to exist in books to prove an author’s point, but in this book, they actually are very helpful in terms of being food for thought for the reader that is questioning their relationship between themselves and their stuff.
I found the book to be quite enjoyable (even valuable, you might say) and would recommend it to anyone who has more stuff than they can adequately or realistically use.