How Much is Enough?

I have been reading a great book called “How Much is Enough? Money and the Good Life” by Robert & Edward Skidelsky.

They start by looking at an essay written by a man called Keynes, called “Economic Possibilities for our Grandchildren”, which was published in 1930. He thought that in 100 years from then, so 2030, we would be four times richer and therefore we would all work only about 15 hours a day and have much more time for leisure activities. Hmmmmm . . . .

So why are we not all working 15 hour weeks with ‘enough’ money?

Could it be that our job is not just about earning money, but is also about who we are? Do we get job satisfaction and a sense of purpose from doing it, which is why retiring can often be a tricky time of life for people to get used to?

Is it because we always want more? Back in 1930 they could never have imagined the frequency of holidays, the technology, the cars, the houses that we have today. We are constantly bombarded by adverts saying that we really need their new product, that our lives are devoid if we do not have it. Are we bad people for not having the latest electric car that can save our bills as well as the planet? Are we missing out by not having the latest iPhone that has the next super duper camera, that you could never have imagined would be able to be on a phone, in your pocket. Why would we buy food at Aldi when we could have food from M&S that must be so much more pleasurable to our palette?

The Skidelskys said that “Human wants are insatiable because they are relative. And the more goods we want, the more we have to work to earn the money to acquire them.”

So if we stopped wanting the next ‘amazing’ thing, how much money could we save or how much less would we have to work?!

Have we forgotten that many of the most enjoyable activities are free or cost very little – such as reading, conversation, making music, many sports and hobbies?! Or have you, like me, rediscovered many of them in lockdown as the ones that cost money were not available? How many of us have enjoyed going for walks, riding our bikes, sitting in our gardens in the sun reading? I know that I am now trying to ride my bike to work whenever I can, rather than getting into my car. I can make the ride as long as I want to and it has been observed that I look a lot like a lobster when I get to the office if I have pushed myself particularly hard!! There is an evil hill!!

Which brings us to the next question – “What is money for?”

I listened to a great webinar, as part of the Initiative of Financial Wellbeing Conference (everything is virtual now!), by Liz Zeidler who co-founded The Centre for Thriving Places. She asks that very question. Money is essential to our life, but are we just trying to get as much as possible and therefore have to work like crazy animals to get it, or is it a means to a good life?

The Skidelskys say “that my purpose in life is to make more and more money is like saying that my aim in eating is to get fatter and fatter”. I will never fit into my wedding dress if that is my aim!!

Maybe we need to change the way that our countries think. Maybe we should be concentrating on wellbeing, rather than on GDP.

Kate Raworth, a renegade economist, said “we have an economy that grows whether or not we thrive, and what we need is an economy that helps us to thrive whether or not it grows”.

And many important people are starting to agree. For example, Nicola Sturgeon said in a TED Talk that wellbeing, not GDP, defines success.

I have only scratched the surface of this as a topic, so expect to hear more from me about this in the future as it is really interesting to think about money in lots of different ways. And I am only a few pages into this book.

Money should be a tool to happiness, not the goal

Think about how you live your life and whether this is true for you. What is your financial wellbeing like on a scale of 1 – 10?

Do you need to change it?