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Friday, June 20, 2025

Does Spending Make You Happier? Financial Considerations on Spending for Veterans

Could you imagine being able to spend your way into happiness? While we’re all subject to the allure of marketing, most of us eventually run into the limits of our resources. Wealthier individuals often learn to save and invest, while those with fewer financial options may spend more out of necessity. That doesn’t mean the poor are careless—it often takes everything they have just to maintain a basic level of dignity. Veterans may struggle with this spend and save balance and we can all learn. 

But for those in the middle, there may be more room to reflect on how and where they spend their money. Striking the right balance between spending and saving can lead to a happier, more fulfilling life. (You might already be happy—but maybe you could be even happier.)

It's important to acknowledge that all studies have limitations. For example, definitions of "spenders" and "savers" can vary depending on how inclusive or exclusive the criteria are. Still, recent findings offer valuable insight: spending on things you genuinely enjoy can make sense.

According to a Nasdaq article titled Americans Who Spend Money Are Happier Than Those That Save It — Is There a Healthy Compromise?:

  • Spenders report higher levels of happiness in work, life, relationships, and finances compared to non-spenders.

  • "Spenders" are defined as those who buy things they truly enjoy, not just essentials or items on sale.

Some Reflections

There’s no point in penny-pinching every dollar unless you have a specific goal. You can’t take money with you when you go. At the same time, don’t fall into the trap of overspending on things that bring fleeting satisfaction or long-term financial strain. You don't want to be in debt your whole life. 

Before making a purchase, ask yourself: Is this truly necessary? Is it worth it?

For example, buying a large house when a mid-sized one would do can stretch your finances unnecessarily. Sure, it might offer long-term value, but the utility-to-cost ratio may not make sense if your goal is to pay off your home early. This logic applies to many other areas of spending.

Ultimately, it often takes a lifestyle shift to align your resources with your happiness goals—without digging yourself into financial distress. Do you really need five subscription services? A brand-new car?

You may want to read Popular Budgeting Strategies and Warrior Allegiance-Veteran Budget

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