Financial advisor claims wealth provides mental resiliency, not authentic happiness

Simran Kaur, a financial trainer and investor based in the US, recently addressed common money myths in an episode of her podcast, "Friends That Invest." In the podcast, Kaur discussed the idea that money can't buy happiness, and whether it can provide a buffer for life's challenges.

Kaur shared her personal experience as a poor student, explaining how financial setbacks could "ruin" her month. She emphasised that having more money doesn't necessarily improve emotional well-being or happiness, but it does help solve inconveniences. As she became wealthier, Kaur realised that even if she missed a flight, it would only be embarrassing and annoying, not financially devastating.

Kaur pointed out that wealthy individuals have a financial cushion that makes it easier to handle unexpected setbacks like missed flights or emergencies. This "discomfort buffer," as she called it, acts as a cushion for when things go wrong. For her, as a poor student, such setbacks could "ruin" her week or month.

Kaur's view is that money may not buy happiness, but it can make life significantly easier. She believes that money can provide a "discomfort buffer" for life's challenges. This perspective is in contrast to the claim made by financial expert Dave Ramsey, who stated that money can be an "uncomfortableness buffer zone" for life segments.

Interestingly, a 2010 study by Princeton professors Angus Deaton and Daniel Kahneman found that an income increase can improve happiness, but this improvement is often temporary. Kaur's podcast episode this week focused on debunking common money myths, providing valuable insights for her listeners.

Simran Kaur, a well-respected figure in the financial world, hosts the US podcast "Friends That Invest." The podcast is a platform for Kaur to share her financial knowledge and insights, and to help her audience make informed decisions about their money.