What can make a person miss family events, dinner dates or catch-ups with friends? Probably a lot of things, but in many cases work tend to be the reason. It is not uncommon that people misses or cancels things because something urgent came up at work. The question is if all these cancellations are a result of people loving their job so much that they prioritize it over family and friends, if it is people that are too dutiful to say no or if it is a result of an addiction to something as simple as earning a lot of money?
The word addiction might be a bit too harsh, but there are many examples of people getting “high” on money almost like an addict that gets high on his drug.
Example: The super rich – Does it make sense that the super rich tries to avoid taxes by moving money to a tax-free country? Not really. The upside is just a large number in the bank that gets larger – they already have more money than they can use. The downside is however significant as being caught can lead to imprisonment.
Another example: Normal people – Does it make sense for people who don’t like their job to commute and work 10 hours a day, just to enjoy their remaining six hours they are not sleeping, with a little more cash than what might be earned in a more enjoyable job? It might do, but in many cases it seems irrational.
Or an example from Our lives – We love dividends, even though we know that it might cause lower long-term returns as it forces an upfront taxation that could have been delayed. It is irrational. The money makes us irrational. But we get a little rush as the dividend ticks in on our account so we don’t seek to avoid it.
There are many examples of people having an irrational relationship with money and it seems that most people don’t really get satisfied with the amount they earn no matter how high the income is or gets. Previous financial goals become normal, which make way for new and higher goals. Almost everything in our life has an expensive upgrade and we will most likely never get completely financially satiated. But maybe it is okay to keep chasing the next goal as long as we keep being aware of this “wealth addiction” and as long as we are aware of potential trade-offs the finances make us do.