Want to Cut Spending? Practice Gratitude

Tammy Kennon, NowU REPRINT
JANUARY 22, 2015

Financial decisions seem calculating, so to speak. It's all cold, hard numbers — not a place for messy emotions. Psychologists have traditionally agreed, finding that emotional whimsy causes us to go weak-kneed and freewheeling with our money.

Studies have proven what we already know — that we're more likely to indulge in impulse buying when we're sad. But what about when we're happy or simply content? Are there any emotions that might help instead of hurt our budgets?

Two recent studies say "yes." Psychologists have found that feelings of gratitude not only increase our financial patience but might also turn our attention away from mindless consumerism.

Study: Being Grateful Led to More Financial Patience

In one 2014 study — a collaborative effort between Northeastern University, Harvard University and University of California at Riverside — participants were asked to write about a personal experience to induce one of three emotions: happiness, gratefulness or a neutral state.

To test how these emotions impacted financial patience, the participants were offered two options: cash on the spot or a larger sum if they waited several weeks.
"People who were feeling happy were just as impatient as those who were feeling neutral," the study's lead scientist, David DeSteno, professor of psychology at Northeastern University, wrote in a Pacific Standard article published in 2014.
The study showed that impatience caused both groups to significantly discount the value of future rewards — meaning they sold their future selves short.

On the contrary, those who consistently felt grateful had a higher likelihood of tamping down their desire for immediate gratification and choosing to wait for more money later.

"Those who had been induced to feel grateful," DeSteno noted, "were significantly more future-oriented."

Consumerism and Gratitude Don't Mix

In another 2014 study at Baylor University in Texas, researchers found that the more we focus on consumerism, the less grateful we are for what we have and the less satisfied we are with our lives.

In the study, published in the journal of Personality and Individual Differences, 246 participants answered a series of questions about materialism, gratitude and life satisfaction. Those who were highly motivated to spend money reported lower feelings of gratitude and less satisfaction with their lives, the research showed.

Apparently, materialism and gratitude don't play well together, if at all. The Baylor study found that the two rarely coexist.

In other words, materialism can put us on a trajectory away from gratitude — and contentment.

This is not necessarily big news to Ginni Galicinao, a family wealth and dynamics coach in Aspen, Colo. Galicinao helps her clients identify their core values so that their financial decisions are informed by social, intellectual and spiritual capital.

"The reality is that what we appreciate appreciates," she said.

Gratitude Is the Affirmation of Goodness

The word "gratitude" gets bandied about so much that its meaning has grown hazy. Scientists say the definition is simple: gratitude means the affirmation of goodness.

In a culture with streaming bad news, aggressive negativity can easily drown out the gentle voice of gratitude.

At the same time, our consumer-oriented society promises a solution: Buy more stuff!

But the studies on gratitude tell us that the meaningful solution lies in the opposite direction. Acknowledging and appreciating the bounty of what we already have puts us on a course away from materialism and toward a deeper level of satisfaction.

So if gratitude can protect our pocketbook and make us happier, here are a few ways to tap into your inner gratitude:

1. Keep a Gratitude Journal

A leading expert on gratitude, Robert Emmons, professor of psychology at University of California – Davis, has written extensively about how to amp up the volume on gratitude.

Emmons suggested that regularly writing down something that makes you happy serves as an effective gratitude booster. A gratitude journal tunes us in to the good things that are already all around us but that often go unnoticed.

Gratitude can be expressed in a notebook, on slips of paper dropped in a "happiness" jar or on a website such as Thnx4.org.

"The key is understanding why you're grateful," said Galicinao, who encourages her clients to keep a gratitude journal. "We are often told what we should be grateful for. It's important to know that internally."

The quantity of your writing is not the key factor to a successful gratitude journal. Instead of jotting down three things, focus on one and drill down to the fertile soil of why.

2. Remember the Bad Times

Although this seems illogical on its surface, Emmons said remembering bad times sets up a contrast for the brain.

Thinking of a difficult time in our lives can then highlight the progress we've made and the lessons we've learned, and thus helps us appreciate where we are today.

3. Improve Your Vocabulary

Eeyore, Winnie the Pooh's sad-sack donkey friend, could benefit from a gratitude vocabulary makeover. Shifting our vocabulary from "can't," "nothing" and "impossible" to words that reflect a grateful attitude shifts our focus and our outlook.

A grateful lexicon includes "fortunate," "thanks," "appreciate," "good," "wealthy" and, yes, "grateful."

Scientists are finding that the benefits of gratitude go far beyond our finances.

The Greater Good Science Center at the University of California at Berkeley reports that people who practice gratitude benefit from stronger immune systems, lower blood pressure, less loneliness and increased acts of generosity and compassion.

For all that, we should be grateful.

Tammy Kennon, a regular contributor at NowU, explores the universal truths of being a tiny human on a glorious planet. Talk to her @TammyKennon.