What is Wealth Psychology?

Many people believe all their problems will be solved if they become wealthy. They would fly first class, dine in the best restaurants, and buy anything they wanted. What could be the problem with that?

Having worked with many successful and wealthy people over the years, I’ve learnt that wealth has many advantages and also brings different challenges. Recently I met Jennifer Risher, author of the book ‘We Need To Talk About Money’. In it, she describes how she joined Microsoft in 1991, met her husband and how they, along with many others, benefited from the dot-com boom. By their mid-thirties, they were worth tens of millions of dollars. Having grown up in an average middle-class family, she details the multiple challenges she experienced adjusting to this new world.

Like Risher, many people transition into wealth from humbler backgrounds, and most wealth arrives suddenly. Building a business over many years, watching every penny, and then selling the business may mean there is more money and time than ever. However, making sense of this transition can be challenging for some, leading to a loss of meaning and purpose. Inheritors, lottery winners or the beneficiaries of divorce settlements may suddenly have access to large sums of money. This can create feelings of guilt or disconnection, leading them to hide their wealth from others.

In my work within the music and sports industries, I’ve encountered young artists, sports stars, and entrepreneurs, often from ordinary backgrounds, who are suddenly overloaded with money, choice and, of course, hangers-on and fair-weather friends.
In reality, what we are talking about is not wealth but change. Change can impact all of us profoundly. According to Gestalt theory, balance is a fundamental law of nature; individuals strive for balance and wholeness in their lives, and disruptions in this balance can lead to psychological challenges. If we have devoted our lives to building our outer world of success and neglected to grow our inner world, we are not living our whole lives.

Our inner world is linked to our emotional intelligence, self-awareness, and ability to make meaningful and healthy choices for ourselves and have productive relationships with others. To achieve psychological well-being and progress positively, we must find harmony and equilibrium between our needs and environment. Therefore, satisfying change is a natural process achieved by becoming more of who we are; wealth psychology enables that.

So, the next time you look enviously at Elon Musk or buy that extra lottery ticket, as the saying goes, ‘beware what you wish for’. Striving for wealth and success in your outer world is only half the equation; you will lead a more satisfying life if you balance your fundamental human needs by growing your inner world and achieving positive wealth psychology.