Why Money Is Like Pepperoni Pizza
A quick story that can help you learn about money and teach your kids
We absolutely love pepperoni pizza.
Sometimes, on the way home from school I will stop with my daughter and grab a pie at our favorite local spot.
We will be starving and without thinking we will eat a whole large pie between the two of us (okay, it’s mostly me).
Yes, I know. I am probably a bad parent but we still do it more than we should.
But lately I’ve noticed that a very interesting thing happens when I do this:
The first bite takes like the best thing in the world and both of us are so happy we did it
We keep eating and for the next 5 minutes and it’s still amazing.
Then 5 to 10 minutes in it is still pretty good but we are slowing down.
With 3-4 more slices left in the who pie we are starting to really slow down and enjoying it less than we did just a few minutes ago
Once we finish, both of us (ok, mostly me) are inevitable sick and feeling it in the pit of our stomachs for the rest of the night (and the next morning too!)
The same thing keeps happening even though the very first time I did this I woke up the next day telling myself I never would do it again.
Thinking about it more and looking around, I realized the same thing happens and applies to money, too (technically this concept is know as marginal utility but that’s not important).
Up to a certain point money can bring us happiness, but after a while it will cease to bring any joy. The examples in our society are all around us.
So now that we know this, how can we apply the principle to our own lives (and teach the kids) to strive to better use money as a tool instead to live the lives we want (vs. continually striving for more).
The answer is to be more mindful of this trend when it comes to money (do you really want that new car or gadget? or do you think if you spent your money in a different way it would bring more happiness to your life?).
Pointing out some of these parallels to our kids the next time they want another toy, doll, bike, etc may also help them think about money differently as they grow as well (although I think my kid will still want pizza).
Sign up for our newsletter below and get the latest financial news that matters to your family
