I interviewed John Collins a Business start up executive about the book The Psychology of Money by Morgan Houses. This is a book that explores the psychology of money and how it affects our financial decisions. Here is a summary of the book in bullet points: Money is a tool. Money is not a goal in and of itself. It is a tool that can help us achieve our goals. Our relationship with money is shaped by our experiences. Our experiences with money from childhood to adulthood shape our relationship with money. We are all susceptible to cognitive biases when it comes to money. Cognitive biases are mental shortcuts that can lead us to make irrational financial decisions. Our financial decisions are often driven by our emotions. We are more likely to make impulsive financial decisions when we are feeling strong emotions, such as fear or greed. We are social creatures and our financial decisions are influenced by others. We are more likely to follow the crowd and make financial decisions that are consistent with our social circle. Based on these insights, Housel provides a number of practical tips for making better financial decisions. Here are a few of his tips: Set clear financial goals. What do you want to achieve with your money? Once you know your goals, you can develop a plan to achieve them. Automate your finances. Set up automatic transfers from your checking account to your savings account and investment accounts. This will help you to save and invest money consistently. Pay yourself first. Before you pay your bills or buy anything else, set aside some money for your savings and investment accounts. Live below your means. Spend less money than you earn. This will allow you to save and invest more money. Invest for the long term. Don't try to time the market. Invest for the long term and ride out the ups and downs of the market. The Psychology of Money is a valuable book for anyone who wants to make better financial decisions. It is a book that I highly recommend. In addition to the above, Housel also emphasizes the importance of financial resilience. Financial resilience is the ability to bounce back from financial setbacks. Housel argues that financial resilience is more important than financial wealth. Here are a few tips for building financial resilience: Have an emergency fund. Save enough money to cover your living expenses for several months in case of job loss or other financial setback. Pay down debt. Pay down high-interest debt, such as credit card debt. Diversify your investments. Don't put all your eggs in one basket. Diversify your investments across different asset classes and sectors. Have a financial plan. Work with a financial advisor to develop a financial plan that meets your individual needs and goals. By following these tips, you can build financial resilience and protect yourself from financial setbacks.