Morgan Housel's new book The Art of Spending Money: 272 pages on the psychology of spending

According to the book review site Make Headway, the book's "reverse obituary" exercise points out that at the end of life, how much you earned, how big your house was and how often you upgraded your car rarely matter; what matters is relationships, health and time you can spend freely.

The book is Morgan Housel's The Art of Spending Money. According to the publisher Harriman House's book page, it was published on 7 October 2025 and runs to 272 pages. The publisher describes its main theme as how to use money to live a happier life, with a focus on psychology rather than conventional financial rules.

According to the Make Headway review, this is a book that asks why people spend, and it contains no budgeting methods and no tips and tricks.

Comparison has no finish line

The first of the topics listed on the Harriman House page is the difference between envy and admiration. The Make Headway review says people easily confuse the two, and that status spending has no ceiling because someone is always one step ahead of you.

An article published by RBC Direct Investing on 26 November 2025 offers a similar summary: money spent to impress others rarely brings happiness, and the pursuit of status has no end because there is always a higher goal.

The publisher's page also mentions how social aspirations affect spending, and the cost of "social debt". The available reviews do not describe the latter in detail.

Separating identity from wealth

As relayed in the RBC article, Housel argues for treating identity and wealth separately. Spending brings the most satisfaction when it reflects your values or the kind of person you want to be, such as being generous or valuing connection with others.

Overspending and being afraid to spend both stem from insecurity

The RBC article says Housel also sees excessive frugality driven by fear, and being unwilling to spend despite having the means, as a trap.

The Make Headway review sets the two extremes side by side: spending is often used to deal with fear or anxiety, with some people hoarding savings they dare not touch and others overspending to leave an impression. The review also argues that peace of mind is the real return on money, and that expectations affect happiness more than absolute income does.

This echoes another topic listed by the publisher: aligning spending expectations with income, and understanding how identity and insecurity affect money decisions.

Judging a purchase by whether you will regret it later

The RBC article relays that Housel suggests judging spending by whether you will regret it later, and treating money as a tool for buying time, flexibility and calm. The article also notes that luck influences financial outcomes.

The publisher's page also lists "investing in future happiness while avoiding regret" and "building wealth by going slow" as topics in the book.

How it differs from The Psychology of Money

The RBC article describes the new book as a follow-up to Housel's earlier work The Psychology of Money, with the same core message: money is a tool for living a better life.

The Make Headway comparison is more specific. The review says the earlier book explores how behaviour and luck affect wealth and offers a moderate amount of practical advice, while the new book asks what money is spent for, deliberately says little about practical technique, and has no budgeting method and no tips and tricks. The reviewer sees the new book as a companion to the earlier one rather than a replacement, and some find it harder to put into practice directly. These are the views of that one review.

Who the book suits

In Make Headway's view, the following kinds of reader are likely to get the most from the book:

• Savers who feel guilty whenever they spend
• People whose spending is driven by status
• People who are financially secure but anxious about spending on experiences
• Readers who want self-reflection more than practical tools

The same review also cautions that if you need a debt repayment plan, a budgeting method or help with credit card interest, the book will not help; it also has no tax or investment detail.

Publication details

The details below follow the Harriman House book page, as of October 2026:

• Publication date: 7 October 2025
• Length: 272 pages
• Paperback ISBN: 9781804091890
• E-book ISBN: 9781804091906
• Audiobook ISBN: 9781804091913

Summary

Taken together, the publisher and the two articles suggest the book is less about financial technique than about the psychology behind spending: comparison, identity and insecurity. In Make Headway's view, it leans towards self-reflection rather than practical tools.

Prices and details correct as of October 2026

Compiled by the F50 Editorial Team from public sources, for general reference only and not professional advice. Details are correct as of the publication date and may change.