Warren Buffett stands as a fascinating contradiction in a world obsessed with material possessions and status symbols. With a net worth exceeding $160 billion, the “Oracle of Omaha” could afford virtually anything, yet he chooses a lifestyle that prioritizes simplicity, meaning, and genuine contentment.
Despite his extraordinary wealth, Buffett’s approach to happiness isn’t about accumulating luxury items or flaunting status—it’s about investing wisely in what truly matters. Through his words and example, Buffett has provided us with a blueprint for happiness that has nothing to do with fancy cars or designer clothes and everything to do with thoughtful choices about where we direct our resources.
Let’s explore five things worth “buying” to increase happiness, according to the wisdom of Warren Buffett.
1. A Modest Home Filled With Memories
“If I could spend $100 million on a house that would make me a lot happier, I would do it. But for me, [my Omaha house] is the happiest house in the world. And it’s because it’s got memories, and people come back, and all that sort of thing.” – Warren Buffett.
Perhaps nothing illustrates Buffett’s philosophy better than his home. Despite having the means to own mansions across the globe, he has lived in the same modest house in Omaha, Nebraska, since 1958. Purchased for $31,500 (equivalent to about $350,000 today), the five-bedroom home represents a tiny fraction of his wealth but holds immeasurable value in terms of happiness.
What makes this house special isn’t its size or grandeur but the life lived within its walls. His home has been the setting for family dinners, holiday gatherings, and quiet evenings. For over six decades. This is where Buffett raised his children and welcomed grandchildren. The walls contain stories and laughter that no luxury estate could replicate.
This teaches us that a home’s actual value comes not from its price tag or square footage but from the life we build inside it. When purchasing a home, consider its potential as a foundation for creating memories rather than as a status symbol. A comfortable, welcoming space that fits your lifestyle will likely bring more happiness than an impressive address that stretches your finances or feels empty of personal connection.
The happiness research supports Buffett’s instinct. Studies show that after basic needs are met, additional house size or luxury home features have diminishing returns on well-being. Instead, factors like neighborhood quality, commute time, and how the space supports your relationships and activities impact life satisfaction more.
2. Buy the Time to Do What You Love
“In the business world, the most successful people are those who are doing what they love.” – Warren Buffett.
Buffett spends his days doing exactly what he enjoys—reading, thinking, analyzing companies, and making investment decisions. While many of us can’t simply abandon our responsibilities, we can be intentional about “buying” time for what brings us joy.
This might mean investing in time-saving services that free up hours for meaningful activities. It could involve making career choices and prioritizing flexibility and purpose over maximum income. Sometimes, it means saying “no” to commitments that don’t align with your values, effectively purchasing time for what matters most.
Buffett famously keeps a relatively straight forward calendar, avoiding unnecessary meetings and protecting his time for thought and analysis. He once said, “The difference between successful people and successful people is that successful people say no to almost everything.” By being selective about his commitments, he “buys” time for his priorities.
This investment in time for your passions and doing work you love pays dividends in happiness. Psychologists have found that people who spend time on activities that provide a sense of autonomy, competence, and connection report higher levels of well-being.
When we allocate our hours to what genuinely engages us, we experience what researchers call “flow”—a complete immersion that correlates strongly with happiness. The ultimate purchase is buying your time back from your employer by having the finacial resources to do what you love for a living.
3. Invest Money and Time in Quality Relationships
“It’s better to hang out with people better than you. Pick out associates whose behavior is better than yours, and you’ll drift in that direction.” – Warren Buffet.t
Buffett’s legendary partnership with Charlie Munger demonstrates the value he places on meaningful connections. Their 60-year friendship and business partnership brought both men immense joy and success. Buffett has often said that meeting Charlie was one of the luckiest moments of his life.
Investing in relationships requires resources—time, energy, attention, and sometimes money for shared experiences. Yes, these investments typically yield the highest returns in terms of happiness. Buffett makes time for friends like Bill Gates, with whom he plays bridge and shares conversations. He nurtures family bonds and builds community through his annual shareholder meetings, which have a reputation for their warmth and camaraderie.
The connection between strong relationships and happiness is one of the most consistent findings in well-being research. The Harvard Study of Adult Development, which has tracked participants for over 80 years, found that close relationships protect people from life’s discontents, delay mental and physical decline, and are better predictors of long and happy lives than factors such as money, fame, social class, IQ, or even genes.
To “buy” better relationships, consider spending on shared experiences rather than solo luxuries. Prioritize time with people who inspire and support you. Invest in communication skills that deepen connections. These expenditures may not appear as assets on a balance sheet, but they compound over time into a wealth of happiness.
4. Invest in Knowledge and Self-Improvement
“Invest in as much of yourself as you can. You are your own biggest asset by far… Anything you do to improve your talents and make yourself more valuable will get paid off in terms of appropriate real purchasing power.” – Warren Buffett.
Buffett is famously dedicated to continuous learning. He spends five to six hours reading books, newspapers, and financial reports daily. When asked about the key to success, he held up a stack of papers and said, “Read 500 pages like this daily. That’s how knowledge works. It builds up, like compound interest.”
This commitment to self-improvement extends beyond reading. Early in his career, Buffett invested in a Dale Carnegie public speaking course to overcome his fear of speaking—a skill that would later prove invaluable. He recognizes that investments in knowledge and abilities yield returns that can’t be taken away by market crashes or inflation.
The benefits of learning extend beyond financial success. Acquiring new skills and knowledge creates a sense of mastery and growth that contributes significantly to happiness. Learning keeps our minds engaged and provides satisfaction with progress. Education is consistently linked to higher reported life satisfaction across cultures.
Consider buying classes, books, educational experiences, or educational tools that help you learn advanced skills, and develop new capabilities. Whether cooking lessons, language learning, professional development, or creative pursuits, these investments pay lifelong dividends in practical skills and personal fulfillment.
5. Buy Experiences Over Possessions
“I have everything I need to be happy. I don’t need any more money. I don’t need any more of anything. I’ve got friends, which is the thing that money can’t buy.” – Warren Buffett.
Despite having the means to indulge in extravagant consumption, Buffett maintains relatively simple tastes. He enjoys McDonald’s breakfasts and Cherry Coke. He’s driven the same car for years at a time. His indulgences tend to be experiences rather than things—playing bridge with friends, teaching university students, or enjoying simple pleasures.
This preference aligns with research showing that experiential purchases typically bring more lasting happiness than material goods. Experiences become part of our identity and connection with others, while the excitement of new possessions tends to fade quickly as we adapt to them.
Experiences create stories and memories that we revisit and share, extending their value beyond the moment. They’re less subject to unfavorable comparisons than material items, which newer or better versions can quickly overshadow. Meaningful experiences often involve social connection, enhancing their impact on happiness.
To follow Buffett’s example, consider shifting your discretionary spending from accumulating things to collecting experiences. Travel, concerts, classes, special meals with loved ones—these purchases may seem fleeting compared to material goods, but their benefits for happiness often prove more durable.
Conclusion
Warren Buffett’s approach to happiness reveals that the wisest investments aren’t necessarily those that increase one’s net worth but those that enrich one’s life. A comfortable home filled with memories, time spent on what one loves, quality relationships, knowledge and self-improvement, and meaningful experiences are the purchases that compound into genuine well-being.
What makes Buffett’s philosophy so powerful is its accessibility. While we can’t all amass billions in the stock market, we can all intentionally direct our resources of money, time, or attention—toward what truly matters. In doing so, we follow the lead of one of history’s greatest investors, making choices that yield the highest returns regarding happiness and fulfillment.