When it comes to saving money, many people work to put money away for the far-off future. While it's incredibly important to plan ahead financially, life coach and author Tony Robbins has a twist on this saving strategy -- and it's one that he believes leads to a wealth of happiness.
"I don't believe you should just save money and miser, and 'someday' you'll have that money when you're old," Robbins tells #OWNSHOW in the above video. "When you use your money today for things that give joy to yourself and your family and your friends... I think you'll want to earn more. It makes you psychologically stronger. It makes the game more playable."
To be clear, it's not about thoughtless spending. Rather, Robbins advocates for reserving part of your savings for shorter-term dreams that bring you joy. To keep this focus top of mind, he suggests creating what he calls "a dream bucket."
"Everyone needs a dream bucket, a place where you can put little things and big things that you're going to say, 'I'm going to do this for Christmas,' or 'I'm going to do this for my family this summer,'" Robbins says.
While long-term investing builds much-needed financial security, this short-term saving strategy has an equally important impact, he adds.
"That joy is going to create momentum that will make me feel wealthy or alive today -- not just 'someday' 25 years in the future," Robbins explains.
What to include in your dream bucket can be anything, from a big splurge like a family vacation to a simple buy like an outfit you've had your eye on. All that matters is that the dreams bring you joy.
"Everybody's dream bucket is completely different," Robbins says. "It's good to have some big things in the dream bucket that take you time to save for, and it's good to have some small things that you can reward yourself with right away."
Wondering how you can truly grow your dream bucket and other savings? Robbins also reveals his simple trick that will help you save more money this year.