The Psychology of Money by Morgan Housel isn’t just for Wall Street—it’s essential reading for anyone in the nonprofit sector.

Every day, we navigate budgets, donor relationships, and resource allocation. Housel’s central message is clear:

1. Behavior over intelligence: Financial success depends more on habits than on IQ.
2. The power of saving: Living below your means creates freedom and resilience.
3. Money buys time: Ultimately, money’s greatest value is the control it gives you over your own time.

The book is dense with stories about famous people, as well as academic research about human behaviour. It is a deep read, but it’s also a pleasant read and it’s organized very simply into twenty chapters that offer twenty “truths” about money.

The book also gives an amazing step-by-step history of American capitalism since WWII, breaking down generational experiences with money that will deeply affect (whether they know it or not) our donors.

Money mindset—your unique set of beliefs and values about money—is the lens through which you see the world. By normalizing the fact that our experiences shape us, (consider the 75-year-old whose parents lived through the depression and who still saves stray nails in his lumber because you never know what’s going to happen next) we can gain empathy for the people we work with. We can also begin to release ourselves from old stories about who we are with money, and how that does or doesn’t matter to us and our family.

Money is a tool. The stories we tell ourselves about money are the psychological part. It is well worth the read for anybody in our sector.

The Psychology of Money is available for purchase here.

Jenny Mitchell is an executive coach, author and professional fundraiser. She is on a mission to help people master meaningful conversations. https://chavender.com