Loss aversion kicks in when it comes to savings. … Mentally and emotionally and intuitively, [I] frame savings as a loss because I have to cut my spending.

Shlomo Benartzi

Quotation #56495

About This Quote

“Saving for Tomorrow, Tomorrow.” TEDSalon NY2011. Nov. 2011. Conference Presentation.

Source: "Saving for Tomorrow, Tomorrow." TEDSalon NY2011. Nov. 2011. Conference Presentation. Additional Information: This quote by economist Shlomo Benartzi is from Benartzi's 2011 TED Talk given at the TEDSalon NY2011 conference. The subject of the Talk and of this quote is the mental and emotional barriers to saving money and how we can overcome them. This particular quote means that people think about saving money as if it is the same thing losing money and are thus reluctant to do it: if you start saving 15 percent of your paycheck, for example, you will have 15 percent less money to spend. Watch the full TED Talk here: Shlomo Benartzi - Saving for Tomorrow, Tomorrow