Happy money
Years ago, research emerged indicating that people generally are not happier because they earn beyond a certain income - $75,000 to be exact. Since then, studies have continued, and it turns out that more money can make us happier – but only if we are already happy. If we are unhappy to begin with, more money doesn’t do much for our wellbeing.[1]
So, what makes someone happy? Other research, an 85-year Harvard study[2], shows that having positive relationships is the main source of happiness, more than any other factor. Positive relationships are those that fulfill you. They provide support in the following seven ways: safety and security; learning and growth, emotional closeness and confiding; identity affirmation and shared experience; romantic intimacy; help; and, fun and relaxation.
If relationships are the main thing that make us happy, and having more money[3] won’t impact us unless we’re already happy, we all ought to value relationships and make room for them, including in our budgets.
How might we prioritize relationships? Doing so might be done with money or maybe just by being thoughtful with our time. Here are a few ideas:
- Plan for regular romantic dates with your partner;
- Check in on the friend that provides emotional closeness and serves as your confidant;
- Calendar activities with peers who challenge you intellectually;
- Foster the relationship with the person who makes you feel safe when you’re scared;
- Budget for meals, coffee dates, or outings with the friend who makes you laugh or the one can help you solve a problem;
Ultimately, direct your resources (time, money, and energy) to ensure that positive relationships exist in your life. Without them, and without happiness, increasing your income won’t make you feel much more joy. By prioritizing relationships with your budget, the rest of your priorities will likely fall into place.
[1] https://money.com/more-money-makes-people-happier/
[2] https://www.cnbc.com/2023/02/10/85-year-harvard-study-found-the-secret-to-a-long-happy-and-successful-life.html
[3] Of course, there is also a floor of money that is needed to survive. This is not to negate that some people are just surviving – the idea here is to acknowledge that some of our happiness, for those earning a wage that is livable, is not dependent on money, but rather on being with others in a positive way, something we can all do with or without money.