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Bottom line: Money does matter, but not as much as many people think.
What seems to matter more is what people do with their money.
There's a strong connection between our finances and our emotions—and too much money stress can harm your health.
Can Money Buy Happiness Research Paper
- A question that always seems to come up, asks if money can buy happiness.
The study, as well as past research, found that happiness tends to increase with income up to a point (,000 in one study, and about ,000 in this study), but the increase is relatively small.
Money makes you a little happier up to a point, but not a lot.
Participants were asked to predict how happy they thought other people feel at different income levels.
Respondents were fairly accurate in predicting that higher levels of household income are not associated with higher levels of happiness at the top end of the income distribution (e.g., at ,000 compared with 5,000).