Key Highlights

  • Well-being rises with income, even past $75,000/year, according to new research study
  • Higher incomes associated with BOTH feeling better moment-to-moment AND being more satisfied with life overall

New Study Finds Relationship Between Income and Well-Being Keeps Improving as Income Grow

In a new study recently published by The Wharton School at theUniversity of Pennsylvania, increasingly higher incomes “may still have potential to improve people’s day-to-day well being, rather than having already reached a plateau…”

In other words, this study suggests that the more money one earns, the happier one feels on a day-to-day basis and the more satisfied  one feels about life overall.

Does Amount of Money Impact Amount of Happiness?

Whereas previous research indicated that earning $75.000/year was the maximum amount of money that could impact happiness, this latest research indicates that the sky’s the limit.  People’s happiness quotient or sense of well-being in the world continues rising as does their earnings.

How Can Money Buy Happiness?

Though speculative, the researchers for this latest study suggested possibilities of how money and increasing earnings  can buy higher levels of well-being or happiness:

  1. More Comfort – Having increasing ability to purchase things that “reduce suffering” and provide ease, relief and/or security translated into having fewer negative feelings and worry.
  2. More Control – Having a sense of control of one’s life or, not being a victim, translated into a 74% association between income and well-being/happiness via this study.
  3. Money Matters – Not everyone participating in this research study cared about money but for those who did, having money impacted their perceived well-being or happiness levels. Lower income earners were happier if they didn’t care about having money. Higher income earners were happier if they cared about having money.
  4. Having money didn’t translate into having more problems.


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