Money Can Equal Happiness
The Beatles sang that money can’t buy love, but turns out that it may buy happiness. Researchers at the National Academy of Sciences have found that our emotional well-being—happiness—increases along with income up to about $75,000, according to one report.
For folks making less than that, says economist Angus Deaton, “Stuff is so in your face it’s hard to be happy. It interferes with your enjoyment.” Happiness got better as income rose but the effect leveled out at $75,000. But their overall sense of success or well-being continued to rise as earnings grew beyond that point. “Giving people more income beyond 75K is not going to do much for their daily mood, but it is going to make them feel they have a better life,” Deaton says.