As you may already know, money doesn’t buy you happiness. Professors Alan Krueger and Daniel Kahneman explain:
The belief that high income is associated with good mood is widespread but mostly illusory. People with above-average income are relatively satisfied with their lives but are barely happier than others in moment-to-moment experience, tend to be more tense, and do not spend more time in particularly enjoyable activities.
The ‘happiness threshold’ in the US seems to be about $12,000-15,000 per year. Any less than that really means living hand-to-mouth, which is understandably quite stressful. Earning above that threshold, however, is not strongly correlated with more happiness. In fact, people who earn less than $20,000 are often happier and more satisfied than those earning more than $100,000. (more…)