MYMM 545: Word of the Week: Money vs Happiness

The Minding Your Money Minute | Business and Personal Finance Tips to Manage Your Money Better

It’s Friday and time for the Word of the Week! Our word this week is Money vs Happiness. Can Money Buy Happiness or are the two not related at all? It’s Friday and time for the Word of the Week! Our word this week is Money vs Happiness. Can Money Buy Happiness or are the two not related at all? I know I’ve asked this question before but as we approach the New Year, perhaps you can look at it with new eyes and ears. Truth is, only you can make the determination and in my opinion, I believe the answer changes with times and circumstances. According to a study by According to a new study from Princeton University's Woodrow Wilson School, it sort of does — up to about $75,000 a year. They concluded that the lower a person's annual income falls below $75,000, the unhappier he or she feels. The problem they say is that if you don’t think that money can buy happiness you are not spending your money in the right way. In fact, the name of the study, If Money Doesn’t Make You Happy Then You Probably Aren’t Spending It Right kind of says it all. The study concluded that people are making purchasing decisions that just don't translate into happiness. The study identified the number one category of purchases to be positively related to happiness. Surprisingly the top category wasn’t cars, home improvements or even a shiny new bobble from Tiffany’s. The number one category was leisure activities: vacations, entertainment, sports and equipment used to enhance an experience such as golf clubs, yoga mats or a surf board. Thus, buying authentic memorable experiences is the path to using your money to buy happiness. Our word of the week: money vs happiness. Can money really buy happiness – only you can answer that question? But I tend to go along with the study – if you don’t think money can buy happiness, you’re probably shopping in the wrong places! And, that’s the minute for today. Wishing you a very happy holiday from the Minding Your Money team. Oh, I almost forgot – for a limited time you can get my new ebook Beginner’s Guide to Minding Your Money for FREE at the following places: Nook books at Barnes & Noble, iTunes, Kobo and on my book website at mymbooks.com. Thanks for listening and as always remember that minding your money really is the path to a richer life!