Can money actually buy happiness?

Here is what Nobel laureate Daniel Kahneman says in his excellent book Thinking, Fast and Slow:

Being poor makes one miserable, and that being rich may enhance one's life satisfaction, but does not improve experienced well-being.

So, money might stop you from feeling wretched, but how much can it actually boost happiness? Here is the bombshell discovery:

The satiation level beyond which experienced well-being no longer increases was a household income of about $75,000 in high-cost areas (it would be less in areas where the cost of living is lower). The average increase of experienced well-being associated with incomes beyond that level was Zero... (this refers to a US household)

To me, this is an incredibly important and comforting finding—the idea that there is a finite number, not some unimaginable figure, beyond which more money stops mattering for happiness. That number might seem high here, but it’s actually quite reachable for many people in Europe, maybe around $5,500 a month per household. That's it. You don't need more, because once you hit that point, you simply can't feel the difference; extra cash stops impacting your day-to-day happiness. Zero. Cristiano Ronaldo might earn 200 times more, but he isn't going to be any happier than the average Dane.

Check out this useful AsapScience video on the topic:

Memory isn't lying to me here. Research suggests that our sense of satisfaction regarding our finances doesn't actually hinge on absolute numbers. Instead, it’s all about how we stack up against everyone else.

To put it bluntly: you're happier if you're outearning your neighbor. In a neighborhood where the average income is $60,000, someone pulling in $80,000 will feel more successful than someone making $200,000 in a zip code where the average is $250,000.

Maria Barnes said:Here is what Nobel laureate Daniel Kahneman says in his excellent book Thinking, Fast and Slow:

Being poor makes one miserable, and that being rich may enhance one's life satisfaction, but does not improve experienced well-being.

So, money might stop you from feeling wretched, but how much can it actually boost happiness? Here is the bombshell discovery:

The satiation level beyond which experienced well-being no longer increases was a household income of about $75,000 in high-cost areas (it would be less in areas where the cost of living is lower). The average increase of experienced well-being associated with incomes beyond that level was Zero... (this refers to a US household)

To me, this is an incredibly important and comforting finding—the idea that there is a finite number, not some unimaginable figure, beyond which more money stops mattering for happiness. That number might seem high here, but it’s actually quite reachable for many people in Europe, maybe around $5,500 a month per household. That's it. You don't need more, because once you hit that point, you simply can't feel the difference; extra cash stops impacting your day-to-day happiness. Zero. Cristiano Ronaldo might earn 200 times more, but he isn't going to be any happier than the average Dane.

Check out this useful AsapScience video on the topic:

I actually own that book, but I just haven't gotten around to reading it yet. I think I've already heard that specific figure mentioned somewhere.
What I find so baffling is why people don't just take advantage of an opportunity once they finally get their hands on it. Is it some kind of dopamine addiction or something? 🤔

bluemason3 said:Memory isn't lying to me here. Research suggests that our sense of satisfaction regarding our finances doesn't actually hinge on absolute numbers. Instead, it’s all about how we stack up against everyone else.

To put it bluntly: you're happier if you're outearning your neighbor. In a neighborhood where the average income is $60,000, someone pulling in $80,000 will feel more successful than someone making $200,000 in a zip code where the average is $250,000.

That doesn't quite line up with my own experience, though. I tend to feel pretty down when I'm surrounded by poverty, but seeing someone drive a nicer car or wear more expensive clothes doesn't really touch my own sense of happiness at all.

I can't get behind that.

Look, money matters—obviously. You need it to survive. But for me? There isn't enough cash in the world to buy the stuff that actually makes life worth living.
Real friendship, love, and staying healthy. That's the core.

Don't get me wrong, crying in a luxury penthouse at the Ritz is probably a little easier than sobbing in some random roadside diner, but still... you can take all the money in the world and it won't mean squat if you're lonely. And hey, loneliness is subjective, I get that.
(Kind of like that feeling where you're in a crowded bar in NYC but you still feel totally alone)

I mean, health is pretty much tied directly to how much cash you have in the bank, I guess 🤷

Oh, really?

So if I had a million bucks, suddenly my depression, anxiety, kidney stones, and PCOS would just vanish?🍿

Sure, money can buy you certain treatments or meds, but there’s absolutely no guarantee it actually fixes you.

In my book, "being healthy" and "paying to manage medical issues" are two completely different things.

My take on the title question? Absolutely. Especially if you need specific procedures or treatments that are just out of reach without some serious cash. It doesn't even have to be some life-threatening illness—even something just annoying, like psoriasis, can be handled way better with money.

And let's be real—money makes curing loneliness a whole lot easier, too.

I guess if you actually have an imagination, then money can buy you happiness—but if you don't? Well, then nothing's gonna help you.👍

bluemason3 said:Memory isn't lying to me here. Research suggests that our sense of satisfaction regarding our finances doesn't actually hinge on absolute numbers. Instead, it’s all about how we stack up against everyone else.

To put it bluntly: you're happier if you're outearning your neighbor. In a neighborhood where the average income is $60,000, someone pulling in $80,000 will feel more successful than someone making $200,000 in a zip code where the average is $250,000.

That’s basically it.
I know someone who lives incredibly well, but because she hangs out with people earning massive amounts by American standards, she always feels broke.

And sure, I think you can "buy" happiness.
Money opens doors, and from there, the logic follows.

In New York City, $75,000 isn't even enough to cover the bare essentials, so I find myself disagreeing with that specific figure. I have no idea what year that book was actually published, but the math certainly doesn't hold up today.
I’ve also been reflecting on the idea that money doesn't inherently guarantee happiness. While it undoubtedly smooths out the rough edges of life, we see plenty of wealthy individuals who are deeply unhappy.
Happiness is something you simply cannot purchase, largely because the definition of fulfillment is entirely subjective to each individual.
Finding inner peace and a sense of genuine contentment is far more vital for one's well-being; often, it is the smallest things in life that carry the most weight.
Money serves to make life easier, provided it doesn't become your primary obsession. Once the pursuit of wealth becomes the central focus, happiness vanishes, replaced by an endless, hollow desire for more, more, and more.

Brandon Lopez6 said:Oh, really?

So if I had a million bucks, suddenly my depression, anxiety, kidney stones, and PCOS would just vanish?🍿

Sure, money can buy you certain treatments or meds, but there’s absolutely no guarantee it actually fixes you.

In my book, "being healthy" and "paying to manage medical issues" are two completely different things.

Money gets you access to top-tier hospitals, specialists, and advanced therapies—which basically jacks up your odds of recovery; in plenty of cases, money actually does guarantee a cure, especially when you're looking at medications or procedures that the government won't cover. Money, without a doubt, buys health... for many people, being wealthy is exactly what saved their lives. 😉

OT - I guess I interpret this study a bit differently: maybe it's just one more piece of evidence showing that happiness and money are correlated... essentially, that happiness really can be bought. To me, the specific amount where happiness stops depending on wealth doesn't matter much, especially since a monthly budget of $6,000 is going to remain an impossible dream for most Americans for decades to come.

It’s really all about freedom—how much cash you actually need depends on where you live and the culture you're in. Obviously, being loaded doesn't guarantee happiness (since that's subjective, right?), but it can definitely buy you satisfaction.

Brandon Lopez6 said:Oh, really?

So if I had a million bucks, suddenly my depression, anxiety, kidney stones, and PCOS would just vanish?🍿

Sure, money can buy you certain treatments or meds, but there’s absolutely no guarantee it actually fixes you.

In my book, "being healthy" and "paying to manage medical issues" are two completely different things.

Money isn't a total guarantee for health, but it lets you buy meds, treatments, surgeries, hospital stays, rehab, and decent insurance. Plus, you can survive being sick without your whole family starving, and you can actually afford good food and a decent place to live so your health doesn't tank... So yeah, I guess it's way easier to stay healthy and recover when you actually have cash.

velvetgull9 said:Money isn't a total guarantee for health, but it lets you buy meds, treatments, surgeries, hospital stays, rehab, and decent insurance. Plus, you can survive being sick without your whole family starving, and you can actually afford good food and a decent place to live so your health doesn't tank... So yeah, I guess it's way easier to stay healthy and recover when you actually have cash.

🤔

If that's the case, why isn't the mortality rate way higher among the poor?
And where do we even draw the line?

In the US, almost everyone working has some kind of coverage, and if you pay an extra $23 a month for supplemental insurance, pretty much everything else is covered.
Does that mean every working person is basically wealthy?

I’m still sticking to my guns: money makes being sick easier, but it can't buy you actual health—nope.
To me, being healthy means actually *being* well, not just managing a bunch of issues.
Money helps with the second part, but it’ll never buy that first one.

Would you rather be healthy and broke, or loaded but constantly running to doctors because your body is failing? I’d pick the first one 🤷 every single time.

Brandon Lopez6 said:🤔

If that's the case, why isn't the mortality rate way higher among the poor?
And where do we even draw the line?

In the US, almost everyone working has some kind of coverage, and if you pay an extra $23 a month for supplemental insurance, pretty much everything else is covered.
Does that mean every working person is basically wealthy?

I’m still sticking to my guns: money makes being sick easier, but it can't buy you actual health—nope.
To me, being healthy means actually *being* well, not just managing a bunch of issues.
Money helps with the second part, but it’ll never buy that first one.

Would you rather be healthy and broke, or loaded but constantly running to doctors because your body is failing? I’d pick the first one 🤷 every single time.

The mortality rate actually is higher among those living in poverty.

Every working person in America has health insurance, and supplemental coverage costs about $23 a month, which pretty much makes everything else free.

Even unemployed people have mandatory coverage, just a FYI—supplemental plans are basically useless when it comes to dentistry, for example... because you'll end up shelling out $67 for a decent filling, and anything major will run you around $333. Dental issues can lead to all sorts of serious complications, so it's easy for your life to get complicated just because you couldn't afford quality care.

Also, when it comes to specialists or surgeries in the US, you might be waiting years... patients are left with expensive private options, and plenty of people simply can't afford to wait. For instance, public hospitals in America often use outdated equipment, so any woman who cares about her health is going to see a private specialist because they have better tech, making the exam much more thorough. And, obviously, that comes at a massive price.

To me, health means being healthy, not just treating a specific problem.

When we talk about healthcare disparities, we're primarily talking about SICK people who need treatment—after all, everyone gets sick at some point in their lives. It seems somewhat irrational to define health as only those who have never been ill.

Money helps with the second one, but it can never buy the first.

It certainly can—as someone mentioned, money buys high-quality food, housing, and regular checkups. You have a much higher chance of falling ill if you're living an unstable life under constant stress, in a cold or cramped apartment, eating cheap junk food, compared to someone who can afford optimal living conditions. So... it's probably more realistic to see a person who is poor and riddled with health problems than someone who is both poor and healthy.

Money literally buys health; that's just a fact, not an opinion.

I used to be one of those people who believed money couldn't buy happiness, but honestly, I’ve changed my mind. Let’s not pretend to be holier-than-thou here—who wouldn't be absolutely thrilled to suddenly have an extra $10,000 falling into their lap?

So, if you want to travel somewhere and that’s what makes you happy—which obviously requires cash—doesn't that just mean money is actually the root of that happiness? Since it's the one thing making the trip possible in the first place...

Right now, I could probably rattle off a hundred different things money could buy that would make me genuinely happy.
And let's not even get started on how much joy we can bring to others just by having the means to help them out.
Sure, you can't put a price tag on true love or deep friendship, but having some extra cash certainly makes those relationships a whole lot smoother.
As for health? You absolutely can buy better care and better outcomes with enough money.
Now, don't get me wrong—money isn't going to fix the problems inside your own head; you have to deal with your own mental baggage. But even there, having financial stability takes a massive weight off your shoulders and makes the struggle a hell of a lot easier to manage.

Look, it’s all fine, but you just can't go around flaunting your cash. You gotta live in harmony and chase stuff that actually matters. Money isn't some big deal on its own—it's just a tool. It's nice to have, sure, but nothing more. You just need to be smart and wise with how you handle it.

Even more than that, plenty of people actually hold back on buying material stuff because they have money. So yeah, cash doesn't mean anything by itself, and it definitely isn't a 100% guarantee for happiness.

No way, absolutely not.

And besides, what even is "happiness" anyway? I mean... there's a lot you could say about that.

wearyeagle10 said:Look, it’s all fine, but you just can't go around flaunting your cash. You gotta live in harmony and chase stuff that actually matters. Money isn't some big deal on its own—it's just a tool. It's nice to have, sure, but nothing more. You just need to be smart and wise with how you handle it.

Even more than that, plenty of people actually hold back on buying material stuff because they have money. So yeah, cash doesn't mean anything by itself, and it definitely isn't a 100% guarantee for happiness.

No way, absolutely not.

And besides, what even is "happiness" anyway? I mean... there's a lot you could say about that.

If it grants you more freedom and fuels your creativity, then it absolutely buys happiness. In fact, it acts as a gateway to finding it.

Take me, for instance. I can't complain about my job; it’s solid, even creative in its own way. But if I had enough capital to pivot, I could spend countless hours every single day pursuing things that are far more engaging and creatively fulfilling.