“Whoever loves money never has money enough; whoever loves wealth is never satisfied with his income.” King Solomon
A study published by the National Academy of Sciences demonstrated a strong correlation between income and life satisfaction, as well as income and “emotional well-being,” up to $75,000 in annual income. After that, the study finds that life satisfaction and happiness leveled off.
It is a common misunderstanding and widespread belief that high income are associated with success, contentment and happiness. But this belief is mostly illusory.
A lot of people believe also that accumulating significant wealth is somehow equates with success, contentment and happiness. Yet, people with above-average income and significant wealth are relatively satisfied with their lives to a point, but are barely happier than those who live paycheck to paycheck.
Moreover, the effect of income on life satisfaction seems to be exceptionally transient. People tend to exaggerate the contribution of income to happiness because they focus, in part, on conventional achievements when evaluating their life or the lives of others. King Solomon asserted a couple of thousands of years ago that, “Whoever loves money never has money enough; whoever loves wealth is never satisfied with his income.”
Several 2018 studies by the National Institutes of Health found that even among millionaires, more wealth can lead to more happiness. Interestingly, they found that the source of the wealth also mattered; self-made millionaires were happier than lottery winners.
Some people are quick to say, “Well, I’d rather be happy than rich.” Wealthy people wonder why anyone questions that you can be both. However, the happiness wealth brings alone is at best fleeting unless income and wealth are closely aligned with your life’s purpose, to your continued learning and growth, to your practicing gratitude and to your helping others.
And while wealth can’t “buy happiness” per se, it can buy you more time with your family and friends – which, presumably, would make you happier. You can use wealth to switch to a single-income household or to help you and your partner retire young and raise children full-time. For that matter, you can use it to reclaim more of your time to do anything you want.
Combine Building Wealth with Purpose, Growth and Helping Others
“I would rather have it said ‘He lived usefully’ than ‘He died rich.’” Ben Franklin
Founding Father Benjamin Franklin lived his life not in terms of how much wealth he could accumulate, but rather in terms of how many people he could help. To him, being useful and continuing to improve were more important and represented there own reward.
Wealth and income as forms of fulfillment and happiness in Franklin’s views were just an illusion. Franklin did not want his life to be measured by dollars and cents. He wanted to live a more meaningful one, one where he consistently improve himself and always positively influence other people. He live a life that counted to himself, others and a grateful fledgling nation.
Key takeaway is that high income and significant accumulated wealth alone does not guarantee a life of happiness and success unless it is closely aligned with your knowing your purpose in life, your continuing improvement and growth to reach your maximum potential, your gratitude and finally your strong desire to help others.
References:
- https://www.moneycrashers.com/wealthy-money-mindsets-financial-success/
- Kahneman D, Krueger AB, Schkade D, Schwarz N, Stone AA. Would you be happier if you were richer? A focusing illusion. Science. 2006 Jun 30
- https://www.success.com/john-c-maxwell-the-3-things-i-know-to-be-true/
In the book “Don’t Sweat the Small Stuff, and it’s All Small Stuff”, Psychotherpist Richard Carlson P.H.D talks about one hundred things in life that are seemingly insignificant yet they tend to take up our time, stress us and keep us from achieving our best results.
Carlson says that “Often we allow ourselves to get all worked up about things that, upon closer examination, aren’t really that big a deal. We focus on little problems and concerns and blow them way out of proportion. A stranger, for example, might cut in front of us in traffic. Rather than let it go, and go on with our day, we convince ourselves that we are justified in our anger. Try to have compassion for the person and remember how painful it is to be in such an enormous hurry. This way, we can maintain our own sense of well-being and avoid taking other people’s problems personally.”