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How much money do people need to be happy?

Many people spend a lot of time working to get the money that will make them feel happy. However, the same people keep working even when they’ve got the money. One keeps wondering what these people keep working for if they’ve got the money in the first place. For instance, if you’re looking for something and get it, will there be any reason to continue with the search? Various studies show different amounts that people need to be happy. For instance, some found for people between 18-34 the number was £25.5 million. Keep reading to find out how much various individuals require to be happy.

Before indicating the amount required, it’s critical to define what you want to feel happy. In this regard, some people are working on getting a substantial amount to make them lead a comfortable retirement. Yet, others want to purchase the best home that’s free from the burden of debts. When you have a clear answer on what you want in life, you decide on the method you want to apply to build and fund your vision.

How much do you want to be rich?

Some people say that they can only be happy when they’re rich. Scholars have come up with various amounts that people require to be rich. For instance, Prof Dennis Gilbert at Hamilton College defines the rich as individuals who live on their investments rather than depending on the monthly salary.

If you apply the above yardstick, you’ll realize that even a professor earning $1 isn’t as rich as an individual earning the same amount from their various investments, such as real estate and stocks. While the investor can sit at home and earn income from their investments, the professor may lose income if they don’t work.

Rich isn’t equivalent to happiness 

Research shows that when your annual incomes exceed $75,000, your daily experiences do not improve to accommodate your improved financial status. Although you’re satisfied because of your financial breakthrough in life, happiness may be a different thing altogether. 

To attain a level of satisfaction, most people try to work towards having investments that generate over $75,000 yearly. Their interest is to lead debt-free life, having a diversified investment portfolio, having an insurance cover, and creating different income streams.

What research says about money and happiness?

Research shows that approximately individuals require $60,000 to $75,000 for emotional health. However, if the same individuals have families, the amount required would be slightly higher. You should, however, note that the above figures apply to people staying in the US. 

According to Gallup World Poll, other regions with lower living standards may attain happiness with a lower amount than the $75,000. However, the global average of $60,000 to $75,000 is still valid.

Conclusion 

In case you thought that when you keep accumulating resources may make you happy, you may not be wholly correct. Research shows that globally the average amount people require to be happy is $95,000. However, because happiness depends on each individual’s circumstances, there may be variations on the amount of money that each person requires to be happy.

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