It’s OK to want to accumulate more wealth and abundance; where many tend to compromise their well-being is by not establishing a healthy relationship with their money. Regardless of where one fits on a socio-economic scale, without a good relationship with money; total subject well-being may be a challenge to achieve.

MONEY AND YOUR HAPPINESS

A 2020 research article in Applied Research in Quality of Life, cites that when individuals desire money for financial stability and self-integrative reasons, psychological need satisfaction is encouraged and leads to positive well-being. Alternatively, materialism creates a set of unhealthy reasons for desiring money.* 

Also many research studies including ideas going back to ancient Greek philosophies indicate that your subjective well-being is positively influenced by these various motivations:

• Investing in experiential purchases: free time, leisure, hobbies, and generosity (2018, Social and Personality Psychology Compass)^*.
• Spending money on others – spending your money wisely on others out of generosity. Spending money on others makes them happy and contributes to your general happiness^*.
• Spending money on purchases that will save time on tasks (and buy you time) rather than material possessions.
• Spending money on possessions that compliment your personality, rather than buying material items out of impulse or to achieve short-term happiness.

Life satisfaction is higher in households with greater net financial wealth. However, it’s important to note that is isn’t always associated with positive spending habits. Also, many people place focus on their relative income which drives them to try to earn more money; causing unnecessary stress. 

MONEY AND YOUR HEALTH

Money can certainly influence your health. A 2014 review of 272 research papers by the Joseph Rowntree Foundation * surrounding money and health and its affects of the quality of life identified four key ideas:

• Material; having a good income increases subjective well-being because people are able to access goods and services that improve their health.
• Psychosocial – low income is associated with more stress causing biochemical changes in the body.
• Behavioural – those living in undesirable money situations tend to develop unhealthy behaviours such alcoholism.
• Reverse causation – this refers to inadequate health leading to unhealthy money situations. A number of reasons can lead to this such as little or no education and/or ongoing health conditions preventing one to take on employment. 

CULTIVATING A HAPPY AND HEALTHY RELATIONSHIP WITH MONEY

You may be so used to hearing that ‘money can or can’t buy you happiness,’ but have you heard that ‘your happiness can buy you money?’ The idea behind this is establishing core beliefs about your relationship with your money which means: 

• Not fixating on how much or how little you make as long as your most basic needs are being met.
• Making a little extra to pay for leisure activities.
• Saving a portion of your disposable income.
• Making social investments to support your communities and special causes.
• Using your money to make healthier lifestyle choices and also cultivate meaningful relationships with others with the similar interests as you.
• Not defining yourself by your net worth but rather by your level of happiness.
• Being in a job or career because you have a passion for it, not because of the salary it pays you.

At a glance these reasons may not directly point at happiness, but over time they actually do make you more happier, and in the process you will attract opportunities that will ‘buy’ you more money.

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