, drew on 1.7 million experience-sampling reports from 33,000-plus employed US adults using the iPhone app Track Your Happiness. Developed by former software product manager and Wharton fellow Matthew Killingsworth, the app analyzes the relationship between income and happiness by randomly asking users to log their activities and feelings.
The study revealed that the turning point for financial happiness is an income of $85,000. Those earning less than that are less happy on average than the overall average happiness, while those earning over $85,000 are happier. The study measured happiness in two ways: evaluative, looking at life satisfaction, and experienced, looking at feelings. Happiness increased pretty steadily as income increased in both cases, but significantly more so for life satisfaction than for feelings.
TLDR; In the US in 2010, you needed $75,000 to be happy($90,000 adjusted for inflation). A new study finds that $85,000 is the turning point.
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