Ep 112- How to Spend Money So It Actually Makes You Happier (The New Science of Money and Happiness)
Money can buy happiness. There, we said it.
But before you sprint toward a yacht, a five-star hotel, or a deeply unnecessary espresso machine, there’s some fine print.
For years, the popular story was that money buys happiness only up to about $75,000. After that, more income supposedly stopped moving the happiness needle. But updated research on money, happiness, income, and well-being suggests the relationship is more nuanced.
In this episode of Management Muse, Cindi Baldi and Geoffrey Tumlin unpack the newer findings and explore why the real question is not just, “Does money buy happiness?” but “How do you spend money in ways that actually improve your life?”
It’s a smart, funny, science-backed guide to getting more happiness per dollar, with practical takeaways for anyone trying to spend better, stress less, and understand what money means for employee well-being.
Episode Highlights
Why the old money-happiness story was too simple
What newer research reveals about income and well-being
Four ways money can actually improve happiness
How expectations shape satisfaction
What managers should understand about money, stress, and employee well-being
Watch This Episode on YouTube: https://youtu.be/UHo5MdYok2A
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Want to Go Deeper? Check Out Our Recommended Reading:
Kahneman, Daniel, and Angus Deaton. “High Income Improves Evaluation of Life but Not Emotional Well-Being.” Proceedings of the National Academy of Sciences, 2010. https://www.pnas.org/doi/10.1073/pnas.1011492107
Killingsworth, Matthew A., Daniel Kahneman, and Barbara Mellers. “Income and Emotional Well-Being: A Conflict Resolved.” Proceedings of the National Academy of Sciences, 2023. https://www.pnas.org/doi/10.1073/pnas.2208661120
Dunn, Elizabeth, and Michael Norton. Happy Money: The Science of Happier Spending. Simon & Schuster, 2013. https://a.co/d/0aK2M6pG
Osnos, Evan. “The Haves and Have-Yachts.” The New Yorker, Jul. 2022. https://www.newyorker.com/magazine/2022/07/25/the-haves-and-the-have-yachts
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