To think that people who say “money doesn’t matter” just want to feel better about being broke?

[ThisSnappyNewt]

If money isn’t important, why do all rich people seem happier than you?

Studies show money DOES make you happier - but only up to a point. I think it was at about £40000 a year (this might need adjusting for inflation) where after that point more money didn’t add more happiness. Obviously being unable to pay bills and buy food is very stressful. But once you get to a point of affording all the necessities, twice as much money doesn’t equal twice as much happiness, and too much can also be stressful apparently (because then you feel the pressure of keeping up a lifestyle and the “lifestyle creep” is endless so you can never keep up.)

You said it yourself in that they “seem” happier - but are they really happier? Or does the money just help them hide any problems they actually have?

A US study found that yes, money does make you happier, but only up to a certain point, around $100,000 income. Beyond that, the incremental gains were tiny up until about $170k, beyond which there was no significant difference.

It is the law of diminishing marginal utility. If you have very little money, then an increase of say £1000 is going to bring a greater gain in happiness than if you are already wealthy. Or you can use the Mars Bar example we were taught in A level Economics. One Mars bar when you’re starving hungry is fantastic. The second one is welcome but you won’t get the same satisfaction as you did from the first. Eventually, you reach a point where additional Mars Bars bring no happiness and you will tip over into negative utility, where you are sick if you have to eat another one.

Yes money matters and it’s preferable to have enough to not have enough.
But I do think people overestimate how much money will make them happy.

My parents are genuinely happy - interests they enjoy, love their family and friends, laugh a lot and don’t consider “ stuff” a source of joy at all.

It’s refreshing when you stay actually because you realise what a load of unnecessary crap actually takes up space in your brain.

I have a friend who’s loaded. Thousands in the bank, and that’s where it stays. She sits in the cold, eats reduced food and doesn’t do anything or go anywhere. What fun is that! She has no kids or family to leave her money too do what’s it all for?
Another friend is wealthy but is always in and out of hospital due to ill health!
You don’t need loads of money to be happy. I remember watching a documentary about power working mums. One mum was away on business all week and came home on the Friday evening with a present for her 10year old daughter. She gave the daughter the present and told her daughter to run away and play, the wee girl said but mummy I need to tell you stuff, the mum replied I’m tired from working I’ve spend £100 on you and you don’t even want it, now go and play. The wee girl was absolutely crushed.
All that wee girl wanted was some of her mums time and she couldn’t even get it.

I know some very wealthy people who are miserable, so money can't buy you happiness that is true ... but I'd rather cry in Ferrari than a Toyota 😆