A new global study has reignited the age-old debate about money and happiness, revealing that income may contribute more to overall life satisfaction than previously thought. Supporting the study, UAE wellness experts pointed out that “a sense of control over one’s life can increase overall satisfaction.”

Recent research from Wharton indicates that happiness continues to rise with income, extending well beyond the $500,000 (about Dh2 million) annual threshold that was once considered the “satisfaction ceiling”.

According to Matthew Killingsworth, if there is a limit at which money stops influencing happiness, it is probably much higher than previously thought.

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Killingsworth conducted a study involving more than 33,000 working adults in the US, examining their life satisfaction and income. He compared their results to two groups of wealthy individuals from previous studies: one made up of millionaires from around the world and the other made up of the Forbes 400, America’s richest people.

The results were striking: wealthier individuals consistently reported higher levels of happiness, suggesting that if there is a point at which money stops influencing happiness, it may be much greater than previously thought.

While the study does not confirm that money directly causes happiness, it reinforces the growing evidence of a strong connection between the two. “This shows that the link between money and happiness continues to grow, even beyond incomes of hundreds of thousands a year,” Killingsworth noted, adding that “the difference is substantial and significant.”

Wealth shapes well-being

Shedding light on this, UAE health experts pointed out that this study challenges previous ideas about a “satisfaction ceiling” and opens up new discussions about how wealth shapes well-being.

Bushra Khan, emotional wellbeing and transformation coach at Wellth, explained: “The link between wealth and happiness appears to be deeper than we thought. More money offers greater options, whether it’s deciding how to spend time, pursue hobbies, or avoid stressful situations. This sense of control over life can increase satisfaction.”

Bushra Khan

Experts explained that with higher incomes, people can afford enriching experiences such as travel, learning opportunities and leisure activities that contribute to both momentary enjoyment and lasting memories.

Khan added: “Wealth provides a safety net, better healthcare, emergency savings and peace of mind about the future. This reduces anxiety and improves mental well-being. Additionally, for some, financial success provides a sense of achievement and social validation, which can boost self-esteem and personal fulfillment.”

Life satisfaction is complex

While the study suggests that happiness rises steadily with income, that doesn’t mean money can solve everything. Life satisfaction is complex and there are some limits to how much wealth alone can do.

Shereen Abraham, an emotional well-being consultant at Inner Voice Consultancy, noted that the connection between money and happiness is nuanced. She stated that while financial gains can bring immediate joy, the boost is often short-lived. “Studies have shown that people are happy when they get a bonus, a raise, or hit the jackpot — but that happiness is short-term and can wane over time.”

Shereen Abraham

Lasting happiness, she said, comes from autonomy and the ability to shape one’s circumstances, which wealth can help support. “Higher income levels can provide continued security and access to better opportunities, but income is only one factor that contributes to a person’s holistic well-being.”

Autonomy over the use of time

Dr. Ajay Kumar of Prime Medical Center – Deira pointed out that it is not just money but the quality of life it provides that influences happiness the most. “Money, when used wisely, can enhance happiness through social relationships, meaningful spending for others, and greater autonomy in the use of time.”

Ajay Kumar

“However, happiness is a complex subject. Factors such as genetics, health, relationships, free time and purpose probably matter more to well-being than just money,” the psychiatrist pointed out.

Ultimately, while research supports a strong link between money and happiness, experts agree that wealth is only one piece of a larger puzzle in shaping a fulfilling life.

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Nandini Sircar

Nandini Sircar has a penchant for education, space and women’s narratives. She sees the world through a lens of learning: whether it’s the earthly pursuit of wisdom or the otherworldly mysteries of space. In her written universe, women and children take center stage.