Talk Money: September 25, 2015

  • 25/09/2015
(Paul Henry)
(Paul Henry)

Does money make you happy?

It's an age old question, but the latest Sovereign Wellbeing Index sheds some light on the issue.

Its wealth and wellbeing in New Zealand report indicates that "it is not how much you earn, but rather what you do with it that counts when establishing the relationship between wealth and wellbeing".

There is no doubt that income is important. People with a household income of more than $100,000 were almost three times more likely to rate highly for wellbeing than people whose household income was less than $30,000.

But a more important factor in determining people's happiness was their ability to comfortably live within their means on whatever income they do earn.

People living comfortably within their means on their present income were 11.8 times more likely to be in the top wellbeing group than those finding it very difficult on their present income.

Watch the video for the full Talk Money segment.