Recent studies have shown that the phrase, “money can’t buy happiness” may not necessarily be correct. While it’s true that money in not a prerequisite for happiness, it can make life easier and promote happiness, but only if it is spent in the right way.
In the animated video below, AsapSCIENCE explains that “people who spend their money on others feel happier; and while people who spend it on themselves don’t necessarily become less happy, their happiness is unchanged.”
But this doesn’t mean that we shouldn’t use our expendable income to treat ourselves once in a while. The key, according to the video, is to spend it on experiences as opposed to material things. “Instead of buying a $3,000 rug that provides a one-time experience for the next ten years, a $5 latte with friends will be different each time offering unique access to happiness opportunities.”