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How to Buy Happiness

"Money can't buy happiness" is another one of those phrases that you've probably heard enough times to make it nearly meaningless - especially if you've got extra money in your bank account right now and you're hoping to buy yourself a little happiness with it.

Sometimes we do want to treat ourselves with some kind of reward for our hard work, and there's nothing wrong with looking for the most happiness-inspiring way to spend our money.

It turns out the best way to get the most happiness from your spending money is to buy experiences instead of physical objects. That means spending on vacations or concerts or museum admission, rather than clothes or jewelry or tech gadgets.

Not only are people happier with their initial purchase when they buy an experience, but their satisfaction with the purchase also tends to get even higher over time. For physical purchases, it's the opposite: people tend to feel a decreased satisfaction over time, and more concern about whether or not the purchase was a smart one.

One nice thing about the finding that experiences make for happier purchases is that even when you don't have extra cash lying around, you can find these kinds of memorable experiences locally for free.

But before you book that vacation, here's one more thing to consider-- people who give money to charity report more feelings of happiness and contentment than those who do not.

- Brigitte