Study shows You Don’t Get Happier as You Receive More Money

You’re a CEO, you’re obviously being compensated well for your work. But how happy, are you really?

A 2010 study by Kahneman & Deaton (2010) found that on average, when you make more than $75,000 per annum, your day-to-day happiness won’t necessarily improve. In 2014, it was noted that with inflation, this number has risen to $83,000.

The average income of CEOs in the United States is 354 times more than their average employees.

In 2015, Dan Price, Gravity Payments CEO raised the minimum salary of his company to $70,000 by giving up a big part of his annual pay down to $70,000.

When asked about this move that brought him attention, Dan Price, in a CNBC interview last April 18, 2016 said that “It’s about purpose, service, and making a difference by staying focused on our main goal.”

Have you taken the time to assess how you feel about your achievements? How do you feel about your life? Kahneman & Deaton (2010) define this as life evaluation. These are your thoughts about life when you think about it.

The findings of their study has shown that having a higher income can buy life satisfaction. It doesn’t buy happiness.

Dr. Sarah Newcomb (2016) says that how we talk about money has an effect on our core beliefs about money. How has this affected your spending patterns and habits? According to her, writing your own financial story helps you gain insight and perspective. It helps to take a quick look at the significant people in your life and their attitude with money, your own relationship with money, your own views of class differences and how these have affected you, your own feelings about your own finances at the moment, and its role in your life in general.

Your attitude about money as well as the happiness you derive from it can certainly help you in the long run. Will you use it to grow and evolve or will you use it to further your ambition? To what extent do you allow earning money to motivate you and what you do? How do you measure your own success?

Some advice of Dan Price includes a focus on health, exercise, and his diet. “Those things are really going to sustain you because it’s not a sprint, it’s a marathon.” Price resonates what a true evolutionary leader would do. Sticking to your goals and what you believe in, giving up what he felt was an excess of what he needed, and taking care of his own physical well-being.

What is your financial story? How do you relate happiness with money? How does your compensation affect your performance?

Insight:

“Money never made a man happy yet, nor will it. There is nothing in its nature to produce happiness. The more a man has, the more he wants. Instead of filling a vacuum, it makes one.” ~ Benjamin Franklin

*****

The Evolutionary Leader mockup LinkedIn 2Is there another way to achieve happiness instead of monetary and extrinsic means?

The Evolutionary Leader: 5 Steps to Develop People & Performance is a must-read guidebook for everyone. People just like me and you, who have to potential to evolve and transform the results you get at home, in the office, in your community, and on our planet .

Get your copy of The Evolutionary Leader and upgrade your Leadership Capability today. 

 “Timothy J. Carroll describes, in an easy to read way, how the human mind functions and how leaders make use of it. He reveals how to shift your performance and understanding of how you work as a human being. These steps are simple yet powerful and get dramatic results for the reader.” H. Arne Maus, Main Developer & Senior Consultant, Identity Compass / Author of “Forget about Motivation”

I had been waiting on the edge of my seat to read The Evolutionary Leader and I can put my signature on it and say that this will take my coaching to the next level. Thanks Timothy for leading me to the Path and being my guide when I was in need of it!Lee Baxter, Head Goalkeeper Coach, Supersport United FC, South African Premier League 

What an enlightening book Timothy J. Carroll has given us based on his practical experience as a world class athlete and consultant of leaders in multinational companies. If you don’t read any other book except The Evolutionary Leader this year, you won’t be disappointed. Thank you for the tools of change.Christer Sjostrom, when he was Senior Vice President, Nordic-Baltic Zone – Solutions and Services at Schneider Electric

Contact Information:

carrollconsultancy.com/contact
© 2015 The Carroll Consultancy Group. All rights reserved.