How Being Happy Can Help You Earn More

Did you know that people who are generally happy perform better at work and tend to have more wealth? People typically assume that money leads to happiness. However, there is some evidence that suggests the opposite, and that having a cheerful disposition can directly impact your finances.

One study performed by Princeton University looked at income as it related to happiness. It concluded that respondents who made a salary up to $75,000 were content—their happiness did not increase much more with additional earnings. The connection between happiness first, then prosperity also reveals that children during adolescence who were happy early on in life made higher earnings later in their career. Here are some other interesting facts on how a positive outlook can tie to your paycheck:

A happier person tends to make more money on the job because they are more open to new opportunities, challenges, and risks.
Employees with a bright outlook earn more because they contribute to higher morale and productivity.
Organizations with engaged employees achieve twice the net income, which can result in increased pay for those worker.
Positive people who take sick leave, recover faster and are absent from work an average of 15 days less.

Being happy can be contagious and can rub off on co-workers, customers, and your manager which can lead to better performance reviews and increased salary.

Someone with a positive attitude generally has good practices when it comes to their finances, too. Their stress is lower because they are more likely to save money regularly, watch their spending habits, and may also believe that success comes to those who work hard. On the other hand, more than 40 percent of Americans admit that financial stress makes it difficult for them to be happy, and to concentrate at work. There is a way to improve this mindset with these tips:

Set an achievable goal that will give your life direction and help motivate you. Make sure that your goal is realistic. Big or small, it has to be well defined.
Feel good about what you do for a living – jobs that give meaning and purpose are said to be rewarding
Don’t compare yourself to others who you think are happy and successful – make choices that support your own values and well-being.
Stay connected with family, friends, and social circles. These connections could help boost your mood.

Focus on positive relationship. Surround yourself with like-minded people by volunteering for a cause you are passionate about.
Change your thought patterns for the better. If you choose to feel good about your job, you may perform better.

Last, to help move the needle, consider NIHFCU financial literacy tools and webinars that can help with important money management skills and overall financial satisfaction.