Happiness isn’t tangible. It’s a feeling that means different things to different people.

What does money have to do with happiness?

Depending on who you ask, the answer can range from everything to nothing. From a realistic viewpoint, having money will not guarantee happiness, but not having enough money could make us unhappy and stressed.

We believe that money, when used properly, can actually be used to “buy” happy moments. Here’s how.

1. Buy experiences, not things

Experts believe that spending money on experiences, such as a vacation or adventure sports, produces happiness that lasts longer compared to spending the same money on physical things. The reasoning is that experiences stay in the memory longer, and can’t be compared with someone else’s experience.

So, the next time you want to remember fondly what you spent your money on, try a road trip instead of a new smartphone whose technology will be obsolete in less than a year.

2. Spend on others

Research has found that spending money on others, generally friends or family, helps you derive greater happiness as compared to spending on yourself. So, treat your loved ones to a great gift and let their happiness add to your own.

Giving to charity and sharing your wealth with those who need help is another great way to derive meaningful joy.

3. Buy happiness in bite-sized pieces

Small indulgences, such as an ice-cream or even a head massage the next time you go to a hair salon are likely to give you greater joy than a one-off big ticket purchase. The key is to go for small things that give you several small bursts of happiness.

4. Buy what you like, not to keep up with others

Buying based on what you like versus trying to keep up with your peers has been shown to provide greater joy. Your individuality, when it reflects in the things you buy, tends to bring greater satisfaction to you.

5. Buy more free time

Spend on outsourcing things which save you time such as hiring help. You will have more time to spend on things you like to do rather than boring chores which you would rather avoid.

6. Spend on your passion or hobbies

Spending on something you enjoy doing, such as a sports club membership, Lego sets, or even video games, can directly enhance your happiness.

But remember…

While spending can indeed buy happiness to a certain extent, don’t forget to save up for your long term non-negotiable goals like retirement. While it cannot contribute directly to your happiness, it will certainly help you live a comfortable retired life and not be constantly stressed about your financial situation.

While you figure out how you will buy happiness, why not consider how you can get more time to enjoy, with Scripbox. Curious? Find out more here.