Magazine

How Money Really Relates to Happiness

By Sallie Krawcheck

I’m a research analyst by training. I love research insights.

Particularly research insights that tell us how to live a better life. And most particularly around money, since money is women’s #1 source of stress. And also because, you know, Ellevest.

That’s why I perked up when I saw some research in Harvard Business Review that says savings are more important than earnings for happiness.

This backs up Ellevest’s own research, which says that the act of saving and investing is the #1 driver of women’s confidence in our financial future.

So saving and investing takes money and turns it from women’s #1 source of stress to women’s #1 driver of confidence.

(For those of you knee-deep in remote kindergarten, yes, that’s the equivalent of “taking that frown and turning it upside-down.”)

Earning more is glittering. It’s the thrill of the raise. It’s playing offense. It’s telling the story of “how I did it” over a socially distanced glass of wine. It’s high fives all around. Give “earning more” a personality test and it would definitely be an extrovert.

Saving more and investing more is “earning more’s” quieter younger sister. It feels more like playing defense. There’s not such a dramatic story to tell over that glass of wine. It’ll never be a best-selling book and glamorous book tour. It’s the introvert of the family.

But still waters run deep. Saving more can make you happier.

Hey, it’s just science.


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Disclosures

The Ellevest 2018 Money Census (the “Census”) was conducted online between November 3-10 2017 in conjunction with Chadwick Martin Bailey. Base: Women (1,034), Men (1,009), Women of Color (231), Non-Women of Color (808), LGBTQ (200) and Non-LGBTQ (968). Participants are US residents who range in age from 22-65, more than 90% of whom are above the age of 30. All participants represented having personal incomes of $50,000 or greater and were involved in managing their personal or household finances. Not all questions were answered by Census participants. The Census was funded by Ellevest.

© 2020 Ellevest, Inc. All Rights Reserved.

The Ellevest 2018 Money Census (the “Census”) was conducted online between November 3-10 2017 in conjunction with Chadwick Martin Bailey. Base: Women (1,034), Men (1,009), Women of Color (231), Non-Women of Color (808), LGBTQ (200) and Non-LGBTQ (968). Participants are US residents who range in age from 22-65, more than 90% of whom are above the age of 30. All participants represented having personal incomes of $50,000 or greater and were involved in managing their personal or household finances. Not all questions were answered by Census participants. The Census was funded by Ellevest.

Information was obtained from third-party sources, which we believe to be reliable but not guaranteed for accuracy or completeness.

All opinions and views expressed by Ellevest are current as of the date of this writing, for informational purposes only, and do not constitute or imply an endorsement of any third party’s products or services.

The information provided does not take into account the specific objectives, financial situation or particular needs of any specific person.

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Sallie Krawcheck

Sallie Krawcheck is the Co-Founder & CEO of Ellevest. Her life’s mission is to help women to reach their financial and professional goals.