Study Finds Income Affects Happiness Across States

A recent Purdue University study indicates that a household income of approximately $105,000 is ideal for life satisfaction in North America, with varying income needs across U.S. states based on cost of living. GOBankingRates has analyzed how much money is required to be happy in each state, revealing that while some states like Mississippi have lower thresholds for emotional well-being, others, particularly in the Northeast, demand significantly higher incomes. Additionally, another report from GOBankingRates highlights how $750,000 in savings combined with Social Security could last different lengths of time in various states, showing that retirement costs can vary widely, especially in high-cost areas like Massachusetts and New York. The average income needed to live comfortably varies as well, with states like Massachusetts requiring over $116,000 annually, reflecting the diverse economic landscape across the country. Moreover, living solely on Social Security presents challenges, prompting many retirees to seek lower-cost living areas or additional support programs to stretch their benefits. These findings collectively underscore the complexity of financial planning in relation to income, happiness, and retirement in the U.S.