Turning wealth into happiness: Why a plan makes a difference

The saying “money can’t buy happiness” is true. Wealth doesn’t automatically mean you’ll be happier, but it could give you the freedom to focus on the things you enjoy and boost your wellbeing as a result.

How you use money is just as important as having it when assessing whether it would improve your happiness. Intentional financial decisions that are made based on your priorities and goals could promote a greater sense of joy.

How money could improve your happiness

First, simply having money in the bank or a higher income could improve wellbeing.

Indeed, a survey carried out by Virgin Money (1 October 2025) suggests 89% of Brits experience money worries, with 1 in 3 stating they regularly worry about their finances. Not only can this cause financial stress, but it could also affect other areas of life, such as relationships with loved ones.

Feeling confident in your finances can ease concerns and enable you to focus on the things you enjoy.

Finances can also influence other areas that are important for wellbeing.

A Harvard study (16 February 2023) has been tracking what makes people happy for more than 85 years. A common factor among the happiest people – the ones who stayed healthy as they grew older and lived the longest – is that they had the warmest connection with other people.

Indeed, the director of the study Robert Waldinger said: “In fact, good relationships were the strongest predictor of who was going to be happy and healthy as they grew old.”

The findings aren’t too surprising. When you ask people what is important to them, family and friends usually appear high on the list. Social connections are often essential for happiness.

At first, it might seem like your finances have little influence over social connections. However, financial freedom could give you more time to spend with loved ones and the opportunity to enjoy new experiences with them.

Similarly, you might want to volunteer to meet new people and support your local community. Being able to reduce your working hours could allow you to pursue that goal.

Why a financial plan could provide direction

So, money could support your happiness, but it isn’t a given. You need to consider what improves your wellbeing and how to use your wealth in a way that allows you to focus on that.

The good news is that’s the essence of a financial plan – bringing together your finances and aspirations to create a tailored plan.

After working with a financial planner, you might find that you’re in a better position than you thought.

Perhaps you’ve been daydreaming about exploring new locations, but you’ve held off booking anything because you were worried about how it would affect your long-term finances. You may discover you have enough to fly to exotic destinations already, and a plan gives you the confidence to do it.

In these cases, a financial plan could mean you don’t miss out on opportunities to improve your happiness because you’re unsure about your finances.

It’s also possible that you discover a gap, which could place your happiness at risk. For example, if you want to travel in retirement, you might find you aren’t on track to achieve this.

Identifying the gap now could mean you’re in a position to make higher contributions to keep your plans on track and enjoy the retirement you’ve been looking forward to.

Get in touch

If you’d like to build a financial plan that’s focused on your happiness and wellbeing, please contact us. We can work with you to build a tailored plan that suits your aspirations.

Please note: This article is for general information only and does not constitute advice. The information is aimed at individuals only.

All information is correct at the time of writing and is subject to change in the future.