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The Relationship Between Money and Psychology

The Relationship Between Money and Psychology

Money is an important part of our lives. Many activities such as earning, spending, saving and investing are factors that affect our psychology. So what is the relationship between money and psychology? Does money bring happiness? Is money anxiety caused by depression or anxiety? Is money management related to our personality traits? You can find the answers to these questions in this blog post.

Money and Happiness

The relationship between money and happiness is a widely researched topic in the field of psychology. In general, it has been observed that earning money increases the level of happiness, but after a certain point, satisfaction is reached and more money does not affect happiness. Although this point varies from country to country, on average it is around 75 thousand dollars per year. In other words, those who earned below this amount became happier as they earned more money, while those who earned above this amount stated that there was no change in their happiness levels as they earned more money.

However, the effect of making money on happiness is not limited to just the amount. How we spend money is also important. Research shows that we are happier when we spend money on others rather than ourselves. For example, behaviors such as buying a gift for a friend or donating to a charity provide us with both social and emotional satisfaction. Additionally, spending money on experiences increases happiness. For example, experiences such as traveling, going to a concert, or attending a new course give us the opportunity to both learn and create memories.

Money and Anxiety

The relationship between money and anxiety is also an important issue in the field of psychology. Money anxiety is the feeling of anxiety that occurs in situations such as not having enough income or being in debt. People who worry about money may experience psychological problems such as depression, anxiety, and sleep disorders. Additionally, money anxiety can negatively affect relationships. For example, spouses may have disagreements about money or children's needs may not be met.

One way to deal with money anxiety is to make a budget. Budgeting is a useful way to control income and expenses and save money. It's important to be realistic and flexible when budgeting. For example, strategies such as setting aside some money for unexpected expenses or saving money by cutting down on luxury expenses can be implemented.

Another method is to get professional help. Getting psychological support for people experiencing money anxiety can be beneficial both emotionally and behaviorally. Getting psychological support can help a person understand the causes of their anxiety and develop alternative ways of thinking and behaving. Additionally, getting financial advice can contribute to gaining knowledge and skills in money management.


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