It’s really interesting to think about whether or money can buy happiness. I know people who don’t have much but seem content. And I also know people who already earn but seem to be filled with contempt. Sure, you can go all philosophical.
How Much Should You Earn a Month to Be Happy
A study by Expensivity revealed the price of happiness by country. For us in the Philippines, it says that Filipinos need to earn at least P110,000 a month or about P1.3 million a year to be happy.
Is P110,000 Really Enough to Be Happy?
Back in 2018, the National Economic and Development Authority (NEDA) says a family of five needs P42,000 to live decently. Take note. Not “happily” but “decently.” The Philippine Statistics Authority, however, says that P12,000 covers the basic needs of a family of five.
To be quite frank, even P110,000 doesn’t seem to be enough, but it does depend on a number of factors. For example, are you single and alone? Or are you with your family?
P110,000 net (which means you should be earning a gross of P140,000+) looks to be enough if you’re single. Even living in Metro Manila, that should be enough for rent or a mortgage to a one-bedroom condo, apartment, or a townhouse.
It should also be enough to cover the monthly amortization and gasoline expenses for a car (compact sedan), living expenses (food, electricity, water, internet, and mobile), and leisure (eating out and hobbies). There’d even be something left for investment and savings.
| Expense | Cost |
| Housing (Mortage/Rent) | P40,000 |
| Car (Amortization, Gas) | P20,000 |
| Living Expenses (Food, Utilities) | P15,000 |
| Leisure (Eating Out, Entertainment) | P10,000 |
| TOTAL | P85,000 |
| Savings | P25,000 |
It’s a bonus if your employer covers things like healthcare, so at least you wouldn’t have to worry about the occasional sickness. You’d even be able to go on trips at least once or twice a year from the savings. For a family of four striving to live a comfortable middle class life? This figure falls short of what I can consider a comfortable life.
Simply adding the cost of living expenses per additional mouth to feed and concerns such as child care and education would easily chew away at the income. Sending both kids to private schools would easily wipe away any disposable income, upping the risk of misery.
If the single person can afford to splurge a bit in terms of what items to buy in the grocery, a family would have to be a bit price conscious with what they buy on a routine basis, like opting for the off-brand Tulip Jamonilla instead of good old Spam.
| Expense | Cost |
| Housing (Mortage/Rent) | P50,000 |
| Car (Amortization, Gas) | P25,000 |
| Living Expenses (Food, Utilities) | P35,000 |
| Education | P20,000 |
| Child Care | P10,000 |
| TOTAL | P130,000 |
At the very least, a family of four should be a two-income household with both earners getting at least P110K to have a some chance at a more comfortable life.
Still, that makes you wonder how people earning just the minimum wage would feel.
How to Make 1 Million Pesos a Year
Making at least a million pesos a year really depends on what you do.
If you go by the conventional white collar employment route, you should be working at least a middle management position in a multinational corporation or BPO.
If you are self-employed or practicing professional, then you should be a lawyer, doctor, or dentist. If you’re an entrepreneur, then your business should already have a stable and strong operation to get such a level of earnings.
Here is a short list of the top-earning professions in the Philippines today:
| Profession | Monthly Income (Ballpark Average) |
| Doctors | P150,000 |
| Lawyers | P120,000 |
| Bankers | P100,000 |
| Software Developers | P80,000 |
| Engineer | P80,000 |
| Aviation Professionals | P100,000 |
Of course, this list isn’t exactly definitive. Doctors can earn so much more than this in a month. Business owners can net much more (especially those that fudge their tax figures). Some influencers, vloggers, and freelance workers who earn in dollars (and also avoid tax) can also earn the equivalent of hundreds of thousands of pesos in a month. Farm owners (not to be confused with “farmers”) can also earn a lot.
Oh, and we haven’t counted corrupt people, right? I mean how can government workers actually get enough to buy mansions and luxury vehicles.
Aside from active income, you can also earn from investments (like if you play the stock market or invest in businesses) and passive income (real estate, rental properties, or interest from lending).
What Does It Mean to Be Happy?
Happiness is often associated with feelings of satisfaction, contentment, fulfillment, and well-being. How the way society works these days, money does help you get those things. It can:
- Free up your time – You can avail of tools or services that allow you to spend more time on things that interest you
- Get you creature comforts – Riding a private car is so much better than getting squished in jeepneys, buses, and the MRT
- Take care of the family – Having the security of being able to set your family up for the next generation can leave you feeling more relaxed and accomplished
Still, how easily one gets to experience these feelings does vary from person to person. So, it does help if you feel satisfied with less. But that also just means money does help.
The ease by which one can pursue happiness can also vary depending on the environment. One can even argue that it’s more difficult being happy in a third-world country like the Philippines where about 20 million people live below the poverty threshold.
Any normal person should feel a tinge of guilt or at least some shame for having much more than the regular guy. This is why I somehow believe that the ability to amass excessive amounts of wealth does require a level of greed, shamelessness, and evil from a person.
How to Be Saktong Burgis?
Being “saktong burgis” is focused on having enough money to do what makes you happy but not too much to cause you any more problems than you can handle.
Though it does beg the question, “Is there really no problem that can’t be solved by a lot of money?”