Money might not buy you happiness, but increases in income do lead to increases in “subjective wellbeing”.
That's according to a study by Purdue University. But the study also suggests that this flatlines at a certain point, meaning there is an income threshold where maximum satisfaction can be achieved.
In Germany, that 'happiness price' figure is $106,102, or about €91,933, per person per year, according to financial services provider Remitly, who analysed data from the university’s landmark 2018 study and adjusted figures for current purchasing power and inflation.
So how does this figure compare to what most people earn in Germany? Unsurprisingly, most salaries are well below this level.
The median gross salary (before tax) for 2025, including bonuses, was €54,066 – which amounts to around €4,500 per month, according to the latest official figures from Germany statistics office released in April.
This means that half of all employees earned more than or exactly this amount, while the other half earned less. Compared to the previous year, median gross annual earnings increased by €1,907.
The average (or mean) gross annual income of all full-time employees was €64,441 – up from €62,235 the year before, Destatis said. This is just below Remitly’s average for 2026 of €66,876.
Only the top 10 percent of Germany’s full-time workers – those earning €100,719 or more, according to Destatis – comfortably exceed the €91,933 happiness threshold.
And even some high-earners, the 20 percent earning more than €6,530 per month, fall short of hitting the maximum happiness price.
And it’s even worse news for those in the bottom 10 percent where the happiness level is almost three times the 2025 annual income of €33,828.
How does Germany compare?
It's a similar picture around the world: of the 123 countries Remitly analysed from the available data from the university’s study, it found that only Slovenia’s average salary exceeded its 'happiness price'.
Germany sits in 17th position in terms of its happiness price, with those living in the US and the UK needing more money to be happy – $134,827 and $120,248 per person, respectively.
Germany fared well compared to its German-speaking neighbours, though. Individuals need a lot more money each year – $154,504 – to be happy in pricy Switzerland, which was the third-highest country on the list.
Maximum satisfaction costs more in Austria too – $114,898.
READ ALSO: Austria vs Germany - Where is it easier to find an English-speaking job?
France, meanwhile, sits just below Germany at $103,575.
Happiness comes at the highest price of all the countries analysed in Iceland where you need $163,579 and the lowest in Ethiopia at $10,176.
The original study evaluated Gallup World Poll data from 1.7 million people from 164 countries’ with ‘happiness’ scored on the basis of people’s perceived level of overall satisfaction with their lives and self-reported day-to-day emotional wellbeing.
So, what do you think? Are you happy in Germany with more or less than €90,000 per year in income? Let us know in the comments!
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