Return on Happiness (ROH)

I have a friend who runs a clearly loss-making farm. The interesting thing is that this guy seems happiest when he is working on his farm. In other words, the farm has a high Return on Happiness (ROH).

This guy’s farm is highly subsidized with a high-paying job, so his main objective in running this project is not profit. “Time spent at the farm is akin to playing golf,” he casually jokes whenever he talks of his troubles at the farm. The other day the villagers stole his chicken and matooke from the farm.

So it appears there are some things we do for their own sake—not because they make money, but because they bring us indescribable joy. These are often autotelic activities—things we are passionate about and enjoy doing simply because the process itself is rewarding. They could also provide a sense of meaning and purpose to our lives outside our formal careers.

We should not ignore these happiness projects. Because at the end of the day, it is not about making the most money possible. What you need is enough money. Enough money is defined as your financial independence point where your passive income exceeds your living expenses. Beyond this point, the focus should be on maximizing the Return on Happiness.