While most of us realize that money can’t buy happiness, we are not always aware of the unhappiness that the pursuit of money can cause. Debt, poverty and financial strife are the obvious financial culprits that contribute to money-related stress and misery, but recent research also suggests organizing our lives around achieving wealth actually decreases our overall life satisfaction.

Essentially, devoting too much time to earning more, saving more and scrimping more can increase depression, anxiety and unhappiness. According to psychologist Tim Kasser, Ph.D., people who say that their major goal is to attain more money are generally far less satisfied with their lives and experience more emotional distress. This isn’t just true of the stereotypical workaholic who never stops to smell the roses. Researchers have demonstrated similar results across many age groups and in numerous cultures.

Fortunately, it is possible to achieve financial peace of mind (and even sock away a significant nest egg) without damaging your emotional well-being.

Focus on the Positive

When you are creating your household budget, balancing your checkbook, clipping coupons or figuring out your taxes, it can be all too easy to focus on the negatives.

“I don’t earn enough money.”
“I can’t afford it.”
“We’ll never save enough for retirement.”

Negative thoughts such as these only generate more negativity. When dealing with financial matters, strive to develop a more constructive mindset. This certainly doesn’t mean overlooking money mistakes or problems. It simply means focusing on the positive steps you can take to improve your situation and make more out of what you have.

Develop a Sense of Personal Control

People who lack financial knowledge or experience often blame external forces for financial troubles. This type of thinking can make you feel powerless. No matter what your situation, it is important to assume personal responsibility for your finances. Rather than assign blame to outside influences, make a list of steps you can take to remedy the situation. Even when external events and situations hamper your ability to save money, avoid a sense of hopelessness by remembering that you have the power to control your financial destiny.

Another important step is to start learning all that you can about money, savings and personal finance. In order to develop a sense of personal control over your money, you need to know the best ways to both spend and save. Books, blogs, magazines, podcasts and television programs can all offer useful information that can help you in your pursuit of financial peace of mind.

Ignore What Popular Culture Has To Say About Wealth

Everywhere we turn it seems that we are perpetually bombarded with messages about how to achieve “the good life.” Driving an expensive car, living in a lavish home and going on extravagant vacations are often viewed as great examples of the epitome of human existence. Popular media continues to emphasize this message despite the abundance of psychological research demonstrating that these materialistic ideals may actually harm our mental well-being.

Instead of following this tired trend and struggling to “keep up with the Joneses,” start developing your own highly personal definition of what it means to be wealthy. While it is still important to eliminate debt and save money for retirement, college and medical expenses, there are many other pursuits that can make life much more satisfying. Maybe being wealthy means having great friends and a healthy family along with financial security. Think about the things that are the most important to you when coming up with your own definition.

Practice Simplicity

Learning to enjoy simplicity is a great way to stop the endless pursuit of wealth, while at the same time saving more money and getting more enjoyment out of life. Simplicity is all about eliminating unnecessary things in order to devote your time to what truly matters in life. Adding simplicity to your life might involve utilizing frugal living ideas, buying less and making better use of the resources you already have. The great thing about practicing simplicity is that it can reduce the stress and anxiety of struggling with your finances, while actually helping you to achieve greater wealth in the long run.

In a consumer-driven society, resisting the temptation to pursue wealth at all costs can be difficult, but the rewards of doing so can make your life richer and more meaningful. Fortunately, it is possible to achieve financial peace of mind without enduring too much stress, strife or anxiety. By maintaining a positive outlook, developing a sense of personal control, creating your own definition of wealth and enjoying the simple things in life, you can reach your goal of financial well-being healthily and happily.