Studies show that having a friend at work is crucial to your personal happiness and career. But having a strong group of friends outside of work is just as valuable.
A study published in the The Journal of Socio-Economics in 2008 set out to put a price tag on the value of social relationships. The research found that the benefit of having a good friend, from a happiness and life satisfaction perspective, is equivalent to an extra £85,000. Adjusted for inflation, that's roughly £112,000, or $150,000, today.
Nick Powdthavee, research author and professor of behavioral science at Warwick Business School in Coventry, U.K., tells CNBC Make It that though the monetary value may fluctuate over time, the key takeaway still holds true: People who have a rich social network report higher overall life satisfaction than those who don't.
The study analyzed 10,000 people over 18 years, using a dataset from the British Household Panel Survey, to determine what makes individuals happy, money or friendship. Friendship overwhelmingly came out on top.
"Income only plays a small part in influencing our well-being," the study reports. "Other possessions in life such as social relationships ... matter a lot more to happiness than what average level of income can normally buy in the long-run."