As much as I hate to encourage him, Jon is mostly correct here:
Study after study shows that people are more happy when:
They can afford to live where they want
Can afford to send their kids to the college they want
Can afford to pay their medical bills
Can afford to take regular vacations and other side trips
Can afford to have their kids participate in extra curricular activities like sports, arts, etc.
Can afford to regularly participate in social activities like going to the bar or eating out with friends
Can afford to participate in recreation like boating, golfing, etc that requires money
Can afford to purchase their loved ones gifts for all type of occasions.
etc, etc, etc...
Money to a large extent does indeed buy happiness as opposed to the family living paycheck to paycheck and going thru all the stresses of wondering if they will pay the rent next month or their childs doctor bill.