The Hedonic Treadmill may be a phenomenon but it can be rendered irrelevant to your decision making process with a couple simple guiding principles which many people actually do in practice (some don't but it is an overgeneralization to say everyone does this so don't try to make more money). Principle 1: All Raises Go to Savings (invest those in whatever suits your risk tolerance). Principle 2: Begin With The End In Mind. The end of course is the end of working life (free to do more work of course if you so choose beyond a certain point). If you want to be financially independent at age 50 plus or minus 10 years you need a high net worth, so ensure that these savings habits result in a high net worth (definitions of high net worth of course vary). Kind of tired of hearing about the hedonic treadmill at this point.