• About 59% of polled Americans say that the ability to spend money on things that make you happy is a top sign of success, according to a report by Empower.
• Only 27% believe wealth is the highest measure of success, the report found.
• "Americans are equating success with happiness as to what money can buy," one expert said.

When Americans measure success, they're not often thinking about their net worth or account balances.

About 59% of polled Americans say that happiness — specifically, the ability to spend money on things that make them happy — is the most important benchmark of success, according to a new report by Empower, a financial services company. Respondents were asked to pick the top three types of success they most valued.

Meanwhile, 35% of respondents pointed to having free time to pursue their interests. The same share cited physical wellbeing.

"Few people view wealth itself" as the best benchmark, said Rebecca Rickert, head of communications at Empower. 

Only 27% believe wealth is the highest measure of success, the report found.

Empower surveyed 2,203 U.S. adults in September.

'You have to strike a balance'

"Americans are equating success with happiness as to what money can buy," said Rickert.

That's not surprising, considering that many people live paycheck to paycheck — meaning regular expenses take up most of their income without much left over for savings.

In the third quarter of the year, almost half of survey respondents agreed with the statement "I am living paycheck to paycheck," according to a recent report by Bank of America.

An analysis of the bank's internal data found 26% of households are living paycheck to paycheck. That includes 35% of households earning less than $50,000 a year, and 20% of households earning more than $150,000.

Other factors, including inflation and higher interest rates, have made it more difficult for people to make ends meet. About 35% of polled Americans believe the economy is the top barrier to success, followed by income instability at 30%, the Empower report found. 

Those challenges are inherently "forces that are out of your control," Rickert said.

But in some ways, "people are their own secret to success," she said.

Creating a financial plan can help you save for long-term goals and make space in your budget for near-term wants.

"You have to strike a balance," said Clifford Cornell, a certified financial planner and associate financial advisor at Bone Fide Wealth in New York City.

"It's great to sock away money for retirement," a priority in financial planning, he said. "But at the same time, we need to live today. Tomorrow's not a given."

Joyful purchases can be as small as going to a coffee shop occasionally instead of making coffee at home, Cornell said.

"For some people, that can almost be medicinal," he said. "They really enjoy the whole experience."

How to find room in your budget for joy

Oftentimes, purchasing items and experiences that make you happy comes down to making the most of your cash flow, experts say.

Some recommend the 50-30-20 rule, a budget framework that allocates 50% of your income toward essentials like housing, food and utilities, 30% toward "wants" or discretionary spending and the remaining 20% to savings and investments. 

The structure can be a great starting point, but it can be difficult to follow, especially given high costs for expenses like housing and child care. For example, half of renters in the U.S. were "cost burdened" in 2022, meaning they spent more than 30% of their income on rent and utilities, according to the Joint Center for Housing Studies of Harvard University.

If a young person is just starting out their career out of college, saving 20% of their income might not be feasible, said Cornell.

"Maybe we're really stretching the dollar just to get 5% or 10% saved," he said.

Shaun Williams, private wealth advisor and partner at Paragon Capital Management in Denver, the No. 38 firm on CNBC's 2024 Financial Advisor 100 List, agreed: "I don't really like the 50-30-20 rule, and almost no one follows it."

Instead, figure out a proportion that works best for you and your current financial picture.

Another way to find room in your budget for joyful spending is to take inspiration from "cash stuffing," which allocates money for expenses into different envelopes. Decide how much you plan to spend on a given activity for a certain time frame, whether that's a few months or years, and set up a savings account for that goal, Williams said.

For long-term plans, try to think about the kind of lifestyle you want to live and figure out what the needs, the wants and the dreams might cost, said Williams.