30 indexes measured for each of 34 member nations and participating countries. The indexes that make up the Better Life Index comprise 11 categories: housing, income, jobs, community, education, the environment, civic engagement, health, life satisfaction, safety and work-life balance.
1. Switzerland
Life satisfaction score: 7.8
Self-reported good health: 81% (7th highest)
Employees working long hours: 5.9% (17th lowest)
Disposable income: $30,060 (4th highest)
Life expectancy: 82.8 years
In no other country did residents have a better sense of well-being than in Switzerland. The Swiss tend to be better off financially than residents of most other countries. In 2010, the average household’s disposable income was $30,060, higher than all but three other countries. Meanwhile, the average household financial net worth in Switzerland was more than $99,000, higher than any other country except for the United States. As many as 79% of the country’s residents were employed in 2011, tied for the highest employment rate in the OECD. People in the country work just 1,632 hours annually. The unemployment rate in 2012 was just 4.4%.
Life satisfaction score: 7.7
Self-reported good health: 73% (14th highest)
Employees working long hours: 2.8% (6th lowest)
Disposable income: $31,459 (3rd highest)
Life expectancy: 81.4 years
Norway’s employment rate for those between ages 15 and 64 was 75%, tied with the Netherlands for the third highest rate among all countries. The gross pay of full-time employees neared $44,000, the ninth highest of all OECD countries. The average household income was $31,459, higher than every country except for the U.S. and Luxembourg. People in Norway tend to work significantly less than those in other countries—the average worker only put in 1,426 hours of work, compared with 1,776 in all OECD countries. In 2012, just 3.3% of all workers were unemployed. As many as 96% of the country’s residents were satisfied with the water quality. Norway also ranked among the 10 best countries in terms of air quality.
3. Iceland
Life satisfaction score: 7.6 (tied for 3rd highest)
Self-reported good health: 77% (9th highest)
Employees working long hours: 13.5% (8th highest)
Disposable income: $21,201 (16th lowest)
Life expectancy: 82.4 years
Iceland residents have the strongest support networks of all countries—98% of residents indicated they could count on friends or relatives if they needed help. Iceland residents tend to be in good health as well, with life expectancy and self-reported health both among the top 10. The employment rate for those between the ages of 15 and 64 was 79%, tied with Switzerland for the highest among all countries. Where Iceland didn't do as well relative to other countries was income and wealth—average disposable household income of $21,201 and average household net financial wealth of $31,182 were both lower than OECD averages. But after accounting for taxes and transfer payments, income in Iceland was more evenly distributed among residents than in other nation in the OECD.
Life satisfaction score: 7.6 (tied for 3rd highest)
Self-reported good health: 80% (8th highest)
Employees working long hours: 1.2% (3rd lowest)
Disposable income: $26,242 (12th highest)
Life expectancy: 81.9 years
According to the OECD, Sweden ranks as the top country among all nations measured in terms of protecting its environment. Swedes enjoy some of the highest quality air of any nation. Its water quality in 2012 also ranked among the highest for all countries. The nation’s residents also are among the healthiest of any nations measured. Although Sweden received moderate ratings for income and jobs, it was one of Europe’s best nations for income equality.
5. Denmark
Life satisfaction score: 7.5 (tied for 5th highest)
Self-reported good health: 70% (17th highest)
Employees working long hours: 2.0% (4th lowest)
Disposable income: $24,682 (15th highest)
Life expectancy: 79.9 years (12th lowest)
Employees in Denmark had an average full-time gross pay of $45,802, higher than all but four other countries in the OECD. The average worker in Denmark put in just 1,522 hours annually, much lower than the OECD average of 1,776 hours. Air quality and water quality was better in Denmark, compared with many other countries. The government of Denmark spends considerably to ensure the general well-being of its residents. Last year, government spending totaled 59.5% of GDP, the most of any OECD nation.
6. Netherlands
Life satisfaction score: 7.5 (tied for 5th highest)
Self-reported good health: 76% (11th highest)
Employees working long hours: 0.7% (2nd lowest)
Disposable income: $25,493 (14th highest)
Life expectancy: 81.3 years
The Netherlands was rated as one of the best countries for jobs by the OECD. In 2011, 73% of the population between 15 and 64 years old was employed, one of the highest proportions of all nation’s measured. Also potentially contributing to residents’ happiness is the fact that 94% of residents asked said they had a support network they could count on for help if they were in trouble. This was one of the highest figures among countries measured.
7. Austria
Life satisfaction score: 7.4 (tied for 7th highest)
Self-reported good health: 69% (18th highest)
Employees working long hours: 8.8% (14th highest)
Disposable income: $28,852 (6th highest)
Life expectancy: 81.1 years
Last year, just 4.7% of all workers in Austria were unemployed, less than any other nation in the euro zone, where the 2012 unemployment rate was 12.3%. Austria was in the top third of all countries in terms of both household financial net worth, at $47,458, and personal earnings for full-time employees, at $43,688. In addition, 96% of all residents indicated that the water quality was satisfactory, higher than all but two other countries. Austria also has high levels of civic participation—the voter turnout rate was 82% in 2008, the ninth highest among countries considered.
8. Canada
Life satisfaction score: 7.4 (tied for 7th highest)
Self-reported good health: 88% (3rd highest)
Employees working long hours: 3.9% (9th lowest)
Disposable income: $28,194 (9th highest)
Life expectancy: 81 years
Canada was rated among the top nations for residents’ good health. In 2011, 88% of residents surveyed reported they were in good health, higher than all countries except for the U.S. and New Zealand. Canada also had one of the higher average household disposable incomes among nations considered, at more than $28,000. This was well above the OECD average of $23,047. Canada was rated as one of the best nations in the OECD for housing—although there are some concerns in the country that a real estate bubble is forming.
9. Finland
Life satisfaction score: 7.4 (tied for 7th highest)
Self-reported good health: 69% (18th highest)
Employees working long hours: 3.9% (8th lowest)
Disposable income: $25,739 (13th highest)
Life expectancy: 80.6 years
People in Finland spent an average of 19.6 years getting an education, more than any other country in the OECD. Based on students’ average scores in reading, mathematics and science, Finland was considered to have the most accomplished students. The government, relative to the nation’s size, is one of the largest spenders in the developed world, providing a significant social welfare system. In 2012, the government’s total spending was equal to nearly 56% of GDP. Finland’s employment rate of 69% in 2011, although lower than quite a few other countries, was higher than the 66% average rate across all OECD countries.
10. Mexico
Life satisfaction score: 7.3
Self-reported good health: 66% (14th lowest)
Employees working long hours: 28.6% (3rd highest)
Disposable income: $12,732 (3rd lowest)
Life expectancy: 74.2 years
Mexico received a high life satisfaction score despite receiving low scores in a number of categories. No nation rated worse than Mexico in safety—the nation’s murder rate of 23.7 murders per 100,000 residents in 2011 was the highest of any OECD nation and more than 10 times the OECD average that year. Additionally, 13.1% of residents had been assaulted or mugged in 2012, also the highest of any nation considered. Mexico had one of the lowest averages for household disposable income in the OECD, at just $12,732 as of 2010. However, none of these factors have prevented Mexicans from being satisfied with their lives.
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