The United States has reached to lowest ever ranking in the 2025 World Happiness Report, continuing its decline. After falling out of the top 20 for the first time in 2024, landing at No. 23, it dropped further to No. 24 in the latest rankings released on Thursday, March 20.
The annual report, compiled by various organizations, ranks countries based on overall happiness. As in previous years, Nordic nations continue to dominate, securing the top four positions.
The 25 Happiest Countries in 2025 as US ranking drops:
- Finland
- Denmark
- Iceland
- Sweden
- Netherlands
- Costa Rica
- Norway
- Israel
- Luxembourg
- Mexico
- Australia
- New Zealand
- Switzerland
- Belgium
- Ireland
- Lithuania
- Austria
- Canada
- Slovenia
- Czechia
- United Arab Emirates
- Germany
- United Kingdom
- United States
- Belize
The United States’ decline in the rankings marks its lowest position ever, having once peaked at No. 11 in 2012. One notable trend in the report is the rise in social isolation—data shows that the number of people dining alone in the U.S. has surged by 53% over the past two decades.
European nations continue to dominate the top 20, but there were a few surprises. Despite ongoing conflict with Hamas, Israel secured the 8th spot. Costa Rica and Mexico also made history by entering the top 10 for the first time, ranking 6th and 10th, respectively.
The rankings are based on individuals’ self-reported life evaluations. The study was conducted in collaboration with Gallup and the UN Sustainable Development Solutions Network.
“Happiness isn’t just about wealth or growth—it’s about trust, connection, and knowing people have your back,” said Jon Clifton, CEO of Gallup, as quoted by TIME. “If we want stronger communities and economies, we must invest in what truly matters: each other.”
The report highlights key factors contributing to happiness, including social support, income levels, freedom, generosity, and life expectancy. Nordic countries continue to perform well due to strong social welfare systems, high trust in government, and a strong sense of community.
Experts attribute the U.S. decline to rising social isolation, increasing economic inequality, and political polarization. The sharp increase in people dining alone reflects a broader trend of weakening social bonds, which play a crucial role in overall happiness. Additionally, mental health concerns, particularly among younger generations, have been on the rise.
Despite its economic power, the U.S. has struggled with factors such as healthcare accessibility and work-life balance, which contribute to overall well-being. While many countries in the top 10 prioritize work-life balance and community well-being, Americans often experience high stress levels due to long working hours and job insecurity.