A well-known finding in the happiness literature is that Latin Americans report, on average, high happiness. It is not only high, but higher than expected for their socioeconomic situation, as portrayed by commonly used indicators. High happiness in Latin America is a puzzle, and some scholars consider it a paradox, which calls for new and fresh research to understand high happiness in the region. In fact, the high-happiness-in-Latin-America phenomenon constitutes an excellent opportunity to further understand the drivers of happiness, as well as to highlight some drivers that have not received the attention they deserve. This paper argues, and empirically shows, that person-based interpersonal relationships are important in explaining people’s happiness, that they are abundant in Latin America, and that they are uncorrelated with income. In consequence, it is reasonable to observe high happiness in Latin America, as well as happiness that is higher than what would be predicted according to socioeconomic indicators. The empirical analyses are based on information from three high-happiness Latin American countries. Abundance and good quality of interpersonal relationships positively impact on affective and evaluative experiences of being well, as well as on life satisfaction. The Latin American phenomenon indicates that the interpersonal relationships people create and maintain in their journey of life are fundamental for their happiness. Person-based interpersonal relationships allow for the joint enjoyment of life.