This paper analyzes the effects of educational mismatch on subjective wellbeing. We study whether a discrepancy exists between the aspirations associated with the level of education acquired by the individuals and the opportunities found in the labor market and, consequently, whether educational mismatch affects their overall levels of subjective wellbeing. Consistent with education generating certain aspirations, we find that educational mismatch has a sizable significant negative impact on life satisfaction for over-educated individuals while the effect is positive for under-educated individuals. We also study whether individuals showing educational mismatch are less satisfied than other workers being adequately educated, within a similar job, since this dissatisfaction could translate into lower performance and productivity. In this case we only find under-education to negatively affect life satisfaction levels.