Subjective well-being (SWB) emphasizes individuals’ emotional evaluation and cognitive appraisal of life quality, taking life satisfaction (LS) (both general and specific), positive affect (PA), and negative affect (NA) into consideration. Traditionally, SWB research has been conducted on adults; that on adolescents and young students has been limited. Moreover, SWB has generally been explored as an outcome variable related to people’s learning, work, relationships, and health. However, SWB should be considered a dynamic and agentic system that may promote an individual’s self-development as well as social development. Among student populations, SWB has been proven to affect academic achievement, health, and developmental variables such as personality, life quality, school engagement, and career development. Schools and higher educational environments are not only places in which young people acquire academic knowledge and capacities; they are also places in which students connect with others, develop their personalities, experience all facets of society, and construct their life meaning, sense of self-esteem, and career identity. Furthermore, from a developmental and constructive perspective, some empirical evidence supported the idea that SWB may be a pivotal variable affecting student development. Nevertheless, whether SWB can benefit development among young students is controversial, as is whether SWB is a predictor of individual development or a developmental outcome. Therefore, in examining the research beyond the relationship between SWB and health or academic achievement, studies on the contribution of SWB to student development must be reviewed.