The measurement of welfare and sustainability is a fundamental component in evaluating sustainable development and quality of life. Improving human well-being is a key objective of development. However, not all development factors necessarily enhance it. This study investigates the effects of innovation and creative industries on human well-being over the period 2013–2020, using a panel smooth transition regression approach. The findings reveal that innovation has a significant negative impact on human well-being, whereas creative industries play a substantial positive role in its improvement. The results suggest that, in the absence of adequate institutional and social infrastructure, the expansion of innovation can undermine human well-being. In contrast, the development of creative industries through strengthening cultural and social capital, generating employment, and increasing community participation effectively enhances human well-being. These findings highlight the necessity of financial support, targeted policies, and appropriate institutional frameworks to ensure that simultaneous support for innovation and creative industries, as complementary components, maximizes the improvement of human well-being.