How can one keep his lifestyle from inflating with income rise?

[Etini]

One of the challenges that we humans have is that we are instinctive generally and moreso when it comes to finances. Immediately our paycheck or our income increases, we begin to feel the pressure to measure up to that income. Sometimes, that pressure comes from within ourselves while sometimes, it comes from external sources.

It is at that point you would see a single person that has been living happily in a self contained single room apartment move to live in a 2 bedroom flat which is double the rent of the previous place. This and other inflationary lifestyle decisions always come with a rise in income.

How can a person not be pressured by a rise in his or her income to inflate his lifestyle? Practical tips needed.

 

[saoussen5765]

Two reasons are the cause of this. They are poverty mindset and lack of financial intelligence. Someone who has suffered the bitter scourge of poverty and that poverty mindset has not left him or she is always in a hurry to experience that seemingly good life and they end up choking themselves financially.

It is a lack of financial intelligence that also makes a person not realize that lifestyle comfort is achieved organically. You have to carefully grow to a point where you can replenish whatever comfortability you have afforded yourself in terms of your lifestyle. Some of them rush in to have that comfortability that they can't afford to give themselves again in two years and would return to where they came from.

 

[moonchild]

I think this actually depends on the individual and the kind of skill they have, if you have a skill that you can offer online to people all over the world, the best thing you can do is to get more customers and outsource the service to other people.

Let's say I'm a web developer, I create ads on Reddit or Facebook about building website for business owners and run it targeting major cities in the states, I'll definitely have some people, I'll then outsource the job to some other websites developers on Up work and take out my percentage depending on the arrangements.

If you don't have a skill then you have no option than to cut down expenses and live below your means.

 

[Mika]

The moment people start earning more, they also start spending more. This is a natural tendency and in some way, it is justifiable. For instance, you earn $100 and you commute to your workplace by public transport. However, once you start earning $130, you will be buying a motorbike for easy transport. There is nothing wrong in this but you will have to see other aspects as well. For in stance, if you are buying motorbike, you will have to see if this will create more expenses or help you make more money.

 

[lexfurther]

One challenge we face is the tendency to increase spending when our income rises. To resist this pressure:

1. Set clear financial goals.
2. Create and stick to a budget.
3. Automate savings and investments.
4. Live below your means.
5. Delay major purchases.
6. Track expenses closely.
7. Seek financial education and support.

By following these tips, you can resist lifestyle inflation and make smarter financial decisions. For mortgage-related assistance, consider reaching out to sierra pacific mortgage customer service for support. Those guys are the best on the market at the moment