The Silent Thief of Your Pay Raise: How to Beat Lifestyle Creep

Рет қаралды 34,214

Күн бұрын

Пікірлер: 76

@tikoy1955 9 ай бұрын

Every time my Dad got a pay raise he increased his savings the same amount. He said he can live on current pay, so save all pay raises.

@brenda4523 9 ай бұрын

We did the same. Never saw A pay increase after about 5 years. He's retired now.

@SharonAnnMenefee 9 ай бұрын

I turned all my raises for 18 years into my savings.

@bria2596 9 ай бұрын

This works so well and is pain free.

@j.m.7056 9 ай бұрын

Same for me throughout my career!

@MoralesCorner 8 ай бұрын

Wise man

@petermuller4265 9 ай бұрын

I live in a 1385 square foot house. Raised 2 kids here and now just me and my wife. We remodeled the whole house for 30k with a good handyman. My family makes fun of me for living in a small house. But while they complain about high taxes and the cost to heat their 4000 square foot homes. I live comfortably below my means.

@sandyseibelhager7131 9 ай бұрын

I couldn't agree more. We raised three boys in a 682 sq ft 2 bed/1 bath that we bought in 2007. I bought my 2008 Corolla in 2011 and am still driving it today.

@thirdcoast-nx7jx 9 ай бұрын

Small paid for house here too. Wouldn't change a thing. I can clean my bathroom top to bottom in about 15 minutes. Some homes with spa bathrooms look wonderful until you have to clean them.

@barbarap3676 9 ай бұрын

And then there are those of us who get a raise - in my case a Social Security increase - and immediately other organizations increase their fees, - homeowners insurance, car insurance, Medicare increase, HOA increases, Medicare deductible, etc. - so that what you hoped would be an increase is eaten up by all the other increases in costs. I think for most of us it is not lifestyle creep, but “organization’s greed creep“. I have always been one to set aside pay raises or increases in things like Social Security, and not use up that increase in my lifestyle, but the ability to do so in the current environment is virtually impossible anymore.

@myaccount9498 9 ай бұрын

Well said Barbara! I'm also on SS disability & the twice yearly raises are taken by twice yearly rent increases. Even worse are the exorbitant increases across insurance, car costs, utilities, medical, food etc. I have no idea how people are going on holidays on such a regular basis 🏝

@Au-19 9 ай бұрын

“At the end of the day we are not what we own, our true value lies in relationships,passions and how we make the world a better place! “ 👏❣️

@Martin42944 8 ай бұрын

Another tip: set realistic, but difficult to achieve quickly, financial goals and track the progress against it. When the choice is eating out 5x a week, or eating out 2x a week and contributing more to paying off the mortgage earlier I find that I take more intentionality in the restaurants we choose, and we feel like we’re actually accomplishing more even when eating out less.

@ktrudy1 9 ай бұрын

I have watched real life friends and many KZbinrs here as they get more income the houses get bigger and the cars r more expensive. Whewww. My hub and I stayed in our same little house despite our income increases. ❤

@eddiestilll 9 ай бұрын

I know this might sound pretty extreme to most people but I remember being so ecstatic that I finally had income when I got my first minimum wage job in high school. Fast forward to now as a young adult and I'm working a corporate job making "decent" income and I still live the same way I did in high school (with some larger purchases naturally of course and a little more independent lifestyle). I was happy back then, I don't see why I need more income now to be happier! The savings goes towards the long term goals that matter and those I truly care about.

@j.m.7056 9 ай бұрын

Keep up the savings! You will be so happy you did when you retire.

@arlenekeith6235 9 ай бұрын

Been there, done that. Now I regret it in my retirement. I'm living more mindful now.

@RinatShop Ай бұрын

You regret living below your means?

@Myextraordinary_ordinarylife 9 ай бұрын

I agree but unfortunately recently the cost of living is increasing monthly : power, natural gas, garbage service, car insurance and property taxes have all gone up just when we were making great progress. Our cost of living raise just disappeared

@anniinthewoods8287 9 ай бұрын

Agree! Over here in Sweden, prices for food and most other things skyrocketed. High inflation actually lowers our income. Toilet paper gets 1-2 SEK more expensive every two weeks currently.

@kakylong2 9 ай бұрын

We did a little to no spend Jan & today we splurged for a pizza for my Hubby's bday & I actually felt guilty. I didn't tell him because I didn't want him to feel badly. We are going to do the rest of Feb & possibly the rest of the year on a little to no spend budget, except groceriesas needed. I know we have a huge purchase (a riding lawnmower, so we don't have to continue paying someone else to mow), so we're trying to be good in other areas. 😊

@joyfullysimple 9 ай бұрын

Yes to this! We used to be like this. Spending everything and then barely making it to the next month. And always wondering why there is nothing left to save. Now we pay us first right when we get our salaries. I also got a pay raise a couple of months ago and we increased our savings. My husband will soon switch jobs and for a few months he will earn less. He has to finish a study first before they will raise is pay and we already talked about just living with less income for those two months, making them no-buy months.

@lydiasalerno2320 9 ай бұрын

Good luck with for your no-buy months 😊

@j.m.7056 9 ай бұрын

Good plan!

@joyfullysimple 9 ай бұрын

@@lydiasalerno2320Thank you! ❤

@brenda4523 9 ай бұрын

We did this too. Just lived on the old paycheck amount--- for close to 30 years.

@sarahmacrae8277 9 ай бұрын

I think with the cost of living and inflation very very few people can live even just the necessities on what they were paid 30 years ago

@janisstrohl5712 9 ай бұрын

Lifestyle creep is exactly what happened to me when I got a new job after finishing college. The only smart thing I did was sign up for payroll deduction to a 401K.

@9FatraBbits 9 ай бұрын

Wonderful message. After two years of wrestling my credit card to zero I am now putting money automatically into my savings account every month. Thanks for the help🐇❤️

@michelesusanne1 9 ай бұрын

Do not store up for yourselves treasures on earth, where moths and vermin destroy, and where thieves break in and steal. But store up for yourselves treasures in heaven, where moths and vermin do not destroy, and where thieves do not break in and steal. For where your treasure is, there your heart will be also. Mattew 6:19-21

@barbaradelira6790 9 ай бұрын

Sometimes plans don't work out. We were 2 months away from paying off our car. Since our rent has increased in the last 2 years, I was planning on saving most of the car payment & driving the car at least another year. Then our car was stolen. It was recovered but too badly damaged to repair. Our settlement was not enough to pay off a car since we are old & can't drive an old clunker. Back to making payments & our insurance has gone up even though it wasn't our fault.

@deborahblackvideoediting8697 9 ай бұрын

That's awful. It's so frustrating when you plan things out well and it doesn't work out due to circumstances beyond our control. Your insurance going up is especially unfair. Maybe you can threaten to take your business to their competition? Good luck!

@rickyiglesias5384 9 ай бұрын

The higher my pay gets, the cheaper I become. I think because I'm getting closer to retirement and I want to make it come even FASTER. hahaha

@mandyadams918 9 ай бұрын

I totally get where you are coming from. I can’t wait to retire but have 10 years to work . I am saving as much as I can so I can start the life I want 🎉

@rickyiglesias5384 9 ай бұрын

Me too! Maybe 13 for me. But yes, the freedom is all I'm after. I don't mind work, I just want to do the work I want to do on MY terms.@@mandyadams918

@rickyiglesias5384 7 ай бұрын

@@mandyadams918 same! I have probably 13-15 to be SURE, but I might be able to get out in 10. Just gotta be careful and have good market luck.

@inesgoncalves5213 9 ай бұрын

Dear Joshua, this is so sad and true. Also reminds me of something that seems to happen to people that start a business and it goes well. As soon as they start making money, it seems to be easy to get greedy, like, they just want more and more, and the worst part of it is when they start sacrificing important things like treat and pay the employes well and keep up with the quality of the product. Having a successfulp business should be about making money, of course, but also about being your contribute to the world by placing a quality product and making people that work for you feel good about working with and to you, I think.

@helenjeindl524 9 ай бұрын

I set up a separate savings pot in my high interest account and any raises or bonuses go straight there without me even seeing it and I live happily on what was already coming in. If things are tight I can cut back on what I spend. This has all been about avoiding the lifestyle creep you are talking about here. I love the life I have, no interest in newer bigger better so I never feel like I'm missing out on anything. 🥰

@lynnegordon6749 9 ай бұрын

I once had a pay raise that was just enough to put me in a higher tax bracket. I have worked a part time job and managed to not save the extra, like Joshua says here. Saving...it's important.

@janethunt4037 3 ай бұрын

Just had a simple dinner tonight with my husband and a friend. I bought a nice flank steak, served with fresh green beans, rice and mixed fresh fruits. It was a very nice dinner for under $25. Hospitality does not have to be costly.

@marystackpole118 9 ай бұрын

Thank you for all you do for us!! What a gift you and these videos are and we are so Fortunate !! Thank you again Joshua!!♥️♥️♥️

@helenburns2186 9 ай бұрын

Outstanding series. Incredible approach to life. Things to always think about. Things to always reflect on. Beautifully communicated.

@bobbijonichols6786 9 ай бұрын

Been there done that. Lesson learned. Thank you for the great reminder. ❤ love your messages & vlogs.

@valerierogers9609 9 ай бұрын

They're ways to enjoy life more that don't cost more. Pursue that.

@trainboy192 9 ай бұрын

We still do our monthly budget on what my husband made years ago. Putting that 2,000 a month wherever it’s needed, emergency fund, new tires , etc .

@lexluong8155 9 ай бұрын

I got a payrise and decided I will take more recreational leave to pay myself with me time rather than more work time. More pay and more time off. Money doesn't buy you hsppiness. Time off does.

@solidstate9451 9 ай бұрын

I guess, I have to be thankful to my mother. She always taught me I deserved the worst, so I am not able to spend on myself for something nice.

@LeMErin21 9 ай бұрын

“…Turning yesterday’s luxury into today’s necessity.” 🙌🙌

@danielleflemm3439 9 ай бұрын

lol. I haven’t had a raise in years. “Bad economy” 🤦🏻‍♀️🤷🏻‍♀️

@JanetJohnson-v2u 9 ай бұрын

Sounds like a bad job!! Economy has improved. That's an excuse. Change jobs.

@danielleflemm3439 9 ай бұрын

Been looking since April. 🤷🏻‍♀️

@mandyadams918 9 ай бұрын

Another great video Joshua - thank you for reminding us about what is important

@maru45382 9 ай бұрын

100% agree! 😊

@tinatran712 9 ай бұрын

Happy Lunar New Year, Joshua

@diahwidjaya1453 2 ай бұрын

Nice message 😊

@animal79thecat 9 ай бұрын

Bouffant on point,Sir!

@eloisasalcedo1846 9 ай бұрын

Thanks so much, to SEAT ando listen to your videos are a great help!

@MNSkolGirl 9 ай бұрын

I like that tip to save and invest before spending.

@johnnycashlives316 9 ай бұрын

Just finished your book all that matters.

@kayscheuer9159 9 ай бұрын

So good!

@fluffysox6072 5 ай бұрын

The scariest thing about lifestyle creep is that it can trap you into one job, one company or one career path. If you start making $150k+ and adjust your lifestyle to equal that, then you can only take jobs that pay that amount or more to sustain yourself. This stops you from being able to leave a bad situation, bad boss or change paths. Always give yourself the most options possible.

@JoshuaBecker 5 ай бұрын

So true.

@CynthiaKieffer 9 ай бұрын

Hi Josh Maybe you can do a series on how to become a patron that best supports an individual. Or if anyone has clear understanding. I see millions of organizations and then so many who still don't have enough. I want my new savings to best lift up another

@dromes5118 9 ай бұрын

Breathing deep.

@ps0195 9 ай бұрын

❤ yes….

@chrisoulalakkas7935 9 ай бұрын

This is a sign that a major shift is about to happen in your life. All the money that you spent is going to come back to you multiplied and all of your dreams are about to come true.

@mariav1274 9 ай бұрын

🇦🇺 Hello Joshua. Hope you are well.

@kcloud1186 9 ай бұрын

Stooopp why am I getting this video right after I splurged on earrings 😭

@mikelobrien 9 ай бұрын

Beware of the "experience trap." I know far too many people who don't save because they've spent their money on trips and other entertaining experiences.