Do you feel like the more you make, the more you spend?

Still feeling behind and struggling even though you are making more money than ever is a common money trap people fall into. In this video, I cover the three pitfalls of the “Make More Spend More” trap and how you can break this cycle.

The Three Pitfalls:

#1 –Lifestyle Inflation

Purchasing more luxury items because you can afford them now is a slippery slope of draining your wealth.

“The insidious cycle of all the little random unplanned things you justify spending on that add up.”

Try this instead:

Assess 1-3 months of spending and see where the money goes and how you can adjust it to align with your financial goals.

“Notice patterns connected to your mental and emotional state and your spending. Do you spend more when you are stressed?”

#2 –Parkinson’s Law

The initial instinct to spend as much as you make is keeping you from saving and investing for the future.

“This principle states that work expands to fill the time allotted to complete it. Similarly, your expenses will rise to match or even exceed your income.”

Try this instead:

Create a space for wealth to grow by deciding how much you need to live on to hit your financial goals. Margin makes progress.

“The only way to build wealth is to live on less than you make. Upgrade your life in a way that makes sense.”

#3 –Self Sabotage

The subconscious decisions that undermine our financial goals. Self-sabotage is a master of disguise that prevents you from not implementing the necessary skills or effort to achieve your goals.

“Self-sabotage looks like not doing the work. It’s crucial to recognize these patterns and break free from them.”

Try this instead:

See if there is a misalignment with what you say you want and what you believe is possible.

“Do you believe you are worth what you want? Asking for something without the ability to receive it is going to hinder how quickly it shows up in your life.”

Ready to start your Financial Freedom journey? Book a call today to get personalized insight on your spending situation and create a customized financial plan.