Choosing to shop at a specialty farmers market over a discount grocery chain or taking a cab instead of public transit are some of the subtle ways your spending can climb as your income goes up.
Over time, these seemingly small choices can lead to something called lifestyle creep—when you tend to spend more as your income increases.
And it can hurt your financial resiliency in the future, experts say.
Kalee Boisvert, a financial adviser with Raymond James, says when people don’t have an awareness of what they spend versus what they earn, they can easily and quickly adjust their spending upward each time they get that salary bump….