Part 4/9:
Consistently investing a percentage of your income ensures that you’re not merely sitting on cash that loses value due to inflation. It’s an important strategy for wealth accumulation.
Understanding Lifestyle Creep
As incomes rise, expenses often grow proportionately—a phenomenon known as lifestyle creep. Research suggests that a third of Brits live paycheck to paycheck, indicating this trend can hinder financial growth.
By consciously choosing to maintain a lower spending level, you can allocate more funds toward investments and savings, ultimately enhancing your financial security.