How to Limit Lifestyle Inflation
Lifestyle inflation, also referred to as lifestyle creep, is when you increase your overall spending to support your lifestyle habits. This can be as a result of a new job or promotion that has resulted in a higher income, or simply a continuous desire to keep up with peers in terms of buying the latest phone, a better car, or even a larger house.
For many, the main problem with lifestyle inflation is that no matter how much you earn, the constant desire to spend more, and often the escalating costs, means you remain stuck in a cycle of living from paycheck to paycheck.