How do you avoid lifestyle creep?

Questions on how we spend our money and our time - consumer goods and services, home and vehicle, leisure and recreational activities
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YeahBuddy
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How do you avoid lifestyle creep?

Post by YeahBuddy »

Without diving into a too much detail, I've reached a point where I'm starting to notice we are spending a lot more on things like eating out, gadgets, a fun 3rd car, social gatherings, a gaming setup for one of our kids... While I don't have any regrets I fear this may continue to spiral (shopping for the newest iPhone on my new MacBook Air). We still maintain a 6 month EF, max retirement accounts, have a pension, and I have no desire to retire earlier than 60 or 65.

So my question is how do you personally avoid lifestyle creep?
How much lifestyle creep is acceptable?
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starboi
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Re: How do you avoid lifestyle creep?

Post by starboi »

By thinking about what it would be like to lose my source of income.
Last edited by starboi on Thu Sep 16, 2021 7:35 pm, edited 1 time in total.
livesoft
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Re: How do you avoid lifestyle creep?

Post by livesoft »

I dropped my income by going half-time. Then a few years later, I stopped working altogether. Less money = Less creep.
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delamer
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Re: How do you avoid lifestyle creep?

Post by delamer »

A budget, or spending plan if you prefer.

Basically, you set a limit on overall expenses for the year. If you spend $1000 in a new phone, that’s $1000 that you can’t spend on something else.

Nothing wrong with spending on things/experiences that you enjoy, as long as you are meeting your savings goals.
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RJC
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Re: How do you avoid lifestyle creep?

Post by RJC »

It's inevitable once you start making more money and are closer to your number. If not, then at what point can you loosen up?
jebmke
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Re: How do you avoid lifestyle creep?

Post by jebmke »

I don't worry about it now that I'm retired. When we were in accumulation mode, we had a clear savings plan. Any excess was fair game to spend or not. We didn't worry about it. Savings had first claim on all income.
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Normchad
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Re: How do you avoid lifestyle creep?

Post by Normchad »

For me personally, I wanted a lot of those things when I was in my 20s. As I aged though, I just stopped wanting most things. It wasn’t intentional on my part, but most of the stuff I used to covet, just doesn’t interest me anymore.

Also though, learning all you can about gigs Ces and your personal situation should help. A deep understanding can help guide your decisions, and which “creeps” fall within the plan, and which ones would be detrimental.

A very crude approach would be, don’t get stuff that has ongoing payments. So taking the kids to Disney, that’s fine, you just pay once. Joining a country club, bad because you have to keep on paying.
stoptothink
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Re: How do you avoid lifestyle creep?

Post by stoptothink »

My car and garage were broken into last night, as was my neighbors'. The only thing in the car was my kids' gym bag, with their sweaty gloves and shinguards. They took the bag and all the random paperwork in the glovebox (registration, insurance card, owner's manual, etc.), but it was tossed around the corner and a neighbor found it. In the garage, apparently they didn't want to deal with carrying away any part of my extensive garage gym because they took nothing. My neighbor had his macbook pro and an Ipad taken from his car and ~$25k worth of "stuff" (segways, DJ and home audio equipment, mountain bikes, snowboards, several drones) from his garage. Yes, insurance will cover everything (after deductible), but it's a huge hassle. Neighbor has pretty good pictures from his garage camera, but doubt anything is done.

We live in literally one of the 10 safest cities in the entire country and there is theft of packages off doorsteps pretty much every day in our neighborhood. A good reminder that "stuff" often isn't worth it and I'm glad we have little in our home that anybody would want to take and that packages delivered to our porch are rare.
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Kagord
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Re: How do you avoid lifestyle creep?

Post by Kagord »

Normchad wrote: Thu Sep 16, 2021 7:45 pm As I aged though, I just stopped wanting most things. It wasn’t intentional on my part, but most of the stuff I used to covet, just doesn’t interest me anymore.
+1, emphasis on "things", I'm trying to get rid of all the stuff I bought now, it's a hindrance. Health becomes the jewels as you age.
London
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Re: How do you avoid lifestyle creep?

Post by London »

As long as you are meeting your savings goals, your other spending doesn’t matter.
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Squirrel208
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Re: How do you avoid lifestyle creep?

Post by Squirrel208 »

Plan your spending.

Spend according to your plan.

It's really that simple.
rockstar
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Re: How do you avoid lifestyle creep?

Post by rockstar »

I save 35% and spend what's left over. This gives me the option to lifestyle creep a bit. But I usually find it difficult to find stuff to buy. I'm usually either replacing old stuff or spending it on travel.

But honestly, I'm a hiker, and I love camping out in a tent. Neither of these activities are super expensive. The most expensive bit is buying gas to the get to the trail head. I'd like to eventually get a camper when I'm older, so I'll eventually replace my current vehicle with a pickup.

My big splurge this year was buying $350 binoculars that I expect to have for a decade or more. It's one and done unless I break them.

I also upgraded my Synology this year. The last one was about 8 years old, and I've swapped out most of the drives. This one should be good for just as long, but I'll probably swap out the drives sooner.

I'm planning to upgrade my soundbar that is over 10 years old before the end of the year.

But these are like once a decade type expenses. The lifestyle creep is how much better the technology gets.

I'll replace my laptop next year.

Next month I'm going boondocking in Sedona, which is free.
LittleMaggieMae
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Re: How do you avoid lifestyle creep?

Post by LittleMaggieMae »

I think I disagree with the idea that if you are meeting your saving goals then it's ok to spend.

I think spending money (or time or energy) on something should come with some thought - it's really easy to spend money on meaningless stuff if you aren't careful. Sure it probably doesn't matter because you have so much money - but what about the one limited resource you do have - time? Wouldn't it be better to try to spend money on something that's meaningful to you or that you actually value?

I think the way to avoid lifestyle creep is to have a spending plan/budget. I think that having one helps one focus on what's important/what they value. And why not spend time and money and energy on the things you value the most?
GS22
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Re: How do you avoid lifestyle creep?

Post by GS22 »

Short circuit impulse buys by truly incorporating awareness of how it affects the ecology of the planet. Temptation resisted can be a true test of character. Is the purchase just a cheap thrill (maybe expensive) or does it provide deep satisfaction and contentment. Enjoy the patina of non-shiny well worn and broken in objects. And how about that sunset....no subscription or ongoing payments.
Point
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Re: How do you avoid lifestyle creep?

Post by Point »

I used cash to solve the problem. Fill up an envelope at the beginning of the month. When it’s gone it’s gone and I’m done.
Trader Joe
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Re: How do you avoid lifestyle creep?

Post by Trader Joe »

RobLyons wrote: Thu Sep 16, 2021 7:30 pm Without diving into a too much detail, I've reached a point where I'm starting to notice we are spending a lot more on things like eating out, gadgets, a fun 3rd car, social gatherings, a gaming setup for one of our kids... While I don't have any regrets I fear this may continue to spiral (shopping for the newest iPhone on my new MacBook Air). We still maintain a 6 month EF, max retirement accounts, have a pension, and I have no desire to retire earlier than 60 or 65.

So my question is how do you personally avoid lifestyle creep?
How much lifestyle creep is acceptable?
By setting a reasonable budget.
wordsmith11
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Re: How do you avoid lifestyle creep?

Post by wordsmith11 »

1. Pay yourself (and all relevant legacy goals) first.
2. Be excessively charitable in the present.
3. Embrace lifestyle creep.

Otherwise, what are we doing here?
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fortunefavored
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Re: How do you avoid lifestyle creep?

Post by fortunefavored »

I'd separate one-time costs from recurring. Recurring is what kills. Going on a one time $20,000 european splurge vacation? no big deal once all your other goals are met. 3rd car with insurance, maintenance, etc.. or a bigger house.. those are the dangerous type of expenses.
boogiehead
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Re: How do you avoid lifestyle creep?

Post by boogiehead »

Hanging out with friends that are frugal (so you won't get influenced in keeping up with the Joneses) and avoiding social media/advertising as much as possible.
aj44
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Re: How do you avoid lifestyle creep?

Post by aj44 »

My inflation adjusted budget total has been the same the last 15 years, I have saved all salary increases. Previous mortgage expense moved to entertainment when I paid off my home, then to kid expenses.
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arcticpineapplecorp.
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Re: How do you avoid lifestyle creep?

Post by arcticpineapplecorp. »

lifestyle creep happens when you get raises/promotions and then raise your standard of living to meet your new income. (problem of course is now you have to permanently fund a higher lifestyle. problem if you lose a job or retire on less, etc. I call this the MC Hammer or Johnny Depp problem).

if instead when you get a raise/promotion you choose to live on the same amount of income you did prior to the raise/promotion and save the new income, I'd say "problem solved".

No lifestyle creep at all, because you're living on the same income (same expenses), even though your income increased.

(you can raise your income according to inflation to be able to afford the same items at a higher future cost, but otherwise, save the rest, don't spend it).

otherwise it sounds like more of a self-discipline problem to me. Eat out less (cook more at home). Don't buy a 3rd car, especially if there are only 2 drivers in the house. Social gatherings can involve guests bringing potluck dishes. That sort of thing.
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Rainmaker41
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Re: How do you avoid lifestyle creep?

Post by Rainmaker41 »

Separate income from expenses. Think of the household as a corporation with a set operating budget for the year. An increase in revenue does not by itself authorize an increase in spending. Rather, income increases are invested.

The details of how that is done matter less than the concept itself. The budget or spending plan becomes the limiting factor in a loosely similar way to how a paycheck to paycheck household without access to credit must operate. The problem for a household without such actual constraints is that any spending limitation below income is necessarily artificial.

Some track everything in a ledger. Some know their budget allows credit card spending of $X each month, so if the credit card bill is higher in one month then they should spend less the next month. Some use an envelope system, either physical or electronic.

In my household, we have a given standard of living which we know costs a given amount every year. We have an annual budget which is reviewed year-to-date to see if there are any course corrections needed. We started tracking in this way four years ago, and spending in each subsequent year has not increased above the official rate of inflation. Surplus income is entirely invested.

If our situation changed, or we decided we want to do something differently we always can, but the default is to target inflation-adjusted spending at the planned level.
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Wannaretireearly
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Re: How do you avoid lifestyle creep?

Post by Wannaretireearly »

I keep reading this forum. Gives me all the smackdown I need. That plus frugal parental comments help too.
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sailaway
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Re: How do you avoid lifestyle creep?

Post by sailaway »

It isn't so much a question of avoiding lifestyle creep as being conscious of it. Are the things you are spending more on actually helping you enjoy life more or are you just keeping up? Does that iphone actually do anything you need better than a cheaper phone would?
ClassII
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Re: How do you avoid lifestyle creep?

Post by ClassII »

Since discovering I can do the Mega Backdoor Roth at work I've been taking the last few raises and just put the equivalent percentage in there. That way I never feel the new income and it's inevitable effects on spending. Assuming I max that out some day (or the tax laws change *cough*) I'll probably have payroll send a percentage of my pay directly to my taxable brokerage and set up an automatic investment schedule. Again just so that money never reaches my main checking account and start to burn a hole in my wallet.

After all that's the magic of how 401k plans work. The money is pulled out before you ever see it and dollar by dollar, paycheck by paycheck you amass your fortune. No way the majority of us could have the discipline to put that money aside and invest if we had to do it manually.
TheDDC
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Re: How do you avoid lifestyle creep?

Post by TheDDC »

starboi wrote: Thu Sep 16, 2021 7:31 pm By thinking about what it would be like to lose my source of income.
Good idea. It's like the "cold shower" of behavioral finance.

For me... I just don't buy stuff and I have a NW > $1M and with pension that will be add up to $3M+ in 2021 dollars by retirement. I just don't need the stuff. I have an iPhone 8, cars from 2006/2014/2016, a paid for home, and I'm doing just fine not keeping up with the joneses (or Bogleheads in some cases... EGADS the crap some of you people spend on cars and flaunt it). The best reason to come here is to learn how to invest, but most definitely NOT to learn about avoiding lifestyle creep.

Best of luck.

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sailaway
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Re: How do you avoid lifestyle creep?

Post by sailaway »

Wannaretireearly wrote: Thu Sep 16, 2021 9:48 pm I keep reading this forum. Gives me all the smackdown I need. That plus frugal parental comments help too.
My parents are generally frugal, but dang mom in particular has encouraged me to spend some dough over the years! And their one splurge is cruising, which we have agreed to join them on next year, so that nudge at least seemed to work.

Still, at least that was an invitation. MIL gets upset that we don't take "real" vacations (aka, we always visit family vs going to resorts), in particular, ski vacations. Which is ironic, because I am pretty sure the only reason we "should" take ski vacations is because she enjoyed them with her family when they still had kids at home.
BogleHead1008
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Re: How do you avoid lifestyle creep?

Post by BogleHead1008 »

I have been using bank of america for the past 13 years and have the Financial planning/Net worth section, which I have been using for the past 13 years.

All my account details are in there, and I pull my income/expenses every month. Nice aggregator for sure. Every month, I categorize the transactions to my liking so I can keep track of my income/spending patterns.

Every year in Jan, I download the past years transactions and save it in Excel and set up graphs so I can look at yearly expense. I did this for the past 13 years and I can honestly tell, my expenses went up 3 to 8% each year, inflation adjusted and kids growing up. Have you seen a teen eat.. my god..


Anyways, without knowing what you are spending, it's hard to know how much you are saving.
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beyou
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Re: How do you avoid lifestyle creep?

Post by beyou »

When you say you don’t mind working until 65, that does not mean you WILL work until 65. Health, changes at work and other things can stop you. Plan for the best but prepare for the worst.
UserFace
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Re: How do you avoid lifestyle creep?

Post by UserFace »

Every few years, I try to visit my friends who live in the Kibera slums in Kenya. Nothing eviscerates my wasteful consumerism faster or longer.

It's not close to the same as spending time there, but sometimes I will watch videos or meditate on the experiences of people who have nothing.
Glasgow
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Re: How do you avoid lifestyle creep?

Post by Glasgow »

RobLyons wrote: Thu Sep 16, 2021 7:30 pm
So my question is how do you personally avoid lifestyle creep?
How much lifestyle creep is acceptable?
By owning stuff, you have to maintain, guard and have space for them. For example, I just finished refurbishing my 20+ y.o. pergola (20'x20'). It was a pain to do it by ourselves or it'd cost at least $3-4K to have someone do it. It was $1.3K for lumber alone. We also have a dog; well there're lots of works for it too (walk, groom, wash, vet, feed, etc.). We also have 2nd car and a scooter (use it only a few times a year), but still have to pay registration, insurance, etc. I've learned lesson that don't own/buy things we don't need.
We have a sizable back and front yard, and boys perpetual works and maintenance.
On the other side, we don't have much in the house to attract burglars. If they want to break in to get something, they won't get much except my 10 y.o. macbook pro, company laptop and monitors. Other than that, I don't care what they would take - feeling liberating - no surveillance cam needed, care if front door is locked, etc.
Another thing is my spouse never have a purse; only a thin card holder holding few cards and some $ & a phone, and for me only the wallet and phone. Both of us wear no jewelry (not even wedding bands) or watch or expensive clothing (mostly from Rack).
There you see it. Practice asking question "is it a need or want?", "will there be maintenance and costly to own?"

Don't assume your cognition and physical health in your 60s the same as you're now. In other words, you're projecting your current health to your 60s.
59Gibson
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Re: How do you avoid lifestyle creep?

Post by 59Gibson »

I always compare the trade off of time. I preferred owning my time as much as possible and having choices then more stuff/expensive experiences. Buying my time was expensive enough.
260chrisb
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Re: How do you avoid lifestyle creep?

Post by 260chrisb »

Personally I didn't avoid it but instead embraced and enjoyed it as I reached a higher level of earnings. That said, always first were financial stability as it relates to an emergency fund, retirement savings at the forefront, and no dumb financial decisions that would impact this while still living well within my means. Lifestyle creep is okay but needs to be managed.
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Sandtrap
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Re: How do you avoid lifestyle creep?

Post by Sandtrap »

RobLyons wrote: Thu Sep 16, 2021 7:30 pm Without diving into a too much detail, I've reached a point where I'm starting to notice we are spending a lot more on things like eating out, gadgets, a fun 3rd car, social gatherings, a gaming setup for one of our kids... While I don't have any regrets I fear this may continue to spiral (shopping for the newest iPhone on my new MacBook Air). We still maintain a 6 month EF, max retirement accounts, have a pension, and I have no desire to retire earlier than 60 or 65.

So my question is how do you personally avoid lifestyle creep?
How much lifestyle creep is acceptable?
Imagine:

On the day you retire; will you have enough assets and an income stream to support your current "lifestyle creep" lifestyle and spending patterns?

Actionably:
Look ahead, far ahead. Make a life plan. Make a long term comprehensive financial strategy that covers from now, through retirement, all the way up to and beyond (estate planning) your "expiration date".

There's nothing worse than later on in deep retirement and potentially unknown high expenses, and money is tight, and thinking, "what did all that high spending on materialism and temporal social dynamics (artificial constructs) get me in the long run. . ?"

Stuff happens.
Think ahead.

There are no boxes on a spreadsheet on the most rewarding and valued aspects of life and person and Self.
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iamblessed
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Re: How do you avoid lifestyle creep?

Post by iamblessed »

I think staying in your starter house helps a lot.
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YeahBuddy
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Re: How do you avoid lifestyle creep?

Post by YeahBuddy »

stoptothink wrote: Thu Sep 16, 2021 7:55 pm My car and garage were broken into last night, as was my neighbors'. The only thing in the car was my kids' gym bag, with their sweaty gloves and shinguards. They took the bag and all the random paperwork in the glovebox (registration, insurance card, owner's manual, etc.), but it was tossed around the corner and a neighbor found it. In the garage, apparently they didn't want to deal with carrying away any part of my extensive garage gym because they took nothing. My neighbor had his macbook pro and an Ipad taken from his car and ~$25k worth of "stuff" (segways, DJ and home audio equipment, mountain bikes, snowboards, several drones) from his garage. Yes, insurance will cover everything (after deductible), but it's a huge hassle. Neighbor has pretty good pictures from his garage camera, but doubt anything is done.

We live in literally one of the 10 safest cities in the entire country and there is theft of packages off doorsteps pretty much every day in our neighborhood. A good reminder that "stuff" often isn't worth it and I'm glad we have little in our home that anybody would want to take and that packages delivered to our porch are rare.

Thank you for sharing your story. I'm not on your neighbor's level of lifestyle creep, but I understand the point. After hearing your story I'm now researching best home video camera systems (More life-style creep, Doh!) :happy
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Wanderingwheelz
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Re: How do you avoid lifestyle creep?

Post by Wanderingwheelz »

I think one good way to avoid lifestyle creep is to move out of the city/suburbs. Go where there’s less population density, thus less of an urge to compare yourself to others.

Billboards in Times Square are expensive for a reason.
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homebuyer6426
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Re: How do you avoid lifestyle creep?

Post by homebuyer6426 »

Relish enjoyment in the simple pleasures. Your morning cup of coffee/tea, the nice weather, birds or a garden, a warm house or thick blanket in winter, the roof over your head. If you've got those things, you're 90% of the way there. And none of those things have to be expensive.
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Wannaretireearly
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Re: How do you avoid lifestyle creep?

Post by Wannaretireearly »

iamblessed wrote: Fri Sep 17, 2021 7:29 am I think staying in your starter house helps a lot.
Great point.
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SQRT
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Re: How do you avoid lifestyle creep?

Post by SQRT »

Has your means increased as well? Do you like the more expensive lifestyle? Are you meeting your retirement savings goals? If the answer to these questions is yes, lucky you, carry on. If not (and this is more likely given your post) simply a matter of sticking to a detailed budget.
Last edited by SQRT on Fri Sep 17, 2021 9:53 am, edited 1 time in total.
H-Town
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Re: How do you avoid lifestyle creep?

Post by H-Town »

RobLyons wrote: Thu Sep 16, 2021 7:30 pm Without diving into a too much detail, I've reached a point where I'm starting to notice we are spending a lot more on things like eating out, gadgets, a fun 3rd car, social gatherings, a gaming setup for one of our kids... While I don't have any regrets I fear this may continue to spiral (shopping for the newest iPhone on my new MacBook Air). We still maintain a 6 month EF, max retirement accounts, have a pension, and I have no desire to retire earlier than 60 or 65.

So my question is how do you personally avoid lifestyle creep?
How much lifestyle creep is acceptable?
Just track your spending. Numbers don't lie.

Sometimes it's not your call whether you can retire earlier than 60 or 65.

My most effective way of not wasting money on social gatherings is to get rid of friends and acquaintances that are into that kind of material things. No more black attire gatherings. Now we hang out with people in fitness circle, hikers, travelers, etc.
Time is the ultimate currency.
stoptothink
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Re: How do you avoid lifestyle creep?

Post by stoptothink »

H-Town wrote: Fri Sep 17, 2021 9:39 am
RobLyons wrote: Thu Sep 16, 2021 7:30 pm Without diving into a too much detail, I've reached a point where I'm starting to notice we are spending a lot more on things like eating out, gadgets, a fun 3rd car, social gatherings, a gaming setup for one of our kids... While I don't have any regrets I fear this may continue to spiral (shopping for the newest iPhone on my new MacBook Air). We still maintain a 6 month EF, max retirement accounts, have a pension, and I have no desire to retire earlier than 60 or 65.

So my question is how do you personally avoid lifestyle creep?
How much lifestyle creep is acceptable?
My most effective way of not wasting money on social gatherings is to get rid of friends and acquaintances that are into that kind of material things. No more black attire gatherings. Now we participate in people in fitness circle, hikers, travelers, etc.
+1. Pretty much all our friends are from the gym, all people who share similar values. When we get together it is for a hike or a fight night (someone streaming the UFC fight at their home), not going out to eat or anything else where we'll blow more than a few bucks.
ThankYouJack
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Re: How do you avoid lifestyle creep?

Post by ThankYouJack »

RobLyons wrote: Thu Sep 16, 2021 7:30 pm
So my question is how do you personally avoid lifestyle creep?
How much lifestyle creep is acceptable?
I simply try not to buy stuff that I'm not going to use or enjoy a lot. I read a book years ago called "Affluenza : The All Consuming Epidemic" which I think had a bigger impact on me than I realized at the time. Looks like there's now a newer version "Affluenza: How Overconsumption Is Killing Us--and How to Fight Back" which I also plan to read.

However, I don't think lifestyle creep needs to be avoided as it's fine if you can easily afford it, it will make you happier and you're morally ok with the purchase. If someone keeps delaying gratification, at some point it'll be too late.
Lol_wut94
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Re: How do you avoid lifestyle creep?

Post by Lol_wut94 »

Couple of things just on the 'avoidance' piece. Lifestyle creep is not inherently bad or dangerous.

Lifestyle creep should happen. You should want to travel if you can afford it, send your kids to good schools if you can afford it, drive a safe, reliable car if you can afford it. The important part is to do it all within reason and do serious reality checks along the way (everything from big purchases to inexpensive subscriptions).

you gotta spend it one way or another.
a_rotator
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Re: How do you avoid lifestyle creep?

Post by a_rotator »

I try to think long-term, not just in terms of financial impacts, but in terms of where all the stuff I buy will be in 5 or 10 years. For most things the answer is in the garbage, storage, or donated. I then balance that with the expected utility of the thing.
fallingeggs
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Re: How do you avoid lifestyle creep?

Post by fallingeggs »

Hot take: if the creep is supported by rising income, stop worrying and enjoy it (while it lasts)!
bloom2708
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Re: How do you avoid lifestyle creep?

Post by bloom2708 »

Wanting to retire before 65 or 60 is a good motivator to watch spending.

But, you can have superfluous spend on most any budget. Save a whole bunch, spend the rest.

I spent $100 on a set of 1988 golf irons on eBay the other day. I already have a good set of clubs. Superfluous!!!
JackoC
Posts: 4714
Joined: Sun Aug 12, 2018 11:14 am

Re: How do you avoid lifestyle creep?

Post by JackoC »

Some people don't track their spending. Our grown kid with the highest income doesn't. He's OK on saving (I see everything doing his taxes, for free :happy ), but there's always risk he won't be and won't actually know, specifically, why the savings % dropped. His income being quite variable also makes it more important to track consumption spending (since not only income but cash outflow for estimated tax can change a lot year to year). I wish he would, and that has to be the first step IMO toward any issue of 'lifestyle creep' on the numbers. If the lifestyle is 'creeping' in a way you don't like, that's where the tracking becomes 'a budget' (I've tracked in consistent categories for over 30 yrs, but there's no longer any reason to budget).

But some posts get into philosophy about 'materialism' and 'what did all that spending get you'. But not few people end up asking what life in general got them, and I don't believe that's limited to a caricature of a Scrooge who only ever cared about money or things. People who cared about family, friends, society etc. can also end up in depressed and regretful old age; it's a sad aspect of the human condition. And sometimes I think appeals on this forum to 'the important things in life' are actually part of the process of people psyching themselves into frugality...to amass a bigger pile of money. It generally goes in one ear and out the other for me. Of course I care about some things much more than my car or iPhone, but those things are in basically different spheres, and if some others see enjoying material things and having a rich relationship with family as necessarily opposing, I just don't agree.
delamer
Posts: 17453
Joined: Tue Feb 08, 2011 5:13 pm

Re: How do you avoid lifestyle creep?

Post by delamer »

stoptothink wrote: Thu Sep 16, 2021 7:55 pm My car and garage were broken into last night, as was my neighbors'. The only thing in the car was my kids' gym bag, with their sweaty gloves and shinguards. They took the bag and all the random paperwork in the glovebox (registration, insurance card, owner's manual, etc.), but it was tossed around the corner and a neighbor found it. In the garage, apparently they didn't want to deal with carrying away any part of my extensive garage gym because they took nothing. My neighbor had his macbook pro and an Ipad taken from his car and ~$25k worth of "stuff" (segways, DJ and home audio equipment, mountain bikes, snowboards, several drones) from his garage. Yes, insurance will cover everything (after deductible), but it's a huge hassle. Neighbor has pretty good pictures from his garage camera, but doubt anything is done.

We live in literally one of the 10 safest cities in the entire country and there is theft of packages off doorsteps pretty much every day in our neighborhood. A good reminder that "stuff" often isn't worth it and I'm glad we have little in our home that anybody would want to take and that packages delivered to our porch are rare.
Sorry for your bad experience.

Just curious, was your neighbor’s car in the garage? And why did he have a laptop and an iPad in the car — for work?
One thing that humbles me deeply is to see that human genius has its limits while human stupidity does not. - Alexandre Dumas, fils
Golfaddict
Posts: 23
Joined: Fri Apr 02, 2021 2:22 am

Re: How do you avoid lifestyle creep?

Post by Golfaddict »

We budget and “hide” as much money as we can. Both of us are salaried with an annual bonus opportunity. We max employer retirement accounts and an HSA.

For lump sums we receive, the goal is to put these unpredictable funds in our Roth’s if we have room/qualify, 529 up to the state tax benefit, then taxable if there is anything leftover.

Then we spend all of our salary net pay. And we’re ok with any lifestyle creep that matches the increases in our net pay.
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