So for working Americans, the average annual salary is around $67,920.

So why is it so tough for high earners to build wealth?

Well, we're going to talk about some of the mistakes to avoid.

So make sure to like, subscribe, and share this episode with a friend. All right. So the first mistake that high earners should avoid is giving in to lifestyle creep. So this is a really hard one because if you are making, let's just say, like, $60,000 and then you get a bump to like, I don't know, 65. And then you just kind of, over the years, you just kind of have that, and then maybe you change jobs and you get like a $15,000 raise, right? And your salary and income goes up and up and up, and up, well, slowly but surely your lifestyle can just meet right with it. So that margin you think you're actually getting,

you're not really getting because you end up spending

that margin.

And again, for good reason, like, right, if you are on an income that you're like, golly, I had to say no to a lot. And then when you make a little bit more, like, okay, great, now I get to say yes to this. So the yeses aren't always bad, But you want to make sure that your entire financial picture isn't just matching up with that raise and income.

Because that margin you can actually use for really great things like paying off

debt or saving or giving. And so when you get a raise, budget, please budget and stay with your

current income. And then with that extra income, yes, a percentage, raise your lifestyle, a percentage,

go towards future financial

goals, all of it. But don't let lifestyle creep just go up and up and up with your income,

which ties to mistake number two, which is taking too many risks too quickly. So when you do

have that margin for some people, they're like, oh, I get to throw that

at some fun, crazy things and try to make more money. So whether it's crypto or investing in a family

member startup business, or maybe you think, oh, we can buy some real estate and put a down payment

and get some rentals going and all of it. Listen, too many risks too quickly actually can take away the money that you've earned,

not help you make more money. Because when you go and you take on, especially debt,

but you take on things that are not proven with that extra margin that you're making,

and then what happens is that snowball effect can happen. And so you just want to make sure

you're putting your money in things that have a long-term track record. That's why I think our investing advice people say is just

boring. But it works. Like over time, you guys, it works. And so funding your 401k and your Roth IRA and

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