Lifestyle Inflation Might Be Worse Than Actual Inflation

Here’s how I stay one step ahead of lifestyle creep

In late 2020 I got my first big girl job and I remember feeling SO rich when I got that first paycheck. Finally, I had money to pay for my living expenses with leftover cash to spend on myself!

What I didn’t expect was that the more you make, the more you feel like you have to spend.

And pretty soon, the occasional latte or online browse through Sephora sale products stopped feeling like a treat. My constant social media scrolling tried to talk me into buying every clothing trend, kitchen gadget, or piece of home decor.

I quickly learned that fighting lifestyle inflation is a lot tricker than it seems. Here are some of my best tips for keeping your expenses low and your savings high:

The 24-hour cart rule

Casually browsing your favourite store’s website can soon turn into hundreds of dollars in your cart. Before pulling the trigger, I like to let myself think about my prospective purchases for at least 24 hours — especially if I’m browsing at night.

Oftentimes I’ll wake up the next morning and completely forget about the cart I have waiting in my browser, or decide I’d rather not spend my money on impulsive purchases.

And if you decide you really do need to buy everything? Sometimes stores will email you discount codes when you leave items in your cart for a few hours. This can be a great money-saving tip for the things you do want!

Unsubscribe from brand emails

Half the time I end up browsing online store sites, it’s because of email subscriptions. Every few weeks, I go through my inbox and unsubscribe from any of those new release or seasonal sale emails.

Brands know what they’re doing by baiting you into signing up for subscription emails. I like to stay ahead of the game and use an unsubscription service to help me keep track of my emails. My favourite one is Unroll.me. I definitely recommend you check it out — even better, it’s a free service!

Immediately set aside extra income after your paycheque hits the bank account

If you never saw it, was it really even there?

It can be especially tempting to splurge after finally getting that raise, or your yearly bonus. Before you blow all that hard-earned money on things you don’t need, consider immediately transferring a part of your paycheque to your savings account.

Even better — set up automatic deposits to your savings account so you don’t have to put more mental energy towards intentionally saving!

Plan Your Splurges

Now I know my tips haven’t been very fun so far, but this is a fun one that I swear by. When I’m in the mood to spend, I’m able to spend on things that I KNOW I want, rather than impulse buys that I’ll regret in a couple weeks.

I have a running list in my phone of anything that I’ve thought about purchasing over the past several months.

When the urge to spend money hits, I always consult my list first to see if I can cross off any of those purchases.

Here’s a glimpse at what my list looks like right now:

If you consistently stop yourself from having any “fun” money, chances are it’ll eventually catch up to you with a big splurge you didn’t intend on making.

Keeping a running list ensures you’re always prepared when you feel like spending money. The running list method also comes in handy for birthdays or Christmas gifts when you’re struggling to come up with gift ideas for yourself.

Focus on what’s important to you, not to other people

If you only take away one thing from this article, let this be it:

Too many of us focus on what looks desirable or exciting to others, rather than focusing on what actually fulfills us. The same thing can be said about how we spend our money.

If you don’t care about what car you drive, don’t let the world talk you into thinking you need a fancy car to be successful. The same thing can be said about expensive apartments/homes, or designer fashion brands.

Spending money in line with your values, needs, and interests is the best way to prevent lifestyle creep from finding its way into your bank account.

I’d love to hear your tips for fighting lifestyle inflation in the comments!