Do You Make $200,000+ But Still Struggle Financially? Experts Say You're Probably Making These Financial Mistakes
“The biggest misconception is that making six figures means you have your personal finances ‘figured out,'” said Priya Malani, founder and CEO of Stash Wealth. “High earners often assume they’re doing fine just because they make more than average, but they rarely know if they’re actually on track for the life they want.”
“We’ve had clients with $300K+ household incomes and nothing to show for it—no clear goals, no plan, and barely any savings," said Malani.
Malani suggests taking the time to understand your income, expenses, and financial goals.
“When you know your numbers, you stop feeling guilty every time you book a trip or order takeout,” she said.
“As income rises, so does spending—on nicer apartments, bougie vacations, and yes, the $400 masticating juicer,” Malani said. “Without clear financial priorities, lifestyle creep eats what should be your progress (and savings).”
“Yes, it’s a thing. Many of our clients are paranoid about not having ‘enough’ and end up maxing retirement accounts even when it doesn’t align with their actual goals. If you’re stashing every extra dollar in your 401(k), you might be robbing your future self of a wedding, a renovation, or that dream vacation—Cannes, anyone?,” said Malani.
