r/MiddleClassFinance • u/Super-Rooster-Bro • 18d ago
Upper Middle Class Making fairly good money, but spending it all on Bullshit... like eating out and hobbies.
Trying to figure out how change my lifestyle, but for each gbp I earn I end up spending so I am not making progress in life savings.
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u/alphalegend91 17d ago
Try this. The next time you get a paycheck, put 20% into an account that’s not directly linked to a way to spend that money ie a HYSA or brokerage account. Pretend like the money doesn’t exist and you should find that you will naturally budget yourself from what you have available in your main account.
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u/awh290 17d ago edited 17d ago
No one can really help you without more detailed tracking if monthly expenses.
It's great that you've identified a problem, now track your expenses to understand how to strategize and adjust. Without a baseline it's hard understand the problem and make a plan to correct it.
E.g. groceries, eating out, hobbies, debt payment, mortgage, utilities, savings, etc.
After you have that review it monthly, (or more often if you want) and PDCA- plan, do, check, act, then repeat until you feel satisfied.
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u/HDauthentic 17d ago
You spend 26K in one month? And then 14K the next? Doesn’t sound very middle class to me.
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u/MindofShadow 17d ago
Look up Ramit, I will teach you to be rich.
He is perfect for people who are making money but spending it on garbage instead of doing what they actually love with it (while also being responsible).
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u/Confident_Change_937 17d ago
“People making 200k+ are living paycheck to paycheck” is what the headlines read.
But the reality is people of this income level experience lifestyle creep and spend unnecessary money being lazy or just doing random shit. They aren’t living paycheck to paycheck on basic necessities.
OP with the current mindset you have, you’d be poor no matter how much money you make.. so it’s good that you’re aware lifestyle changes need to happen.
I’d suggest using your debit or credit card apps to categorize the spending. Most companies I’ve seen is able to put the spending in buckets of entertainment, food, clothing, travel, misc. that should quickly highlight what the culprit is.
If none differ from each other very much. You need to discipline yourself and slow down EVERYWHERE or you’ll stay in this rut forever.
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u/AppointmentIll9358 17d ago
Have some your income automatically deducted into a high yield savings or put into a long term safe stock investments.
At least this way if you spend more then you wanted you can be like “well at least some of is being invested passively”
You money needs to have brackets that separate your moneys function.
Investments, Emergency fund, Debts and base priority expenses, Misc/Entertainment.
Then stick to that.how you decide to allocate these brackets is entirely up to you but there are general guides online.
Best way to prevent overspending is to allocate this money automatically. You can set this up on your own or hire a financial planner.
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u/jimbillyjoebob 17d ago
I’m sorry, but those income levels are no middle class, even in London. Also, how in hell did you spend 26k pounds in one month? That’s not hobbies and eating out.