Part 9/11:
As income rises, many individuals fall prey to lifestyle inflation—the tendency to increase spending as one's income grows. Graham cautions against this habit, advocating for a disciplined mindset where increased earnings translate into savings or investments rather than unnecessary lifestyle upgrades.
He expounds on the importance of habitually avoiding the "keeping up with the Joneses" mentality, which can lead to financial strain if not managed wisely. Sustaining a modest lifestyle now can pay off significantly in the long term.