It’s not what you earn, it’s what you burn.

It’s not what you earn. It’s what you burn. Just thought it was worth repeating.

This point was highlighted to me after talking to a friend who has always been on minimum wage. She a smart cookie and went to university, however her passions lay in a job that pays around $45k per year.

She was moving rental property and I asked if she would ever buy. She replied she wouldn’t have enough, as she’s only saved $60,000. That was 15 years ago.

It floored me. How does someone pay rent, utility costs, food, car costs, still have a life and go on holidays save that much??

She prioritised savings first. 

Put saving, not splurging, first.