Lifestyle inflation is the process of how we adjust our spending when we suddenly have more money than we are accustomed to. Although lifestyle inflation can be handled responsibly, most of the time people refer to it as reckless spending and the habits created. I get it. It feels great to be able to reward ourselves by allowing us to do the things we deprive ourselves of. Buying lunch while at work, purchasing a new tv or even getting a massage in Veilstone City. If we don’t catch it early, these little rewards become part of our everyday lifestyle and can slowly damage our finances like a sand tomb.
We are going to run into lifestyle inflation no matter what, and it is our job to prepare for it. Back in September, I received a $3/hour raise with the requirement to work a 40 hour week. This gave my weekly paychecks an approximate $100 boost, after taxes. Having an additional $400 a month to spend led to a sudden battle with lifestyle inflation. The way I battled and caught lifestyle inflation in five steps was to relax, aspire, reflect, strategize and stay calm.
A hot topic that I see throughout the personal finance blogosphere is the concept of the side hustle. Side hustles, or side gigs as I call them, are jobs to earn some extra coin and are optional. Not to be confused with a second job, which is more of a necessity because the first job doesn’t pay enough to pay the bills, keep mouths fed and a roof overhead.
For example, a popular side hustle in Alola is chucking pyukumuku back into the ocean. In Kalos, trainers can side hustle at the Hotel Richissime by making beds, hunting down lost items and helping with room service. These small, short tasks can earn a trainer extra money for just a little bit of time and are not necessary for completing the games. For real-world examples, J. Money, who has had a lot of experience with side hustles, has documented over 70 different side hustles to share with his readers at Budgets Are Sexy.
Now, side gigs seem to be romanticized by the personal finance community as a great tool that can assist with our financial goals while also being fun. However, they also forget to mention that sometimes they share characteristics, and the added stress, of a second job. So today, I am going to share four returns and frustrations, or pros and cons, to explain why I like and dislike the side hustle.
Welcome to February and just in time for the first post of the month, it’s time for January’s Review and Net Worth Update.
For those who are new to The Grown-Up Pkmn Trainer, each month I write a financial review to xatu my net worth by writing down my thoughts on the previous and following months. I share these summaries so everyone can gain insight into my personal finances and my thoughts behind them.
I started tracking my net worth to measure my progress, inspired by Budgets Are Sexy, which has helped me keep a keen eye on my personal finances. I have been tracking my net worth since January 2015 and writing monthly financial reviews for myself since 2016. I recommend both because they have been such helpful tools to watch my personal finances stat changes.