Wealth and Well-Being: Finding Balance as a High-Income Earner
Authored by Eric Van Der Hyde, CFP®, CEPA®, RICP®
At Concentric Wealth Partners, we specialize in working with high-income earners who face a unique challenge: balancing the drive to build lasting wealth with the desire to enjoy the lifestyle their success affords. While disciplined saving and strategic investing are essential for long-term financial security, so too is the ability to spend meaningfully on the experiences and comforts that enhance life today. In this post, we explore how to strike the right balance between wealth accumulation and lifestyle enhancement—so you can live well now, while still building a future that reflects your ambitions.
Unlike those with more modest incomes, high earners often have the capacity to both enjoy a rich lifestyle and accumulate significant wealth—if they plan intentionally. The danger lies not in spending more, but in doing so without a strategy.
Without guardrails, unintentional “lifestyle creep,” as it has come to be known, can:
- Delay or derail retirement goals
- Limit flexibility in career transitions
- Increase financial stress despite high earnings
- Reduce the ability to leave a meaningful legacy
What Is Lifestyle Creep?
Lifestyle creep occurs when your spending increases in tandem with your income. Over time, what once felt like a luxury becomes a necessity. While it’s natural to elevate your lifestyle as your earnings grow, unchecked lifestyle inflation can quietly erode your ability to build lasting wealth.
Enjoy Today, Plan for Tomorrow
At Concentric Wealth Partners, we believe in a "both/and" approach—you can enjoy your success today and build a secure, flexible financial future. Here’s how:
1. Define Your Financial Vision
Start with clarity. What does financial success look like to you? Whether it’s early retirement, funding your children’s education, or philanthropic giving, your values and personal goals should guide your spending and saving decisions.
2. Automate Wealth Accumulation
Before lifestyle upgrades, prioritize:
- Maximizing tax-advantaged savings (401(k), backdoor Roth IRAs, HSAs)
- Leveraging executive compensation (stock options, deferred comp plans)
- Building a diversified investment portfolio in addition to traditional retirement and executive compensation plans
3. Create a Lifestyle Budget—With Flexibility
Rather than rigid restrictions, build a spending plan that reflects your values. Allocate a portion of income for lifestyle upgrades, while maintaining a healthy savings rate. This allows you to enjoy life now without compromising future goals.
4. Stress-Test Your Plan
We use advanced financial modeling to simulate various life scenarios—career changes, market downturns, health events—to ensure your plan is resilient. This gives you the confidence to spend intentionally, knowing your future is secure.
5. Revisit and Adjust Regularly
As your income, goals, and lifestyle evolve, so should your financial plan. We meet regularly with clients to adjust strategies, optimize tax efficiency, and ensure alignment with their broader life vision.
Our holistic approach to wealth management is designed specifically for high-income earners. We integrate:
- Executive compensation planning
- Tax strategy
- Investment management
- Cash flow planning
- Estate and legacy planning
All with the goal of helping you live well today while building a future that reflects your values and ambitions.
Final Thoughts
Lifestyle creep isn’t inherently bad—it’s a natural part of financial growth. The key is to manage it with intention. With the right strategy, you can enjoy the lifestyle you’ve earned while ensuring your wealth works for you, now and in the future.
Let’s talk about how we can help you find that balance.
Contact Concentric Wealth Partners today to schedule a personalized consultation.
