I just got a raise and I’m doing absolutely nothing with it.
When I got the news about my promotion, the usual thoughts came fast: maybe a Tesla, an in home ice bath with chillers included, or some home renovations (my kitchen leaves a lot to be desired).
But I refuse to get on the hedonic treadmill—the idea that as income rises, expectations rise right along with it.
You run faster, but end up in the same place emotionally and oftentimes worse financially.
According to a 2010 Princeton study by Daniel Kahneman and Angus Deaton, happiness rises with income only up to about $75,000 a year (around $107,000 today).
After that it’s not about money. It’s about meaning.
So I decided with each raise my lifestyle stays the same.
My 401(k) goes up.
My Robinhood account goes up.
But my day-to-day doesn’t change.
It’s all about controlling the constants.
I have a great wife, a great dog, and friends to play volleyball or pickleball.
And that wouldn’t change if I made $50,000 a year or $500,000 a year.
I’ve learned the art of refusing to run faster on the treadmill.
Framework: The Anti-Inflation Protocol
Recognize the treadmill: Happiness ≠ spending.
Freeze your lifestyle: Keep your expenses flat (by finding joy in the things that wouldn’t change).
Redirect the raise: Automate it into investing before you ever see it
But I want to be clear. There’s a difference between complacency and contentment.
We are striving for contentment, but that doesn’t call us to be complacent.
If you want to be more money for the right reasons… do it.
Just be sure that you’re spending it for you, and not to impress those around you.
— Jake
What’s something you spend money on today that never would have when you were a broke college student?