Are you earning big but feeling broke? You’re not alone. Welcome to the world of the H.E.N.R.Y.—High Earner, Not Rich Yet. This growing demographic of six-figure earners finds themselves in a financial paradox, with significant income but little to show for it in savings or investments. This episode dives into the two primary culprits behind the HENRY trap: the combination of lifestyle creep and a lack of a clear financial plan. We’ll show you how to hit pause, realign your spending with your values, and stop comparing your life to everyone else’s.
Liz joins this week’s podcast as we talk about:
– Defining the H.E.N.R.Y. (High Earner, Not Rich Yet) acronym and its relevance today
– Understanding why income and wealth are not the same thing
– The two biggest things holding HENRYs back from building wealth
– The sneaky, wealth-stealing habit of lifestyle creep
– The danger of not having a clear financial plan or goals
– How to “hit pause” and create an intentional plan for your money
– The pressure to “keep up with the Joneses” and its effect on your finances
– Strategies for becoming a “conscious spender” and aligning spending with personal values
– The importance of defining your own version of success and happiness
– Actionable steps to escape the HENRY trap and start building lasting wealth
Show References:
- Inside Out Money episode #045. The one metric you likely don’t track: Lifetime gross savings rate
- friends on FIRE podcast #015 – Expense Tracking Gone Wild
- Monarch Referall Link: Monarch Expense Tracking – Get 50% off you first year
A HENRY listening list to keep you motivated:
- Inside Out Money podcast #038. The inside job of improving your finances
- Inside Out Money episode #008 – Save or splurge!? Being intentional with your spending
- Inside Out Money episode #010 – Out of sight, out of mind spending
- Inside Out Money episode #021 – What is enough?
- friends on FIRE podcast #095 – How to stop caring what people think and start living
- Inside Out Money podcast #057 – Comparison is the thief of joy – Stop comparing yourself to others
- Inside Out Money podcast #08 -. Trick yourself into spending less money
- Inside Out Money episode #007. Do $118 yoga pants make you happier? Lifestyle creep and lifestyle satisfaction
- Inisde Out Money episode #030 – Simple joys and the art of saving money
- Inside Out Money podcast episode #034 – Predatory marketing tactics and scams – How to spot and avoid them