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Rich Girl Dictionary: Lifestyle Creep · Two Broke Chicks

• 0:00
  Speaker 1: This podcast is recorded on gaddigal Land, Always was, always
• 0:04
  Speaker 1: will be Aboriginal Land.
• 0:10
  Speaker 2: Hey jis, I'm out and I'm sack And this is
• 0:12
  Speaker 2: two broachings to show the shares, Life lessens and tipstail
• 0:15
  Speaker 2: make you rich in life and welcome to our final
• 0:19
  Speaker 2: episode of our mini series, The Rich Girl Dictionary.
• 0:23
  Speaker 1: These are bonus episodes just for you chicks yep.
• 0:26
  Speaker 2: Each episode has focused on a financial term to help
• 0:30
  Speaker 2: you upgrade your finances and become the money savvy baddie
• 0:35
  Speaker 2: you will always meant to be.
• 0:36
  Speaker 1: And it's all thanks to you banks. So let's get
• 0:39
  Speaker 1: into it our final one.
• 0:40
  Speaker 3: I Know do do?
• 0:44
  Speaker 1: This week's Rich Girl Dictionary term.
• 0:47
  Speaker 2: Is lifestyle creep creepy, creep creepy, peper creepy. Do you
• 0:52
  Speaker 2: know one time I jumped on the creepy crawley in
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  Speaker 2: the pool, I shredded my entire foot? Yeah, but you
• 1:01
  Speaker 2: feel bad for laughing. Just recreated that like Jake Shane
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  Speaker 2: and ed cheering me. But yeah, and I jumped on
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  Speaker 2: the creepy crawley shredded my entire foot.
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  Speaker 3: Was Christmas Eve was.
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  Speaker 2: The day two days before we're leaving for our first
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  Speaker 2: ever camping trip ats autel and I had to swim
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  Speaker 2: with a plastic bag taped around my foot.
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  Speaker 3: Wow?
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  Speaker 2: Is that loser walking around with like a cold plastic
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  Speaker 2: bag tape taped around my foot? And I was like
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  Speaker 2: mum please, and she was like, you've got to put
• 1:36
  Speaker 2: your bag on.
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  Speaker 1: Wow.
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  Speaker 3: So well, yeah, creep creeps can get the better of you.
• 1:42
  Speaker 2: They can creepy crawlies, and in this case, the lifestyle creepy,
• 1:46
  Speaker 2: the lifestyle creepy crawlies.
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  Speaker 1: Sorry if you don't know what lifestyle creep is, it's
• 1:52
  Speaker 1: basically when you're spending.
• 1:53
  Speaker 3: Quietly upgrades itself every.
• 1:54
  Speaker 1: Time your income does, until your bigger paycheck somehow feels
• 1:58
  Speaker 1: just as tight as the last one. And it's never
• 2:02
  Speaker 1: just one big thing. It's the subscriptions adding up that
• 2:05
  Speaker 1: really expensive grocery store habit, the consistent upgrades of your
• 2:09
  Speaker 1: electronic devices. The average Australian household now holds three point
• 2:14
  Speaker 1: seven streaming subscriptions, up from two point three just four
• 2:18
  Speaker 1: years ago, and gen Z households alone are spending one
• 2:22
  Speaker 1: hundred and one dollars a month on subscriptions.
• 2:25
  Speaker 3: Yeah, that checks out. I'm not gonna lie yep.
• 2:28
  Speaker 2: And there's also like phone upgrades, which are a common
• 2:32
  Speaker 2: hallmark of lifestyle creep, as many people upgrade them without
• 2:35
  Speaker 2: actually needing to replace a faulty device. In a recent survey,
• 2:39
  Speaker 2: twenty five percent of people said they upgrade their mobile
• 2:41
  Speaker 2: devices every three years, and twenty nine percent said they
• 2:44
  Speaker 2: buy a new phone every two.
• 2:46
  Speaker 3: Years or less.
• 2:47
  Speaker 2: And even like the one you were talking about before
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  Speaker 2: is like grocery shopping and like how that was? Like
• 2:53
  Speaker 2: I was like, oh crap, that that really is one
• 2:56
  Speaker 2: of my lifestyle creeps. I reckon, Yeah, that you start
• 2:59
  Speaker 2: shopping at the fancy grosser Yeah, you're like, oh, switching.
• 3:03
  Speaker 1: From the no name brands.
• 3:05
  Speaker 2: Yeah names. But it's a creep because none of it
• 3:10
  Speaker 2: feels like overspending in the heat of the moment, and
• 3:13
  Speaker 2: it's very small and can go under the radar, so
• 3:17
  Speaker 2: every single decision seems reasonable.
• 3:19
  Speaker 3: It's only when you zoom out.
• 3:20
  Speaker 2: That you realize your whole lifestyle has quietly inflated around you.
• 3:25
  Speaker 2: Can you pinpoint the moment your standards quietly upgraded?
• 3:29
  Speaker 1: I feel like there would be so many examples, but
• 3:33
  Speaker 1: one that feels really frivolous is spending money on like
• 3:39
  Speaker 1: the express delivery for food delivery in how that's an
• 3:42
  Speaker 1: option or even choosing like the more expensive option on
• 3:46
  Speaker 1: ride share, so like I know what it is, like
• 3:49
  Speaker 1: the comfort or like the or whatever, like the fancier
• 3:53
  Speaker 1: car or whatever bride share, because back in the day,
• 3:58
  Speaker 1: you're getting three trains if you'll want to go out, sweetie,
• 4:01
  Speaker 1: like you like public transport?
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  Speaker 2: Was it?
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  Speaker 1: I was literally thinking about that this morning. I was
• 4:06
  Speaker 1: like I saw some kids like walking to the high
• 4:08
  Speaker 1: school near our office, and I was like, you know,
• 4:12
  Speaker 1: reminiscing on the days when I'd like, you know, miss
• 4:14
  Speaker 1: the school bus and yeah, and I'd be like, what
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  Speaker 1: did I do, Like what would I do when I
• 4:18
  Speaker 1: missed the b have to like walk or like go
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  Speaker 1: to the train station that was further away and then
• 4:24
  Speaker 1: be late and you'd have to go to the office
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  Speaker 1: and they'd sign your diary. Oh my god.
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  Speaker 3: It was awful.
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  Speaker 1: Yeah, And I was like thinking about it, and I
• 4:30
  Speaker 1: was like, if I went to high school now, I
• 4:31
  Speaker 1: wonder if I would just have an Uber account and
• 4:33
  Speaker 1: I'd just get an Uber to school.
• 4:35
  Speaker 3: I think some people do that.
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  Speaker 2: Yeah, I think most students get public transport to school,
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  Speaker 2: of course.
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  Speaker 3: Yeah, but even like back in the days.
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  Speaker 4: But I'm like I need to have that mind, be
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  Speaker 4: like getting buses and stuff to go out, like if
• 4:48
  Speaker 4: and you'll get into that train station by the time
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  Speaker 4: the last train goes, or like to have to get
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  Speaker 4: a taxi.
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  Speaker 3: Was just like A, no, that's not happening.
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  Speaker 2: Whereas like, that's probably the lifestyle creep that I can
• 5:00
  Speaker 2: identify the most.
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  Speaker 3: I'm such just so lazy.
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  Speaker 1: I'm like, oh, half an hour walk the convenience sat.
• 5:07
  Speaker 2: Yeah, I'm like walk, get the steps saving Oh yeah,
• 5:11
  Speaker 2: we walked yesterday, I know. Proud of us, yeah, proud
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  Speaker 2: of us.
• 5:19
  Speaker 1: So how can we get control of lifestyle creep? Because
• 5:23
  Speaker 1: willpower alone doesn't work. You need a system because lifestyle
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  Speaker 1: creep is gradual, emotional and completely normalized by everyone around you.
• 5:33
  Speaker 1: Sixty three percent of Australians say their expenses are rising
• 5:36
  Speaker 1: faster than their income, so this isn't just a you problem,
• 5:40
  Speaker 1: It's an everyone problem.
• 5:42
  Speaker 3: The move is to pay yourself first.
• 5:44
  Speaker 2: With you Bank split income feature, you can set up
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  Speaker 2: the amount you want to allocate from your pay across
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  Speaker 2: your spend, bills and savings from the moment it hits
• 5:52
  Speaker 2: your account before lifestyle creep gets.
• 5:55
  Speaker 3: A look in.
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  Speaker 2: Then layer on savings targets onto your spending. So like
• 6:00
  Speaker 2: set a goal, set a date, and then your bank
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  Speaker 2: tells you exactly how much to put away each pay
• 6:05
  Speaker 2: cycle to get there, which is good because it's like
• 6:08
  Speaker 2: your parent basically like I would pay that money. Yeah,
• 6:13
  Speaker 2: I don't want to have to think about it. It's
• 6:15
  Speaker 2: part Yeah, like it does take a lot of that
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  Speaker 2: like effort.
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  Speaker 4: Out of it, the mental load, seriously, and I do
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  Speaker 4: think the goal like naturally.
• 6:25
  Speaker 2: As you get older, as you earn more, like you
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  Speaker 2: will probably will start spending a bit more.
• 6:31
  Speaker 3: Yeah, and like that's just how life works.
• 6:33
  Speaker 1: And sometimes that can be an enjoyable and good thing. Yeah,
• 6:36
  Speaker 1: being like I value this, so I'm actually going to
• 6:38
  Speaker 1: invest more money in.
• 6:39
  Speaker 3: That part of my life.
• 6:40
  Speaker 2: But it doesn't it doesn't automatically mean it's a bad thing.
• 6:44
  Speaker 3: For example, one thing.
• 6:45
  Speaker 2: That I would say is lifestyle creep, but I don't
• 6:47
  Speaker 2: see it as a bad thing.
• 6:48
  Speaker 3: Is like I pay.
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  Speaker 2: More in rent now than I did five years ago.
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  Speaker 2: One that's just due to like the market. But it's
• 6:56
  Speaker 2: like that is so it's so valuable to me to
• 6:59
  Speaker 2: have a whole that I love and I'm comfortable in
• 7:03
  Speaker 2: and I feel safe in. So like that to me
• 7:06
  Speaker 2: is still lifestyle creep because as I've you know, worked
• 7:10
  Speaker 2: more and goten older and earned more, I can afford
• 7:13
  Speaker 2: to pay more in rent, but I want to pay
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  Speaker 2: more in rent, Like it actually.
• 7:17
  Speaker 1: Aligns with your values and you recognize I'm paying more
• 7:20
  Speaker 1: for this because of XYZ.
• 7:23
  Speaker 2: Whereas on the other one, I'm like, I could definitely
• 7:26
  Speaker 2: get cars a lot less, Like get on the train, girl, yeah,
• 7:30
  Speaker 2: get the steps in, get that bus. Also, like every
• 7:34
  Speaker 2: time I take public transport, I'm like, I should do
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  Speaker 2: this more. Yeah, I'm like, well, I but I drive
• 7:40
  Speaker 2: most places. But even that, it's like rather than driving
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  Speaker 2: most places and having to pay more for petrol, Like
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  Speaker 2: that's even just so.
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  Speaker 3: Small you wouldn't even put that in it.
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  Speaker 2: But it's like, no, because the more I drive, the
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  Speaker 2: more I'm paying for petrol, the more that is an expense,
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  Speaker 2: and that creep starts to set in. Get away creep,
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  Speaker 2: your creep, your creeper creep. What's your good life? What's
• 8:03
  Speaker 2: an example of good lifestyle creep that you have? I
• 8:06
  Speaker 2: would say betting, Oh yeah, yeah, Like that's.
• 8:09
  Speaker 1: Definitely something that in my early twenties, you know, I
• 8:13
  Speaker 1: was trying to get the most budget friendly option as possible.
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  Speaker 1: And then as I got older and was earning a
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  Speaker 1: little bit more money, could invest in a mattress and
• 8:20
  Speaker 1: betting that was actually comfortable and conducive to a good
• 8:23
  Speaker 1: night's sleep, because that is a value of mine.
• 8:25
  Speaker 3: I agree.
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  Speaker 2: Yeah. The goal isn't to stop enjoying your life as
• 8:29
  Speaker 2: it improves. It's to make sure your bank balance is
• 8:31
  Speaker 2: growing right alongside it, like money that moves you forward,
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  Speaker 2: so you can be unstoppable in your savings goals.
• 8:39
  Speaker 3: I love it.
• 8:40
  Speaker 1: Yeah, that's it for this mini series, the Rich Gild Dictionary.
• 8:44
  Speaker 3: Love it.
• 8:44
  Speaker 2: We hope you enjoyed it, and now go out there
• 8:47
  Speaker 2: and live your best rich girl life.
• 8:49
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• 8:56
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