It seems logical that the more money you earn, the more money you would manage to accumulate over a lifetime. Starting with a decent tailwind on the income side must surely lead to a easier time scrapping your way to multimillions, right?
Another great way to sabotage your financial future is spending like you are making $300,000 (or more) BEFORE you get there. It’s an easy trap to fall into, especially as you watch your more senior colleagues rake it in.
Here in London, I do know some couples where both husband and wife hold down high-earning jobs as lawyers, bankers, or private equity professionals. Usually, that means outsourcing pretty much all household and childcare chores.
In many industries, the way to ascend the career ladder is to move around geographically. But most importantly, moving around may preclude your ability to build home equity.
You either end up renting for big chunks of your life, or you end up selling and buying houses so often that transaction costs decimate any equity you’ve built up. In other words, tread carefully.