The Income Lab | Smart Money Tips for Middle-Class Indians

Have you ever wondered why your salary keeps increasing, yet your bank balance hardly grows? You're not alone. Most middle-class earners fall into what's called "The Salary Trap" —a vicious cycle where your lifestyle grows alongside your income, but your wealth remains stagnant. In this blog, we’ll break down: Why most people are stuck in this trap How to escape it with simple yet powerful money shifts Proven strategies to grow wealth—no matter your salary Actionable systems you can start today   🔍 Section 1: Why Most People Are Stuck in The Salary Trap Let’s be brutally honest. If you’re like most Indians: Your salary hits your account by the 1st of every month . By the 20th , you're wondering where it all went. In fact, in one of your most-read blogs, you already explained this in detail: 👉 Why You’re Broke by the 20th of Every Month (Even With a Decent Salary) But here’s what keeps people broke: "They confuse high incom...

  You got the raise. You’re still broke. Here’s the psychological trap most Indians fall into—and 5 science-backed ways to escape it. What Is Lifestyle Creep? Lifestyle creep (or lifestyle inflation) is what happens when your income increases—and so does your spending. You used to get by on ₹40,000/month. Now you're earning ₹80,000 or even ₹1.2 lakh. But strangely, you're still living paycheck to paycheck. No real savings, no investments, just... fancier shoes, more Swiggy orders, and a slightly nicer phone. Sound familiar? This is lifestyle creep in action. And it’s more dangerous than it seems. Why It’s So Dangerous Lifestyle creep is subtle. It feels like you're improving your life (and in some ways, you are). But it’s a trap because: Your expenses rise with your income, leaving your savings unchanged (or worse, declining). You develop expensive habits that are hard to reverse. You feel financially stuck, even when you’re earning more than ever. W...