Affluent individuals possess significant discretionary income, allowing them financial comfort and flexibility, though they are not necessarily millionaires.
Luxury goods are items that are not necessary for basic living but are pleasurable and often expensive. These high-value items are typically purchased with discretionary income.
A comprehensive guide on discretionary income, which is the portion of an individual's income available for spending, investing, or saving after all essential expenses and taxes are covered.
Explore the phenomenon of lifestyle creep, where increased discretionary income leads to a rise in standard of living and former luxuries becoming new necessities. Learn how it works, its implications, and how to manage it effectively.
