Why Many High Earners Stay Broke and Teachers Retire Rich
Written by
Cindy Lamothe
Edited by
Jenna Klaverweiden
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Ever notice how the people with the biggest paychecks aren’t always the ones sleeping easiest at night? We tend to assume a high income automatically equals financial security, but real life has a funny way of proving otherwise. One Harris poll found that a six-figure salary may cover the basics, but it doesn’t automatically translate into feeling successful or secure.
Some high earners live paycheck to paycheck, while many teachers with far more modest salaries quietly build long-term wealth. In fact, according to Ramsey Solutions’ National Study of Millionaires, teachers were one of the top five professions of millionaires.
So what’s really going on here? Here’s why income alone doesn’t tell the whole money story — and how habits, not paychecks, often make all the difference.
More Money Doesn’t Fix Bad Money Habits
One of the biggest misconceptions about money, according to Anna Baluch, insurance and finance expert at BestMoney, is that earning more guarantees financial security.
“I’ve seen plenty of people earn good money and feel like they’re constantly struggling because their spending habits constantly work against them,” Baluch said.
Wealth, she explained, is built in the decisions you repeat, such as consistently saving a portion of your paycheck, keeping debt low and avoiding lifestyle creep. “Income only becomes wealth when you keep a significant part of it,” she said.
It’s a Mindset Gap, Not an Income Gap
What separates accumulators from spenders is usually mindset, according to Baluch.
“Accumulators give every dollar a job; they set boundaries around spending, protect their money from impulse by making rules for big purchases and frequently check fixed expenses to ensure bills don’t quietly expand over time,” she said.
Spenders, on the other hand, focus more on what their income can buy them today rather than what financial stability could give them tomorrow.
Small, Consistent Choices Add Up
The most helpful thing people can do, Baluch explained, is slow down the spending rhythm. Set a waiting period for big purchases, automate savings and review recurring expenses every few months.
“These little things compound over time. You don’t need a six-figure salary to build wealth; you need to make consistent choices that support your future self,” she said.
The Bottom Line
A big paycheck might look impressive, but it doesn’t guarantee peace of mind — or lasting wealth.
Financial security comes down far less to how much you earn and far more to what you do with it. People who build wealth tend to focus on repeatable habits: spending with intention, saving consistently and resisting the urge to let lifestyle creep take over.
Slow, thoughtful choices made over time beat flashy income every time. In the end, wealth isn’t about earning more; it’s about keeping more and giving your money a purpose.
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