Salary is not making people poor.... Inflation is

[Leahized]

I don't know how salary will grow someone to become wealth, i keep asking myself this question but I couldn't find this question, i actually agree with you when you say salary is just a one source, not even salary, I don't think anyone can build his wealth through one source because there are so many things cover up, the only thing that can be solved with salary is the home needs apart from that not more, this is why we should always try to live within our means.

I believe your words, because it is not possible to lead life in the same way all the time with salary. But salary makes people rich but it requires a lot of hard work. And after meeting the needs of daily life, money has to be saved. Here is the problem of many people they always think, Salary is nothing left after making a living but this is a complete misconception. At the end of the month after meeting all the needs we will have some money left, and that money has to be invested. This will jobs as well as other sources of income and prevent inflation.

[Cookdata]

I agree it is not about salary because you can even increase your income by having additional job but still it will look as if your salary is not enough. If you think salary is the problem you will always struggle to meet up but the main thing is to critically look how to go against inflation by investing in asset that will add value to your income. The mistakes most people normally make they only focus in increasing their income but they never think of to invest because when their is inflation it also important to have an investment at hand too.

These analysis are so wrong if we don't put some factors into consideration. Have you wondered why people keep running to third UK, Canada, Germany and China? People are running from there countries to these developed countries because of standard of living, future of their life and that of their children. Some of them don't have bad inflation as it seems but they lack standard of living, no basic amenities and when none of these things are not available, salary becomes useless.

In developed countries, you pay tax but you will see where your tax is going because you get basic health amenities, you get basic amenities so when you get salary, you can use it to cater things that the government don't provide, you pay bills and do some savings if you are high salary earner but when you don't have all of these and you earn high salary, your life will be so difficult, even the wealthy men from other underdeveloped countries prefer to spend the rest of their lives in developed countries.

[Hewlet]

I don't know how salary will grow someone to become wealth, i keep asking myself this question but I couldn't find this question, i actually agree with you when you say salary is just a one source, not even salary, I don't think anyone can build his wealth through one source because there are so many things cover up, the only thing that can be solved with salary is the home needs apart from that not more, this is why we should always try to live within our means.

I believe your words, because it is not possible to lead life in the same way all the time with salary. But salary makes people rich but it requires a lot of hard work. And after meeting the needs of daily life, money has to be saved. Here is the problem of many people they always think, Salary is nothing left after making a living but this is a complete misconception. At the end of the month after meeting all the needs we will have some money left, and that money has to be invested. This will jobs as well as other sources of income and prevent inflation.

If you're depending on salary alone, you can literally calculate how much you're going to earn by the end of the year and if your salary isn't all that much, at the end of the year, you might have little or nothing left. Of cause, for a salary earner and for someone that has different stream of income,  the way inflation hits them is different because it's generally more deficult growing from salary that it is when you're completely in charge of how much you're earning and can work hard to upscale or grow your earnings.

It's easier to outgrow the degree if inflation we are facing than it is to deal with inflation while earning ordinary salary.

[fuguebtc]

I don't know how salary will grow someone to become wealth, i keep asking myself this question but I couldn't find this question, i actually agree with you when you say salary is just a one source, not even salary, I don't think anyone can build his wealth through one source because there are so many things cover up, the only thing that can be solved with salary is the home needs apart from that not more, this is why we should always try to live within our means.

Yes, most of us will not be able to get rich just by relying on a meager monthly salary. In most cases, that income is only enough to cover living expenses and daily necessities.

However, what do you think about the senior engineers or director level at Google, Apple, and Tesla, who can earn millions of dollars or more each year? Or people holding positions such as director or department manager who earn many times more than the average income in your country. Are they still not considered wealthy even though they earn a great deal of money from their monthly salaries?

[Halifat]

I don't know how salary will grow someone to become wealth, i keep asking myself this question but I couldn't find this question, i actually agree with you when you say salary is just a one source, not even salary, I don't think anyone can build his wealth through one source because there are so many things cover up, the only thing that can be solved with salary is the home needs apart from that not more, this is why we should always try to live within our means.

I believe your words, because it is not possible to lead life in the same way all the time with salary. But salary makes people rich but it requires a lot of hard work. And after meeting the needs of daily life, money has to be saved. Here is the problem of many people they always think, Salary is nothing left after making a living but this is a complete misconception. At the end of the month after meeting all the needs we will have some money left, and that money has to be invested. This will jobs as well as other sources of income and prevent inflation.

If you're depending on salary alone, you can literally calculate how much you're going to earn by the end of the year and if your salary isn't all that much, at the end of the year, you might have little or nothing left. Of cause, for a salary earner and for someone that has different stream of income,  the way inflation hits them is different because it's generally more deficult growing from salary that it is when you're completely in charge of how much you're earning and can work hard to upscale or grow your earnings.

It's easier to outgrow the degree if inflation we are facing than it is to deal with inflation while earning ordinary salary.

Salary earners cannot deal with inflection at all and that is the challenges  we are facing, the biggest problem is that you will not have time to venture into a different way so that you can fill up the gaps that salary cannot fill. Salary paying job is a big trap and that is why our money got eat up by inflection, honestly having different stream of income is actually the best thing for a man, even a woman but especially man because he is the head of the family and his responsibility is to take off his family and their needs, no matter how big the salary is, you will still face challenges because some people believe that if you are being paid a very huge salary you will be a balance, one thing I want them to understand is that the higher the money the higher the problem.

[Jaweria parveen]

Therefore, the salary they have is getting exhausted. When they are passing 20 thousand and there is any inflation from the government, it is difficult to pass 20 thousand. The person who is earning will run his household system with his salary. If there is inflation, it is a very difficult time for him. Therefore, that person thinks of doing two jobs, but due to time and work, more problems arise. For a poor person, everything is what he is earning. If that amount is less for him, he tries to reduce his expenses. Initially, the house could be run with so much money, but with so much money, only the electricity bill is paid, which makes it difficult to meet other expenses. The government should pay attention to this so that it can make life comfortable for the poor with less money, not difficult.

[DiMarxist]

You are actually right in your own way because inflation is what has made the price of goods and services which automatically has increased the cost of living. The the truth is depending on a monthly salary is actually what makes people poor this is because salary is not what one should depends on knowing that salary cannot settle your bills and give you a comfortable life. So invariably speaking salary is what makes people poor due to the effects of inflation which has rendered it useless.

[Akbarkoe]

[...]
In my opinion the biggest financial trap is believing salary growth alone creates wealth… while inflation is quietly eating everything behind the scenes. We have a lot of unseen battles folks

Salary growth can save you from poverty if the growth is significant or more than the inflation that occurs in your country, then the most important thing is that you don't keep your work in cash or fiat completely you have to spread it into investment assets to maintain value it may be one way to avoid a decrease in the value of your money, inflation is a demon that eats your work silently, so you need to spend your money on things that are more productive in value, whether it's BTC, property, gold and others, can use asset diversification for long-term security.

[Versatile_choice]

But salary makes people rich but it requires a lot of hard work. And after meeting the needs of daily life, money has to be saved. Here is the problem of many people they always think, Salary is nothing left after making a living but this is a complete misconception. At the end of the month after meeting all the needs we will have some money left, and that money has to be invested. This will jobs as well as other sources of income and prevent inflation.

Salary can only make one Rich that's if they invested it somewhere, those who live by salary i mean those who depend on thier salary without having other source of getting money like business or Investment is likely not to get rich through their salary because the bills on thier table is way too much so after sorting this bills they may not have enough money Left with them and if they didn't Invest it somewhere there's every possibility of spending it and keep waiting for another pay day, however salary can actually make one Rich that's depending on how it's been manage.

[snowpega]

Yes, most of us will not be able to get rich just by relying on a meager monthly salary. In most cases, that income is only enough to cover living expenses and daily necessities.

However, what do you think about the senior engineers or director level at Google, Apple, and Tesla, who can earn millions of dollars or more each year? Or people holding positions such as director or department manager who earn many times more than the average income in your country. Are they still not considered wealthy even though they earn a great deal of money from their monthly salaries?

Such kind of people don't care much about the increasing rate of inflation. In the majority of cases, when they buy anything, they don't even notice or look at the price tag of the item. If they like it, they just buy it simply. They are actually financially free and don't stress much while spending. Are you getting my point? And on the other hand, those who earn a normal wage they get badly impacted when the rate of inflation starts to increase. Because whatever they earn on a monthly basis, they have to manage their expenses with those funds.

Like rental expenses, gas fee, electricity fee, transport fee, children's expenses(their pocket money and tuition fee, etc), and some other expenses are also included here. So, that is why there is a big need to control the rate of inflation so those who are middle class or poor people can be able to manage their expenses easily. Well, this is my point of view. What do you think about it? Would love to know your opinion on this.

[WatChe]

Salary can only make one Rich that's if they invested it somewhere, those who live by salary i mean those who depend on thier salary without having other source of getting money like business or Investment is likely not to get rich through their salary because the bills on thier table is way too much so after sorting this bills they may not have enough money Left with them and if they didn't Invest it somewhere there's every possibility of spending it and keep waiting for another pay day, however salary can actually make one Rich that's depending on how it's been manage.

Salaries are not increasing with rate at which inflation is increasing. If you are dependent on salary only then you will suffer in the long run because with time it will be difficult for you to complete a month on salary only. Therefore for salaried person, its important to have other sources of income also and in today's world its not difficult to find an online work that can give you a decent return every week or month. Increasing your earning is better then cursing the every increasing inflation.   

[Sammye3]

Well, inflation in a country destroys the economy entirely making one's effort seem futile and unproductive. In a country where the cost of expenditure exceeds the minimum wage in the month, it is only reasonable that there would be higher cases of poor people in that country.

To maintain a stable economy, the least minimal job should receive a pay that would be able to provide the necessary needs before talking about investment. It is also important that one gains an additional source of income (maybe a skill) aside salaries, that should help to support the cost of expenses and ease living.

[Muba20]

In my opinion the biggest financial trap is believing salary growth alone creates wealth… while inflation is quietly eating everything behind the scenes. We have a lot of unseen battles folks

If you think a little deeper, you can easily understand this. The price of everything used in daily life is increasing day by day. If the cost of living is more than the income due to the increase in the basic price, then even if the salary increases by 30%, that increase will never bring you comfort. If you are an employee of a private organization, then you also have to think that the salary you are paying will have to be paid to all the employees in that organization in the same way. Will they be able to provide so much money there that can meet all your needs? If the income is low and the price of money remains the same, then people can live with a small income. Inflation reduces the price of money that people have accumulated, which is why even if everything is fine, people cannot fulfill their needs with their income. If there was no inflation, you could be satisfied with whatever income you had.

[Mikky02]

Inflation has been the biggest economical problem and one major reason for poverty . Salaries only add to economical growth which is no longer enough for alot of individuals due to the rapid increase of prices of goods and services making salaries earner look poor if after the increase of prices of goods and services salaries are also increased it makes things more easier and better and I'll say what's making them look poor is that they don't spend beyond their budget and that because most of them are likely paid by mouth end if the salaries are not enough where will they get money to invest or even saving the problem is salaries are fixed and don't increase when inflation occurs

[Hamza2424]

Savings is one of the only ways for us to protect ourselves from crushing inflation because without adopting and using these options, it becomes much harder to survive financially. That is why it is best to save consistently and invest whatever we can afford to invest. That is how we can slowly improve our lives and build something better for the future.

Because if we stay trapped in a cycle where we earn money and spend all of it on expenses, then even after 50 years we may end up with nothing except that same job, and relying only on a job is risky nowadays with so many layoffs happening around us.

With a small DCA strategy into Bitcoin, we can at least preserve some wealth for the long term.

Just like I have done it is easy to fetch inflation linked post, inflation is discussed already on the economic board in a Mega manner ...

You would find hundreds of topics about inflation already created on this board bro. You did not have to mention all of them because the OP here wants to discuss it from a fresh perspective. Also, inflation is something that changes over time, and it is more interesting to discuss it in a new topic every now and then. At least I find it interesting because the discussion stays updated.

[Onyeeze]

You are actually right in your own way because inflation is what has made the price of goods and services which automatically has increased the cost of living. The the truth is depending on a monthly salary is actually what makes people poor this is because salary is not what one should depends on knowing that salary cannot settle your bills and give you a comfortable life. So invariably speaking salary is what makes people poor due to the effects of inflation which has rendered it useless.

sometimes I begin to wonder how people who depend on monthly salary survive in this inflation because as we are into inflation in my country the salary scale of civil servant in my country does not increase and government is not interested to increase a payment because of inflation but people who are business minded they survive under inflation due to their businesses and they increase the price of commodities to fitting their own needs and the demand so I think people who depend on business they are the people that can survive inflation

[UmerIdrees]

I believe your words, because it is not possible to lead life in the same way all the time with salary. But salary makes people rich but it requires a lot of hard work. And after meeting the needs of daily life, money has to be saved. Here is the problem of many people they always think, Salary is nothing left after making a living but this is a complete misconception. At the end of the month after meeting all the needs we will have some money left, and that money has to be invested. This will jobs as well as other sources of income and prevent inflation.

Salary doesn't make you rich, but it will keep your daily and monthly expenses running and keep you in a comfort zone. The only exception to this is if you are a very good post and in a multinational company, then you can assume that you are earning something substantial which you can also save after meeting your monthly expenses.

Also, inflation affects the salary class more severely than the business class. Salary doesn't increase with the rise in inflation, but if you're doing business, you may increase the price of your product anytime to cope with inflation.

[junder]

I agree with you that salary is not the main cause of poverty, but it's neither the path to wealth either, because you can never be rich if you rely on it alone, and if you cannot multiply your money, because investment is the only way you do that.

Inflation plays it own role on making your salary looks like peanut, no matter how big your salary is, but if you are a business person, you will feel less of the effect like salary earner, so I agree with your sentiment here that to beat inflation, you have to invest in an asset that appreciates in value overtime, because that's the only way you can grow rich and your asset will beat inflation along the line.

Sometimes poverty is caused by poor money management a person may have a salary that is actually sufficient to meet their needs, but poor money management keeps them in poverty and prevents them from escaping it.
If this poor money management behavior is not corrected, they will never be able to escape poverty.

With good money management, they will be able to escape poverty though it may feel difficult, it is still possible.
With good money management, a person will think of ways to use their money wisely and even generate more income such as through investing, as you mentioned.

[DanWalker]

I agree with you that salary is not the main cause of poverty, but it's neither the path to wealth either, because you can never be rich if you rely on it alone, and if you cannot multiply your money, because investment is the only way you do that.

Inflation plays it own role on making your salary looks like peanut, no matter how big your salary is, but if you are a business person, you will feel less of the effect like salary earner, so I agree with your sentiment here that to beat inflation, you have to invest in an asset that appreciates in value overtime, because that's the only way you can grow rich and your asset will beat inflation along the line.

Salary will not make us rich, but investing is not the only path to wealth either. Business, skill development, participating in technology field and creating products and intellectual assets can also lead to wealth. This is the path most billionaires choose to build their enormous fortunes, not just by investing in gold or bitcoin.

Investing in assets that appreciate over time is a good way to hedge against inflation, but that alone is not enough. Increasing income is more important, as it lays the foundation for sustainable wealth accumulation and growth over time.
To become wealthy, focus on increasing your income instead of investing a small amount of money and hoping it will multiply a hundredfold to make you rich.

[Webetcoins]

It is true that you are not going to get anything that would be profitable for you on the long term if inflation keeps rising but your salary doesn't. So salary is a part of it, we can't just say it is not the salary and it's the inflation, they are the problem together.

Inflation is the problem that requires your salary to go up, and your salary not going up is another problem that follows that. I think it's clear that we need to do better on both parts, lower inflation, higher salaries.