No matter what you achieve, there will be a higher level you want to progress to. This is obvious as you think about your career, education, and everything you buy. You start your career in an entry-level position, and you aspire to become a manager. Once you become a manager, you set your eyes on a director role. Once achieved, you want to join the C-suite. Once you’re at the top executive position of the company, you realize that there are larger companies you can lead. So, you move from a small business of 50 employees to leading an organization with 500 people. Next, it’s a company with 10,000 people. Then, you realize that you could be leading several large businesses or running for president and leading the country!

In personal finance, there are the same levels. You may start with a net worth goal of $1,000,000 which, at the time seems unattainable and like a significant achievement – millionaire status. But once you join the millionaire club, you realize that it’s not so special and that there are 22.7 million millionaires in the US alone – that’s one millionaire for every 15 people (Fleck, 2023). After realizing that a million-dollar net worth is underwhelming, you set your eyes on $10,000,000, expecting that it will be everything you were looking for. But, again, once you get there, you are not satisfied and see 20-something-year-old basketball players earning more than that in a single season. You also realize that in the latest issue of the Forbes 400, the poorest of the richest 400 Americans is worth more than $2 billion. How could the poorest person on that list feel good with their measly $2.9 Billion, when there are 399 richer Americans, some with more than 100 times more wealth.

I have always had a keen interest and passion for mechanical watches. The impressive precision of the complicated movements combined with the artistic design of the timepieces always fascinates me. This, like most other things you can purchase, has staggering levels to it. If you have a fascination with mechanical watches (like I do), you can purchase an entry-level, but high-quality, Swiss-made mechanical watch for around $1,000 from companies like Hamilton or Tissot. But once you get that watch and have worn it for some time, it’s only natural to decide that you want to own the world’s most popular Swiss watch brand – Rolex. So, you save up enough to buy an entry-level Rolex, the Oyster Perpetual model for $7,000 – seven times that of your first mechanical watch. But, now that you’ve had the Rolex for a year, you decide that you want one of the more coveted Rolex models – the Daytona. You manage to find a steel Daytona available, and you buy it. It’s $20,000. Again, you wear it for a year, and you get tired of people asking you if it’s the white gold or platinum model, and you begrudgingly tell them that it’s ‘only’ steel. Now, you decide to upgrade to the Platinum model – the most expensive Daytona advertised by Rolex at $90,000. Now that you’ve joined the group of serious watch enthusiasts, you see peers in your horological circles with much more valuable timepieces. You see $400,000 Royal Oaks, and $800,000 Nautiluses, even some watching reaching into the millions at auctions due to their exclusivity and demand for them. Once you make the realization that the levels are seemingly never-ending, you may, like I have, lose interest in participating altogether. I have nearly convinced myself several times about purchasing an expensive (to me) high-quality mechanical watch, but I’m clever enough to see that once I get the watch, I – like others – will want to step up to the next level.

With these examples and many others, we can all relate to – the cars we purchase, the houses we buy, the restaurants where we eat, our academic accomplishments, the way we travel, etc. – if you chase status levels for fulfillment, you will never find it. No matter what level you achieve, there will always be a higher tier, and someone more accomplished in that area. Instead, celebrate your personal and professional goals and do not allow status tiers or comparisons to others undermine your accomplishments.

References:

Fleck, A. (2023, August 25). Infographic: The Number of Millionaires Has Skyrocketed. Statista Daily Data. https://www.statista.com/chart/30671/number-of-millionaires-and-share-of-the-population