
When you receive a salary increase, even a small amount, it always feels great at first. You imagine upgrading your lifestyle, like having better food, moving to a bigger apartment, or buying a new phone you’ve been eyeing.
But a few weeks in, that excitement fades, and somehow, it still feels like it’s never enough.
If you have ever experienced this, it’s not just about money. It’s psychology.
This phenomenon is called hedonic adaptation. Simply put, humans quickly get used to improvements in life, whether it’s a higher salary, a new gadget, or even a bigger house. What initially brings happiness and excitement soon becomes your “normal,” and your brain starts craving the next upgrade.
In practical terms, that Ksh5,000 raise that felt life-changing in January now feels ordinary. Suddenly, that extra income barely covers new lifestyle expenses, and you may find yourself wondering why your wallet still feels tight.
Also Read: Why You Spend Money the Way You Do - It’s Deeper Than You Think
Hedonic adaptation explains why:
Hedonic adaptation doesn’t just affect emotions. It impacts your finances, too. If you're not careful:
Also Read: How Supermarkets Trick Your Brain Into Spending More
The good news? Awareness is powerful. By understanding hedonic adaptation, you can take practical steps to enjoy your raise without letting it slip away.
1. Adjust gradually
Instead of upgrading everything at once, pick one or two meaningful improvements. For example, treat yourself to slightly better groceries or a weekend outing, but keep other spending habits unchanged.
2. Automate your savings
Before you touch the raise, set aside a portion for long-term savings or investment. Treat it like a non-negotiable expense. This way, your wealth grows even as your lifestyle adjusts.
3. Track your lifestyle inflation
Keep a record of how you spend your salary over time. Seeing small upgrades and expenses in black and white helps you resist unnecessary spending.
4. Celebrate wisely
Small celebrations are okay — a nice meal, a new shirt, or a small gadget. But avoid tying happiness entirely to new possessions. Focus on experiences that don’t drain your wallet.
5. Reframe “enough”
Happiness doesn’t come from endless upgrades. Take stock of what you already have. Gratitude and contentment are powerful tools against hedonic adaptation.
Your salary increase can be a powerful tool if you use it wisely. The challenge isn’t just earning more; it’s keeping your spending in check while growing your savings. By recognising hedonic adaptation and controlling lifestyle inflation, you can enjoy your raise without feeling like it’s ever “not enough.”
Sometimes, the smartest money decision isn’t how much you earn, it’s how you manage what you already have.
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