10 Reasons Making Less Money Is a Blessing in Disguise


While it seems like making lots of money would always be desirable, sometimes making less money is a blessing in disguise. If you are living on a limited income, it’s time you realize the benefits that accompany making less money.

1. Lower tax brackets

Since the tax tables are based on what you make, the higher your income climbs, the more you will pay in taxes. Sometimes, a bump in pay puts you into a higher tax bracket that actually lowers your take-home pay. In this case, making less beats making more any day.

2. Keep your disability pay

Even when you receive Social Security Disability, you can still make a certain amount of money. Once you surpass the limit set by the government, however, you put yourself at risk of losing your disability payments. Keeping your income under that limit ensures that your benefits will continue.

3. Qualify for food assistance

When the combination of your income and the number of members in your household are just right, you can qualify to receive food assistance. When your income climbs too high, you will no longer qualify. If you are on the lower end of the salary scale, contact your local social services organization and apply for food assistance.

4. Receive free medicaid

Now that the Affordable Healthcare Act has been enacted, huge numbers of low-income individuals who did not qualify for Medicaid before have become eligible. Since even routine medical costs can quickly grow out of control, receiving Medicaid is an invaluable benefit of making less money.

5. Receive charity

With so many people in need of assistance nowadays, charities have ramped up their attempts to help those who need help. A lower income will help you take advantage of assistance from food banks, receive holiday food and gift baskets and receive gently-used, donated clothing, all benefits that will stretch your limited dollars.

6. Focus on what matters

Oftentimes, people forget what really matters in their pursuit of making ever-increasing amounts of money. When you’ve learned to live on a limited income, you can take time out to focus on what really matters. You can relax and enjoy your family, get involved at church and take time to reflect on the blessings in your life.

7. Less possessions, more free time

While accumulating possessions may seem like fun at the time, the more possessions you have, the more time you must spend taking care of them. Fancy cars, boats, recreational vehicles and other possessions that those with money own often end up owning them instead when the owners have to invest time and money in upkeep and maintenance.

8. Avoid phoniness

If you have spent time around people with large amounts of disposable income, you may have noticed how much effort they put into keeping up with the Jones. Worried only about outward appearances, such people often live a phony life. When you live modestly, there is no need for pretense. You can simply relax and be yourself.

9. Receive utility assistance

When your neighbor complains about his high winter heating bills, you can smile secretly to yourself because you know that your lower income qualifies you for assistance with your utilities. Many people with minimal income are able to receive benefits that make their heating and cooling bills a fraction of what they would be if they made more money.

10. Avoid making loans

One of the best things about earning less is that your family and friends will think twice before asking you for a loan. Knowing that you do not have extra cash should stop them in their tracks. If it does not, simply remind them that you do not have extra money to invest in their lifestyles and leave it at that.

Even though it can sometimes be difficult to live on less money, once you consider the benefits, you will probably find that making less helps you come out ahead in the long run.