(COLORADO SPRINGS) — Living paycheck-to-paycheck doesn’t just affect those with low incomes. Studies show it impacts people in all income brackets, including those earning six figures. Bree Shellito, Director of Financial Well-Being at Ent Credit Union, joined FOX21 Morning News on Thursday, Feb. 7, and shared some tips on how to break out of the cycle.

Shellito said signs that someone is living paycheck-to-paycheck include:

No savings or emergency fund

Dependence on credit cards or loans for unexpected expenses

Stress about making it to the next payday

Shellito said inflation is to blame for not being able to break the cycle but she said it’s not just the increase in cost of goods and services, but also inflation of our lifestyles.

“We get a raise and then we just spend more money,” said Shellito. “And we justify it all day long. We think we need a new wardrobe, new electronics.”

“But even before we see that money come in through the paycheck, we have to think about our values and goals,” said Shellito.

Tips to break the paycheck-to-paycheck cycle:

Budgeting – Track expenses and create a realistic budget

Emergency Fund – Prioritze saving even small amounts to build a cusion

Cut back on non-essentials – Identify and reduce discretionary spending