There are 5 levels of wealth, and most people never make it past Level 3.

Not because they don’t care or aren’t motivated, but because they don’t even know these levels exist.

They stay stuck — for years — in survival or stability. They do their best, paying their bills, spending, maybe saving a little, but it still feels like money is not in their control.

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The 5 Levels of Wealth

Let me walk you through the levels so you can see where you are — and what’s possible for you.

‍LEVEL 1: Survival

‍You’re behind on rent, bills, and debt. An unexpected $200 expense would tip you over the financial edge. You live pay to pay, and when you finally start getting ahead and building up a little savings, you’re just waiting for it to disappear – like it always does.

‍LEVEL 2: Stability

You’re current and up to date on bills and have even built as mall emergency fund. Having insurances in place, you now have a safety net as well as a stable income. You feel a sense of relief knowing that if something goes wrong, you’ve got a level of financial stability.

‍LEVEL 3: Security

‍Debts are paid off, or you’ve got a plan in place to reduce your mortgage overtime. You’ve started saving, and finally, you feel like you can breathe. You can enjoy some spending while still putting money away for the future — whether that’s in savings or toward your mortgage.

This is where most people stop.

They never make it to the levels where real wealth gets built.

Introducing…

Level 4: Growth

‍This is where you transition from a saver to an investor. You learn about investing, are proactive with your super, using debt wisely and your investments begin to compound. You make strategic decisions about your asset allocation, super contributions, and how to grow your wealth. These decisions allow your money to work for you and provide a passive income stream that can fund part of your lifestyle.

Most Australians aim for this by age 65-67, relying on investments and some Age Pension.

‍Level 5: Freedom

‍Work becomes optional. You have choices. Your investments have grown and now generate enough income to fully fund your retirement. The question changes from “How will I manage?” to “What do I want my life to look like?” Freedom is within your reach, and it’s up to you to decide how you want to live it.

Now ask yourself,

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What level are you at?

If you’ve made it to Level 3 — Security — you’re doing well, but don’t stop there. This is where the real transformation starts. Real wealth doesn’t just happen; it’s created with a solid plan and a commitment to grow.

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How to Move Up Levels — Starting Today

Each level of wealth requires a different strategy.

If you’re in Survival or Stability, your first step isn’t to build a million-dollar investment portfolio. It’s to get control of your numbers, your money habits, and build some breathing room. Prove to yourself that you can earn, save, and grow more. You need a strong foundation before you can build wealth that lasts.

Once you’re at Security and ready to move forward, you need more than budgeting advice. You need wealth creation knowledge —strategies that help you invest, diversify, and grow your money.

This is where most people miss the mark.

They get comfortable at Level 2 or 3 and think, “I’ll figure out the rest later.”

Later, when work slows down.
Later, when the kids are older.
Later, when I feel more confident and learn what to do, or when life feels less messy.

But later has a funny way of turning into never.

The truth is, the people who build real wealth — the kind that gives them freedom, peace of mind, and the ability to choose how they live

— don’t wait for the perfect moment.

They take the next step, even when things aren’t perfectly aligned and life still feels chaotic.

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If you’re ready to move forward, you need a system that works for YOU — not a one-size-fits-all approach, but a clear, personalised step-by-step plan for earning, saving, and growing your wealth.

You don’t have to do this alone.

Whether you’re at Level 1, 2, or 3, a financial adviser or money coach can help you map out a plan to move up the levels — one step at a time.

Together, we can build a strategy that fits your unique goals and challenges, helping you move from where you are to where you want to be.

If you’re ready to take control, create real wealth, and achieve financial freedom, reach out today to start your next level of wealth (and knowledge) building.

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Not ready to get expert help, no worries I see you – start here:

How to Move Up Levels — Starting Today

‍1. Master Your Money Habits:

   Understand your financial identity: Before you can truly grow your wealth, it helps to understand your relationship with money. We all have a financial identity. Are you a spender seeking comfort? A saver craving security? Or someone who feels guilty about money altogether? Becoming aware of and addressing these patterns and forming a new financial identity will support you with the rest of the steps.

Audit & track your spending: It starts with understanding – where does my money go?  Review your bank transactions for the past 4-6 months. Build a simple habit of tracking where every dollar goes; you might be surprised by what you discover.

2. Build an emergency fund:

• Establish a safety net that gives you peace of mind. If your finances are in the Survival or Stability stage, this will be your immediate focus before you even consider investment strategies.

3. Reducing debt or using it as leverage for your wealth creation:

• Create a repayment plan that works for you and your non-deductible debt. Rather than seeing your debt as a burden, start viewing it as a bridge — one that got you through a tough season or allowed you to invest in something important (education, health, stability). By reframing the narrative, your current debt becomes a chapter in your financial growth story, not a permanent identity.
• Consider how using debt can accelerate your wealth creation strategies through borrowing to invest.

4. Educate yourself on investing:

• When you’re in Level 2 and ready to climb to Level 3, invest time learning about different investment vehicles. Consider starting small—platforms and tools that allow you to dip your toe into shares, bonds, property and other growth assets.  Reviewing your super is a great place to start and then move into other investment types.
• Set up automatic investing: consider building wealth over time using professionally managed funds or index investing without having to actively manage every decision each month.

5. Seek guidance from experts:

• Moving from saving to building wealth is often where many stumble. Having an experienced financial adviser, qualified money coach or mentor by your side can support you in your decisions.
• Here’s my favourite podcasts to help you grow your knowledge:

Podcasts | Rask Media

https://www.raskmedia.com.au/podcasts/australian-finance-podcast/

money money money

Get Rich Slow Club - Podcast - Apple Podcasts

Investing

https://www.raskmedia.com.au/podcasts/australian-investors-podcast/

Property

https://www.raskmedia.com.au/podcasts/australian-property-podcast/

Finances & Economic info

https://podcasts.apple.com/au/podcast/the-money-puzzle-with-james-kirby/id1201031401

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Hi, I'm Karen Eley, 20+ year financial adviser, turned Money Coach and Mentor.

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