How Much of Each Paycheck Should the Middle Class Invest In Themselves?

Jordan Rosenfeld

Sun, Apr 13, 2025, 9:01 AM 4 min read

Investing in yourself isn’t just a positive affirmation, it’s a way to build long-term financial security.

Whether it’s a professional certification, a career-changing course or simply taking time to boost your well-being, experts say that strategic self-investment can pay dividends in your earning potential, confidence and resilience.

Here’s what financial pros recommend, how much to spend and how to make it work on any budget.

Check Out: Trump Wants To Replace Income Taxes With Tariffs: 2 Impacts on the Middle Class

What It Means To Invest In Yourself

Investing in yourself means using your money to improve your earning potential, resilience and overall well-being, according to Christopher Stroup, CFP and owner of Silicon Beach Financial. This can include continuing education, skill-building, coaching or even therapy, he explained.

“The goal isn’t just self-improvement, it’s building a more capable, future-proof version of you that can create and sustain long-term wealth,” he said.

See More: Robert Kiyosaki Is Dumping Gold and Silver: Here’s What He’s Buying Instead

How Does This Translate Into Dollars?

While the amount you dedicate to your own growth will vary based on your goals, Stroup believes that anywhere between 5% and 10% of your take-home pay could go toward goals like certification, a networking group or a wellness program that boosts your energy and effectiveness.

Amy Pridemore, a financial wellness instructor at Virginia Commonwealth University, suggested that it doesn’t have to be that specific, or cost much at all. “There are many opportunities to further your skillsets and career for free. There are free online courses in every field imaginable,” she said, pointing to sources like YouTube or LinkedIn Learning that offer low to no-cost webinars and videos.

“Additionally, don’t hesitate to ask your employer if they have professional development funds for you to further your knowledge specifically related to your job duties,” she said.

What Investments Lead To Long-Term Growth?

Stroup suggested choosing investments that provide a return on skills, not just satisfaction. Options that consistently lead to financial growth include:

Courses that advance your career or pivot into tech
Networking memberships that open doors
Coaching that builds clarity and confidence
Tools that streamline your business or workflow

How To Balance This With Saving?

Of course, it might not be simple to balance spending on growth with saving for your other goals, but Stroup suggested you think of self-investment as a growth asset just like your portfolio.

“Automate your baseline savings for long-term goals (at least 15% for retirement), then carve out a separate line item for self-development. If your financial plan is clear, it’s easier to make confident trade-offs without compromising your future.”

Pridemore suggested that leveling up your skills may likely land you a promotion or a job at another company, which would come with more income to reach those goals faster.

What If You’re on a Tight Budget?

If you’re already on a tight budget, look for low-cost, high-impact moves, Stroup said. “Even small efforts, such as reading industry blogs or attending community events, can compound over time. When your income grows, increase your self-investment line item just like you would a savings rate.”

How To Budget For It?

Pridemore also recommended carving out a special budget line item for self-growth, particularly if you’re committing to a certification or educational program that costs money. She described it as “unfair and un-fun” to spend “fun money” on professional development when that money should truly be reserved for relaxation and enjoyment.

Learn How To Network

Networking can be another great way to help redirect energy into your own growth, Pridemore said. “Leveraging your professional relationships when you’re feeling stuck at a job will be one of the most beneficial tools to lead to long-term financial growth.”

It’s often those personal connection that leads to better jobs, new skills and other opportunities.

Identifying the Right Self-Investments

While it’s a great idea to invest in your own growth, especially if it pays off financially, Prideore urged caution when considering a second job or side gig working for an external company.

“Many organizations can promise a big payout if you recruit other individuals to your team or sell a product, but oftentimes individuals spend more money with these opportunities than they are making,” she said.

Really consider your earning potential and how much time you have to devote to the opportunity.

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This article originally appeared on GOBankingRates.com: How Much of Each Paycheck Should the Middle Class Invest In Themselves?

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