10 Percent That Builds Wealth

Shanta Lee

So, picture this: Alex is sitting at the kitchen table, scrolling through his retirement account statement, and he’s got that look—you know the one, the “I’m not sure if I should be worried or just mildly annoyed” look. He calls Maria over, and she leans in, expecting maybe some good news, or at least a funny meme. But nope. Alex just sighs and says, “It’s... fine, I guess, but look at the contributions.” And what do they see? Just the automatic retirement savings deferral, ticking along in the background. Nothing intentional, nothing extra, even though their income has grown a ton over the last five years. They keep telling themselves, “We’ll invest more when things settle down.” But, let’s be honest, when do things ever actually settle down? I mean, I’ve been waiting for things to settle down since, what, 2008? Still waiting. And that’s the trap, right? High earners, especially, fall into this pattern of coasting—letting those default settings do the work, thinking, “We’re making good money, so we must be building wealth.” But the warning signs are there: you feel anxious, you’re not sure if you’re really moving forward, and deep down, you know you’re just... coasting. Not building. Not really. So, why do we do this? Well, it’s easy. Life is busy, and the default is comfortable. But comfort doesn’t build wealth. Intentionality does. And that’s what we’re diving into today.

Shanta Lee

Hello, and welcome to the Twogether Money Podcast, a place for high-income couples who wonder where it all went. My name is Shanta, and as a retired financial advisor with a counselling diploma, I'm here to help before it's too late.

Shanta Lee

Alright, let’s get into the heart of it—the next 10% slice of your income. This is your Long-Term Savings and Investment bucket. If you’ve been with me for a few episodes, you know we just talked about the safety net—the short-term savings, the emergency fund, all that good stuff. But this bucket? This is your wealth-building powerhouse. This is the money you set aside for goals that are five years out or more. We’re talking about funding a comfortable retirement, maybe even an early one, or building generational wealth, or leaving a legacy for your family or a cause you care about. This is money you don’t touch until then. And here’s the key difference: this isn’t just saving. This is investing. The short-term bucket is about safety and accessibility. This one is about growth. You don’t want this money just sitting in a savings account, losing ground to inflation. You want it working for you—growing, compounding, building real wealth. So, what does that look like? It means putting your money into assets with growth potential: stocks, bonds, mutual funds, ETFs, real estate, maybe even some alternative investments if that fits your risk profile. And for high earners, things can get a little more complicated. You might have stock options, deferred comp, business interests, all sorts of fun stuff. That’s why I always recommend working with a qualified, independent, fee-only financial advisor. And I want to stress that “fee-only” part. You pay them for their advice, not for selling you products. That way, their advice is about you, not their commission. Interview a few, find someone you trust, and let them help you build a diversified portfolio that fits your goals and your life. Don’t just wing it—get the guidance you deserve.

Shanta Lee

Now, let’s talk about making this whole thing actually happen—because, let’s be real, knowing what to do and actually doing it are two very different things. The magic word here is automation. Set up that 10% transfer from your paycheck or your business income straight into your investment accounts. Make it non-negotiable. Don’t wait until the end of the month to see what’s left over—because, let’s face it, there’s never as much left over as we think there will be. When Alex and Maria finally automated their 10%—for them, that was about $2,500 a month—at first, it felt slow. Like, “Is this even working?” But after five years, they started to see real gains. Ten years in, the compounding was undeniable. Fifteen years? Their investments were generating returns that made early retirement a real possibility. And I’ve seen this with my own clients, too. I remember the first time a couple saw their compounding “click”—they went from anxious and skeptical to genuinely excited about their future. It’s a shift. Suddenly, you’re not just hoping things will work out—you’re seeing the progress, and it feels good. And hey, if you’re in a season where you need to tackle debt, I still recommend keeping a little bit—maybe 1% of your income—flowing into long-term investments. It’s about keeping the habit alive, reinforcing that investor identity, even when life gets messy.

Shanta Lee

So, you’ve got your 10% flowing into investments—now what? This is where diversification comes in. Don’t put all your eggs in one basket. Mix it up: stocks, bonds, maybe some real estate, maybe even a little crypto if that fits your risk tolerance and you’ve done your homework. The point is to manage risk and give yourself the best shot at steady growth. And don’t just set it and forget it. At least once a year, sit down—maybe with your advisor, maybe with your partner—and review your portfolio. Rebalance if you need to. Make sure your investments still line up with your goals and your life, because things change. And don’t forget about tax-advantaged accounts—IRAs, 401(k)s, RSPs, TSFAs, all those acronyms. They’re not just alphabet soup; they’re powerful tools for making your money work harder by keeping more of it out of the taxman's hands. The more you can grow tax-efficiently, the more you keep for yourself and your future. It’s not about chasing the hottest stock or timing the market—it’s about steady, intentional progress, year after year.

Shanta Lee

Now, let’s be honest—there are always barriers. Sometimes it’s fear of the market tanking, sometimes it’s just inertia, or maybe you feel like you don’t know enough to get started. That’s normal. The trick is to set up systems that make it easier to stay on track. Automate your investments, yes, but also automate your reviews. Put a reminder in your calendar—once a year, check in on your strategy. Is it still working? Does it still fit your goals? Make adjustments as needed, but don’t let perfectionism or fear keep you stuck. And keep learning. There are so many great resources out there—podcasts, books, trusted advisors. The more you know, the less intimidating it all feels. Remember, you don’t have to be an expert to build wealth—you just have to be consistent and willing to learn. That’s how you turn high income into real, lasting wealth. Alright, that’s it for today’s episode. Next time, we’re going to talk about the final piece of the 70/30 puzzle—the part that makes this whole thing sustainable and, honestly, a lot more fun. So bring your partner, bring your coffee, and let’s keep building a life that feels as good as it looks. See you next week.

Shanta Lee

If this resonates with you, and you'd like to learn more, visit my website at TwogetherMoney.com. That's T-W-O gether money, like the number 2. And here's a fun fact: it's the only place where you can purchase my books, so get those fingers moving and I'll see you over there!