The middle-class trap is a situation where an individual or family in the middle economic class feels trapped in a financial cycle. Despite working hard, the income earned is often only enough to fulfill daily needs, with no room for saving or investing.
This condition makes many people feel stagnant and difficult to achieve financial progress. However, the good news is that the middle-class trap is not the end of the journey. You can pave the way to sustainable financial freedom through the right solutions.
To get out of the middle-class trap, you need a well-thought-out and consistent strategy. In this article, Treasury will provide practical solutions that you can apply to get out of the middle-class trap. You can turn this economic challenge into an opportunity to achieve a more prosperous life in the future.
1. Evaluate and Control Spending as a Solution to the Middle-Class Trap
The first solution to get out of the middle-class trap is to evaluate your spending thoroughly. Make a list of monthly expenses and identify needs based on a priority scale, which ones are primary needs and which ones are just wants.
This way, you can reduce unnecessary expenses and allocate more funds for savings or investment. In addition, try to make a realistic monthly budget plan. This will help you control your spending and ensure it is more efficient.
2. Start Diversifying Sources of Income
Depending on one source of income can make you vulnerable to the middle-class trap. Therefore, diversification of income sources is an important solution. Try to find additional income through side businesses or freelancing. You can utilize your hobbies and skills to make extra money.
In addition, you can try investing as a source of passive income that helps you get out of the middle-class trap. Start with investments that are low risk but provide high returns such as gold. Gold has proven to have a value that rises consistently in various economic conditions.
The inflation-resistant nature of gold is the right investment asset for friends who want to get out of the middle-class trap. Even today, gold investment does not have to require large capital. As in the Treasury digital gold investment application, you can start investing from only Rp5,000.
This convenience is a solution for friends who are pioneering so that they can still invest without sacrificing their daily needs. Additional income from investment helps you not to depend on your monthly salary so that you can reduce financial pressure.
Also Read: Why Are Many Trapped in the Middle-Class Trap? Recognize 5 Causes
3. Improving Financial Literacy Can Be a Solution to Get Out of the Middle-Class Trap
Lack of financial knowledge is often the main cause of being trapped in the middle-class trap. For this reason, you need to improve your financial literacy by learning basic financial concepts such as inflation, interest, and investment through books, seminars, and online articles.
Treasury as a digital gold investment application not only provides various conveniences in transactions, but also provides solutions through educational articles that discuss the latest financial topics. You can keep up with financial and economic trends and learn various financial tips through the Treasury website.
Understanding how the market works will help you make smarter investment decisions and avoid mistakes that could worsen your financial situation. Financial literacy is not just about managing money, but also about making the right decisions for the future.
4. Reduce Debt and Avoid a Consumptive Lifestyle
Debt is one of the main factors that exacerbate the middle-class trap. Start by reducing consumptive debt, such as credit cards or unsecured loans. Prioritize paying off high-interest debt first, as this will reduce the financial burden in the long run.
Also, avoid consumptive lifestyles that are not in line with your financial capabilities. Focus on needs, not just wants. For example, instead of buying luxury items because you are following a trend, you can save or invest for future benefits.
5. The Ultimate Solution to the Middle-Class Trap is Long-Term Investment
Long-term investment is the ultimate solution to getting out of the middle-class trap. Start by saving regularly and allocate a portion of your income for investment. Choose an investment instrument that suits your risk profile and financial goals. For example, gold has low risk but high profit opportunities.
Throughout 2024, the world gold price has increased by 24%. Following this, at the beginning of 2025 it was recorded that the world gold price had increased by 14%. The increase in gold prices is influenced by various economic uncertainties that occur.
In addition, do not be afraid to start investing even with small capital. The important thing is consistency and discipline in investing. The right timing and strategy will make long-term investment a bridge to achieve financial freedom and get out of the middle-class trap.
Getting out of the middle-class trap requires commitment and action. Consistent small steps will help you build a stronger financial foundation. Remember that investing is not about getting rich quick, but about building wealth gradually as a solution to the middle-class trap.
The middle-class trap is not the end of the financial journey, but a challenge that can be overcome with the right strategy. Treasury is ready to accompany your investment journey to build a brighter financial future. Let’s start investing in gold now!
