Feb 26, 2025
Many of us likely wasted money on a few silly purchases back when we were teenagers, but rapper Miles McCollum — aka Lil Yachty — took burning through cash to a whole new level, spending $1.3 million in just one week when he was a teen.
Lil Yachty made the revelation on a recent episode of the Club Shay Shay podcast, and the host — former NFL star Shannon Sharpe — couldn’t believe what he was hearing.
Advertisement
“What the hell you buy, New York City!?” Sharpe asked Lil Yachty, to which the rapper responded with a long list of indulgences, including a Mercedes G-Class "G-Wagon" for himself, a Range Rover for his mother, $100,000 on veneers and $1 million on diamond dental implants.
In other words, Lil Yachty spent more money on his teeth in one week than some people earn in a lifetime.
“I was going crazy, I was 18!” he laughed. “I was [going through] that money so quick.”
And while he shows plenty of regret for the way he blew through cash as a teen, Lil Yachty mentions that he earned the money bank relatively quickly. Two weeks after burning through seven figures in as many days, Yachty's bank accounts were once again replete with cash.
“I was so hot, like I was making so much money,” he told Sharpe on the podcast.
Another victim of lifestyle creep
At the time, cash was coming in at such a rampant pace that Lil Yachty says he didn’t even need to check his bank account or manage his finances for several years. And while that financial freedom must have been nice, Yachty’s story highlights how high-income earners can fall prey to a situation known as lifestyle creep.
Lifestyle creep occurs when your expenses grow at the same pace, or even faster, than your earnings. Without frequent monitoring or a planned budget, some high-income earners can struggle to outearn their spending habits.
Advertisement
This could explain why 48% of U.S. consumers who earn more than $100,000 a year said they were living paycheck-to-paycheck, according to PYMNTS, and why 36% of consumers earning more than $200,000 a year said the same thing.
In other words, you can’t outearn bad spending habits. One way to improve your spending habits, regardless of how much you earn, is to monitor your financial health and pay yourself first.
Must Read
- Dave Ramsey warns nearly 50% of Americans are making 1 big Social Security mistake — here’s what it is and the simple steps to fix it ASAP
- Robert Kiyosaki begs investors not to miss this ‘explosion’ — says this 1 asset will surge 400% in a year
- Vanguard reveals what could be coming for U.S. stocks, and it’s raising alarm bells for retirees. Here’s why and how to protect yourself
Join 250,000+ readers and get Moneywise’s best stories and exclusive interviews first — clear insights curated and delivered weekly. Subscribe now.
Measure and plan accordingly
You can’t control what you don’t measure. And if you’re unaware of the state of your assets, liabilities, taxes, income or credit score, planning your financial future could be an uphill battle.
Like Lil Yachty back when he was young, many Americans seem to be neglecting their financial information. According to a 2023 survey from Empower, 42% of Americans admitted they didn’t know their own net worth, while 62% said they didn’t know their spouse's net worth.
Another survey from BadCredit.org found that 27% of consumers do not check their credit score at least once a year.
The first step to better money management is to pay close attention to the status of your bank and savings accounts. You may even want to set up automatic mobile alerts for your bank accounts so that you can monitor their status closely. The next step is to create a realistic budget that prioritizes saving, investing and essential spending before luxuries.
By setting aside a portion of your paycheck — say 10% for long-term investments and 50% for essential needs — you can pay yourself first before you go on that vacation or shopping spree. These guardrails should help you live within your means even as your career progresses and your paychecks increase.
You May Also Like
- Turning 50 with $0 saved for retirement? Most people don’t realize they’re actually just entering their prime earning decade. Here are 6 ways to catch up fast
- This 20-year-old lotto winner refused $1M in cash and chose $1,000/week for life. Now she’s getting slammed for it. Which option would you pick?
- Warren Buffett used these 8 repeatable money rules to turn $9,800 into a $150B fortune. Start using them today to get rich (and stay rich)
- Here are 5 easy ways to own multiple properties like Bezos and Beyoncé. You can start with $10 (and no, you don’t have to manage a single thing)
Vishesh Raisinghani is a financial journalist covering personal finance, investing and the global economy. He's also the founder of Sharpe Ascension Inc., a content marketing agency focused on investment firms. His work has appeared in Moneywise, Yahoo Finance!, Motley Fool, Seeking Alpha, Mergers & Acquisitions Magazine and Piggybank.
