Money expert advises millennial fiancées earning $230,000 to change their spending habits to avoid feeling constantly poor.

Maddie, 29, and Paul, 33, live well in London.

Despite Paul's recent departure from his job, the couple still earns $230,000 annually from Maddie's income, as they reveal to self-made millionaire and financial expert Ramit Sethi in a recent episode of his "I Will Teach You to be Rich" podcast.

Although Maddie earns a high salary and follows smart financial practices such as saving and investing, they remain anxious about money, particularly when planning their wedding for the upcoming year.

Maddie fluctuates between two perspectives regarding finances. On one hand, she envisions a luxurious lifestyle, believing she deserves it due to her hard work and financial success. On the other hand, she experiences stress and guilt about her spending habits.

Sethi advises his listeners to allocate a "guilt-free spending" category in their monthly budget, but Maddie and Paul appear to be taking it too far. Sethi warns that this behavior can make them feel constantly poor compared to others.

Spending on travel, shopping, means 'losing money every single month'

Sethi discovered that the couple has managed to control their variable expenses effectively. Despite Paul not working, their rent, groceries, car payment, and other essentials account for approximately 63% of their after-tax income.

Maddie's anxiety about their finances is justified, as their discretionary spending of $7,000 a month on travel and shopping exceeds their monthly income.

Sethi fears that their spending habits, coupled with upcoming weddings, may lead them to accumulate debt.

"Sethi advises that having a large net worth allows one to feel okay about being in the red occasionally. However, when considering the ongoing monthly loss and the plan to continue it in the future, it becomes more challenging."

Overdoing it on trips and social events because 'we want to keep up'

Maddie and Paul express uncertainty about altering their lifestyle to control their spending and alleviate financial stress, despite knowing that Paul obtaining employment would enhance their financial stability. However, they are reluctant to become overly dependent on high incomes, which may prevent them from ever stopping work.

While Paul's potential six-figure salary would be beneficial, Sethi believes that the real issue lies with spending.

According to Sethi, it is not typical for individuals earning $230,000, a substantial income, to travel internationally eight times a year, in addition to their own personal travel, Barry's Bootcamp, shopping, and golf trips.

Maddie and Paul confess that their spending habits are influenced by the pressure they feel from their peers and cultural norms. They explain that they often socialize with individuals who view money as less of a concern due to their backgrounds. There is a sense of obligation to keep up with the Joneses, or rather, to keep up with their friends' lifestyles, even if it means overspending.

Paul adds that it's the compulsion to be at everything and live a social life that just drains us.

'Your income is not commensurate with your vision'

Sethi inquires about the aspirations of Maddie and Paul and the compromises they might be ready to make to achieve them.

Maddie and Paul prioritize both having a big wedding and securing their financial future, as they plan to start a family in the near future and want to ensure their success in that phase of life.

If Paul receives the salary he anticipates in his next job, Sethi advises the couple to make some adjustments. "Your vision for a better life is inspiring," he says. "However, your income does not align with your aspirations, and it will not be sufficient."

Sethi warns that "keeping up with the Joneses" and lifestyle creep are common pitfalls due to our social nature. However, Maddie and Paul must recognize that their friends' lifestyle choices do not affect their personal financial situations and objectives.

"Sethi states that we are all part of a larger community that affects our spending. Once we acknowledge this, we can choose which societal influences we want to accept and which do not align with our wealthy lifestyle."

Paul and Maddie recognize the need to decline invitations to trips and weddings that aren't a priority in order to prioritize their spending on what's most important to them.

Paul advises being more intentional and purposeful with spending decisions, including saying 'no' to ourselves and outside commitments, in his follow-up video.

Check out the full podcast episode here.

To become a successful and confident communicator, enroll in CNBC's online course, "Become an Effective Communicator: Master Public Speaking." Our program will teach you how to speak clearly and confidently, manage your nerves, choose the right words and body language, and make a great first impression. Sign up now and use code EARLYBIRD for a 30% discount through July 10, 2024.

Sign up for CNBC Make It's newsletter to receive expert advice on work, money, and life.