There are a variety of viewpoints on how social media influences our society – both good and
bad. After all, some people are spending hours a day on these platforms and we need to be
aware of their impact. From our vantage point, we’re paying close attention to how these
networks influence our clients’ spending, saving, and investing habits.
Social media often showcases a curated and exaggerated view of reality. People don’t often
post about their child’s behavioral problems at school or about the stress of caring for an aging
parent. They post about luxury vacations, great seats at sporting events, and fancy nights out. It
creates a distorted sense of what is “normal” and can lead to an unconscious pressure to keep
up.
Let’s say you follow friends or influencers who travel the globe, stay at the best hotels and dine
at Michelin star restaurants. Maybe subconsciously, this alters the way you feel about the
“standard” vacation you take to the beach, even though you’ve enjoyed it for years.
Or maybe you’re seeing posts during the holidays of friends spending time in second homes.
You might begin to feel that owning a second home is more common and necessary than it
really is.
Remind yourself that social media often highlights the best moments of someone’s life, not their
everyday reality. Set personal financial goals that reflect your values and priorities rather than
the curated lives you see online.
To be clear, there’s nothing wrong with traveling or buying a second home. In fact, proper
financial planning can help you make these choices with confidence and within your means. It’s
just important to avoid the sense of never having enough or always needing to upgrade.
It should also be mentioned that social media has the potential to inspire positive financial habits
as well. Many financial advisors, asset managers, and publications have taken to the platforms
and can offer valuable advice.
It’s all about what posts appear in your newsfeeds. You can influence this by the pages and
profiles that you follow. Consider following pages that build your knowledge base, rather than
aspirational pages of perfection.
Social media’s influence on our views of money, spending, and investing is undeniable. By
being aware of its impact, practicing mindful consumption, and seeking credible information, we
can navigate the digital landscape without compromising our financial well-being. Remember,
your financial journey is unique, and staying true to your values and goals is the key to long-
term success.
James Duffy and Morgan Watson are Financial Planners with, and offers securities and investment advisory services through LPL Enterprise (LPLE), a Registered Investment Advisor, Member FINRA/SIPC, and an affiliate of LPL Financial. LPLE and LPL Financial are not affiliated with Frame Wealth Partners.
