The Six Relationships We Have with Money: Which Level Are You At?

Money is far more than a means of payment. It affects our sense of security, the decisions we make, our relationships, and our ability to plan for the future.

Two people can earn exactly the same salary and still reach completely different financial outcomes. One may remain trapped in a constant struggle to cover expenses, while the other gradually builds security, assets, and financial freedom.

The difference is not determined only by income. It is largely shaped by our relationship with money and the way we use it.

Financial development can be described through six main levels.

1. Survival

At the survival level, nearly all income is used to cover basic needs: housing, food, transportation, utilities, insurance, and debt payments.

There is almost no room for error. An unexpected expense, such as a car repair, medical treatment, or temporary loss of income, may immediately lead to additional borrowing.

At this stage, money is mainly associated with pressure. The main goal is not to become wealthy, but simply to make it through the month.

The first step forward is understanding where the money is going, reducing unnecessary obligations, and beginning to create even a small, consistent monthly surplus.

2. Stability

At the stability level, income is sufficient to cover regular expenses. Bills are paid on time, debt is under control, and there may also be a basic emergency fund.

The individual feels more secure but remains almost entirely dependent on a monthly salary. A few months without employment could still destabilize the entire financial structure.

This is a major improvement from survival, but it is not yet financial independence.

The objective at this stage is to build an emergency fund, avoid expensive debt, and establish a consistent saving routine.

3. Surplus

At the surplus level, money remains at the end of the month.

This is a crucial stage because it introduces a real choice: should the surplus be used immediately to raise the standard of living, or should part of it be directed toward saving and investing?

For example, a family may establish an automatic monthly transfer into an investment account before the money is spent on shopping and unplanned expenses.

The important principle is not to save whatever remains after spending, but to allocate money toward saving and investing at the beginning of the month.

4. Growth

At the growth level, money is no longer something that is only earned and spent. It begins to work for us.

Savings are invested in assets such as stocks, market indices, bonds, real estate, or other investments that may generate long-term returns.

This is where the power of compound interest becomes significant. The return earned on the investment begins to generate additional returns of its own.

For example, a family investing NIS 2,000 per month for 30 years at an average annual return of 7% could accumulate more than NIS 2.4 million. Its total contributions would amount to only NIS 720,000, while the remainder would come from compounded investment growth.

At this level, time becomes one of the most valuable financial assets.

5. Leverage and Influence

At the leverage level, a person no longer relies solely on personal working hours.

They build systems, businesses, or assets that can generate income without requiring their direct involvement every moment of the day.

This may include a business with employees, income-producing property, a large investment portfolio, a digital product, intellectual property, or a system that produces recurring revenue.

The objective is not necessarily to work less, but to create a situation in which financial results are no longer limited by the number of hours available in a day.

At this level, money becomes more than a personal resource. It becomes a tool for creating jobs, developing ideas, and expanding influence.

6. Freedom and Legacy

At the highest level, money is no longer the objective. It becomes a tool that provides freedom of choice.

The freedom to choose what to work on, whom to work with, where to live, how much time to spend with family, and which goals to support.

At this stage, the individual no longer asks only how to accumulate more wealth, but what to do with what has already been built.

Money can be used to support children, transfer knowledge and assets to the next generation, contribute to the community, invest in education, or promote meaningful causes.

Wealth is no longer measured only by the size of a bank account, but also by time, choice, influence, and the legacy we leave behind.

These Are Not Six Different Salaries

The six levels are not determined only by income.

A high-income individual may remain at the survival level if expenses and debt exceed earnings. At the same time, someone with a more modest income may progress toward stability, surplus, and growth through consistent and responsible financial behavior.

The important question is not only how much money we earn, but what happens to that money after it enters our account.

How Do We Move Between the Levels?

The transition does not happen overnight. It is created through small decisions repeated over many years.

It begins with controlling expenses and debt. The next stages are building an emergency fund, creating a monthly surplus, investing consistently, and allowing time and compound returns to do their work.

As assets grow, it becomes possible to develop sources of income that are not entirely dependent on personal working time.

A common mistake is trying to jump directly to financial freedom without first building stability, surplus, and productive assets.

What Is the Connection to Machiavelli?

The idea of six relationships with money is sometimes presented online under the name of Niccolò Machiavelli. However, it is important to be accurate: there is no known evidence that this model appears in his original writings.

It is better understood as a modern framework for financial and personal development that uses themes such as power, independence, control, and influence, ideas that are sometimes associated with Machiavelli.

The model should therefore be viewed as a useful way of thinking, rather than as a direct historical quotation or theory written by him.

The Bottom Line

The goal is not only to earn more money, but to gradually transform our relationship with it.

From survival to stability, from stability to surplus, from surplus to growth, from growth to leverage, and ultimately to freedom and legacy.

True wealth begins when money stops controlling our decisions and becomes a tool for building the life we actually want.