Increasing expenses on increasing income 💸

Don't guilt trip yourself into not having a good life and experiences.

These are not huge amounts - so set yourself up for comfort & privacy, reduce commute time and a get a better address.

Don't do it every-time you have a pay raise though. Thats definitely something you should avoid.

Focus on ensuring you start investing with the increases access to $$.

Were you sacrificing a lot on your 10K room? Is the new house enabling you to work smarter, better or longer?

Idk much about your case BUT Financial planner here: Living nicely (when your income increases) is the most stupid thought! Because incomes can be temporary and out of your control but lifestyles are hard to downsize.

My rule of thumb: Expenses attributed to your incomes/jobs should be upgraded. Eg: Buying monitor for work, vehicle for commute, better office clothes & shoes.

For non-work related expenses, correlate them with your wealth. Upgrade when you have increased savings or achieved some net worth milestones.

The only reason i was able to save some money and start investing a good amount was because I never upgraded my lifestyle unnecessarily...

A simple framework -

If 25k room is providing you comfort, relaxation, proximity to increase your productivity. If yes, the increased productivity will yield you much faster salary growth. If not, you might reconsider the decision.

Don't fall into the trap of increasing expenses with appraisal/promotion.

People give all sorts of justifications for it which are never true.

Live humbly, save as much as you can. Start an emergency fund that you can live off of for few years in case you ever get laid off/something drastic happens. Once you save up a few lakhs, put it away in an FD and start investing money in assets.

Ultimately money is nothing but coupons you are collecting hoping that you would be able to redeem it.

It is important to have a certain amount of coupons but redemption is just as important. If you hoard a lot of coupons and don't redeem them, what's the point.

With that said, how much of a compromise is it for you to continue staying In the 10k room? Also the 20k house might open more networking opportunities. This decisions can only be taken by you. If you are young and the

If you have to seek others opinions on how you should spend then maybe you are not even worthy enough to earnt that much

It won't matter much as you can save the rent amount in HRA.

I believe in social mobility. And I also believe the expenses increase with salary.
I would only caution when expenses are for showing to others or made on frivolous items that you don't want or enjoy.
As someone pointed out if the expenses are roughly same percentage of salary it's ok

Calculate your expenses in percentage. If your expense was 40% when you were earning 50k, and it's still the same when you're earning 100k then it's pretty fine.