Emery says a limited transfer budget means they will struggle for a top seven this term. Villa have the spending power, but UEFA and Premier League financial rules has clipped their wings this summer.
Ahead of today's Premier League opener against Newcastle, Emery said: "We are starting more or less like when I arrived here. We're not contenders to be in the top seven for this reason.
"Of course we have the capacity to build a strong team but not with the same budget.
“We have to be competitive with our players and keep working hard as well as staying motivated but we're not contenders to be in the top seven."
But Emery added: “I’m not frustrated - I accept the rules and how we are competing, also how we are being ambitious to compete with the better teams in the Premier League and in Europe. I’m motivated and excited, not frustrated and I accept it always in how we’re competing.”