The goal is to become rich, not to look rich.
Most people never become wealthy because they waste too much money on buying symbols of success that depreciate. They are more focused on looking rich instead of becoming rich.
The rich stay rich because they spend like they are poor. The poor stay poor because they spend like they are rich. Living below your means and investing your extra income is how you build wealth. No matter how much money you make, you must spend less than you earn.
Don’t be in such a rush to look successful. Once the average person begins to earn a decent income, the first thing they do is go and buy and new car, designer clothes and a big house that has more space than they need. Don’t fall into the trap of pretending to be rich. A rich person can pretend to be poor forever, but a poor person cannot pretend to be rich for long.
Many people just want attention and popularity, but rich people just are focused on the money and freedom. Get rich first and you can always enjoy the luxury later.
Luxury goods are not going anywhere. Material goods get better every year. Buy assets that produce income, take that money and purchase more income producing assets. Repeat this process and you will eventually become rich. Dividend paying stocks from great companies and rental property in prime locations are great examples of assets that produce income.
Think about buying car company’s stock instead of buying the new car. Buy ownership shares in the beer company instead just drinking the beer. Its better to own shares in the shoe company instead of having a massive shoe collection. Think like an owner, not a consumer.
After you are rich, then you can buy all the material goods you want with no consequences to your financial security. Wait until you are truly rich. New homes get better every year. Luxury cars get better every year. Designer clothes and fancy watches look nicer every year. You can always buy that later.
The interesting thing is that the wealthier I become, the less I desire material goods. You don’t have anything to prove when you really have money. Word spreads fast when you are truly rich because people see the lifestyle you live and the time freedom you enjoy. Most people who are truly rich people don’t flaunt their wealth because they don’t want to attract freeloaders, thieves and beggars.
The essence of being rich is to have options. Wealthy gives you the option to live where you want, spend time what you want, spend as much time with family as you want, help the poor, impact the world, etc. Luxury goods are not the essence of being wealthy. The novelty wears off from material goods after 3 to 6 months.
Have you ever saw a new car that you loved and a year later it didn’t look so great anymore? Have you ever bough new clothes or jewelry and a month later you didn’t really like it as much?
Your legacy won’t be about the things you possessed. Nobody really cares about the material possessions of Warren buffet, Bill Gates and other wealthy people. Nobody will care about how nice of a car, clothes or home you had. You will be known for the impact you had on others and the legacy of wealth you left behind.
Psalms 13:22 says “a righteous man leaves back an inheritance for his children’s children”.
Don’t lose your opportunity to really be rich by trying to look rich through materialism.
Luke 12:15 “One’s life does not consist in the abundance of his possessions”.
The goal is to be rich, not look rich. You can buy nice things, but get rich first.