Lessons from very rich people

[ashedfc]

actually, a lot of business people i know lease cars? We have been thinking about it. Any ideas?

Because when you lease, the entire cost is 100% tax deductible

[momof5boys]

I think rich has a different definition for anyone. I think if you have no debt, that is doing well. Rich would be having no debt, having more than enough to live on, being able to splurge once in awhile, and money put into savings each month. That could happen at any income level, if you want a level.

No debt, making $40,000 + a year seems rich for me, in my situation right now, as that is double what I make in a year. I don't know if it's possible to really define at what salary makes one rich.

My definition of rich (if you want to talk in monetary terms only) is having enough to give to those in need The book by Randy Alcorn, "Money, Possessions and Eternity" changed my view on money for sure....

[lekate]

Got it. Thanks for clarifying.

The studies show that millionaires next door would probably not buy a $1000 suit. The ones in the states usually spend $250 for a suit -- max. They may spend $250 for their son or daughter who has just graduated from university, hoping that the suit will be used for interviews at great companies.

About the cars, yes, some don't buy beaters. Those millionaires next door that buy luxury cars tend to buy them used and negotiate on the price. They spend a lot of time researching the luxury cars for sale, they may bring cash, and even then try to offer a slightly lower amount when completing the sale.

Oh I was thinking of those 1000$ suits that come with the shirt, tie, socks and shoes! And some of the suits are cheaper, 500$ for the whole package.

[JennyFromTheRock]

I have given a friend bus fare a few times when he's come to visit me. You'd have to know my friend to understand why. Great guy, great friend, horrible with money and kind of forgetful. I'd rather give him the $2 bus ticket then see him walk home through a rough part of town.

I just wish for the day when I can get my student loans paid off. Given my career choice I will never be rich. I live frugally out of necessity. I'd love to have enough money to not worry about the $15 I spent when I drive the hour into town to get groceries. C'est la vie. We are doing well for us and living the best we can.

My only regret is that we can't afford children. That is tough, and that really makes me sad. People who have kids say "oh there is no perfect time to have kids, so just have them". They also don't have a six figure amount of student loan debt with a part-time employed spouse. Living within our means that means no children and it's heartbreaking.

That's one of the saddest things I have ever heard Its sad that children are born into families who don't want them every day, yet people who want them cant afford to have them

I have always wanted children, lots of them lol so I can't imagine being in a position where I wasn't able too for financial reasons. I really hope one day things look up for you and you can have the kids you want!

To be honest, I knew I didn't want a career my whole life. I did go to college, but I knew my life goal was to be a stay at home mom. I always knew I wanted a husband with a good career and goals. I guess I ( like everyone ) wanted a story book life. I guess as bad as it sounds, I was very picky back in the day when I was dating. Sense of humor was first on my list of important traits in a mate, but a close second was career and goals. I ended up much happier in the long run because I have everything I ever wanted, no money stress and no worries.

I dated guys previously ( when I worked as well and before I made career a priority ) who were not responsible or goal oriented. It was always so stressful and always resulted in fights. Money is always one of the biggest strains in a relationship and after a few of those relationships ( a few where I felt I had to "carry" them financially ) I made the decision to make career one of the top priorities in a husband. I'm glad I did. I didn't become a "gold digger" where ALL they needed was money for me to be with them...... All my other standards stood as well. Was still looking for the sense of humor, kindness, beliefs, looks and interests..... but defiantly added a few things. Best decision I ever made!!!

[tocgal]

It really is about how you view money, that saying... its just as easy to fall in love with a rich man as a poor man plays out -- I found a "rich" man, for my meaning of rich does not just reflect money - we have enough to pay our bills, he is not a high earner nor on a career path, he is and does spend lots of time with our kids and myself - from observation it seems difficult to be a high earner and have lots of personal time. Before marriage we talked about how being rich was slim, but he promised to be with us and make me laugh everyday, and I have never had to worry about food in the fridge, roof over our head. We haven't always managed to have the latest toys, but we have always been creative and had lots of special holiday memories, even if it was camping in neighbours back yards! ... I think it is important to know yourself and then find someone who you love and can share your goals with. Jenny I respect you for knowing what was important to you - that in itself is Rich. We all come from different backgrounds, and have different dreams of where we want to end up and as important what makes us happy. Money plays a role, but I love the saying, some people are so poor, all they have is money.

[ashedfc]

Money plays a role, but I love the saying, some people are so poor, all they have is money.

True, I couldn't have said any better..
Money has its own place in life; & life is a lot more than just money; but people nowadays consider life as just money..

[JennyFromTheRock]

True, I couldn't have said any better..
Money has its own place in life; & life is a lot more than just money; but people nowadays consider life as just money..

Im not sure it is that people consider life to be all about money. I think it has more to do with life being much easier with it. Human instinct is to do what is easier. Why climb a 200 foot hill to get to the other side if there is a 20 foot path around it?? I have been in all financial situations. Having no money is no fun. Having to worry about paying bills, wondering if there will be enough money.... its stressful and there is no way to be happy when under that type of stress. No matter how healthy you are or how happy you try to make you life, when there are money troubles, you cant truly be happy. Money makes life better. Bottom line. Now having said that, having ONLY money would suck too. I have my family and friends, my kids, my husband, my life..... that makes life good.... having money to go with it makes life GREAT!!

[LifeisBeautiful]

There is a difference between good debt and bad debt. To make it big, you need access to credit, as well as some cash lol. How else are you going to make investments that are going to pay out big? $100,000 or $1,000,000 investments will make much bigger returns than $10,000 investments. I love the saying, "if you are going to think anyway, may as well think BIG! We have a lot of debt, most of them mortgages, some home equity loans and some unsecured lines of credit , but we also have a lot of cash coming in from rental income. If you have 5 properties, rent them out for 20 years, and each property is worth $500,000, in 20 years you'll have $2.5 million in assets (if market prices stayed the same for 20 years, most likely they should rise). People who have rental properties do so for that, not to make cash. So that's what I mean when I said we were cash poor. We really aren't. We have enough. We eat great food and travel a few times a year. I still have to be a bit cautious with how I spend money tho. I just wanted to highlight the fact that some people who are "rich" may be worth a lot of money, but sometimes lots of it is tied up, in their company, or in stocks, etc, which could be another reason why they dress humbly or drive older cars.

[LifeisBeautiful]

Sense of humor was first on my list of important traits in a mate, but a close second was career and goals. I ended up much happier in the long run because I have everything I ever wanted, no money stress and no worries.

I dated guys previously ( when I worked as well and before I made career a priority ) who were not responsible or goal oriented. It was always so stressful and always resulted in fights. Money is always one of the biggest strains in a relationship and after a few of those relationships ( a few where I felt I had to "carry" them financially ) I made the decision to make career one of the top priorities in a husband. I'm glad I did. I didn't become a "gold digger" where ALL they needed was money for me to be with them...... All my other standards stood as well. Was still looking for the sense of humor, kindness, beliefs, looks and interests..... but defiantly added a few things. Best decision I ever made!!!

I think that's the key to happiness and success. You have to be very clear about what you want. I had similar experiences with dating. Sounds unromantic, but after each relationship, I would always "modify" want I wanted in a partner and it has made me the happiest person. It also works in all other areas of life! Any body read "the secret"? Has lots of advice on how to be successful and happy in money, love and life. But maybe this thread is getting off track

[tocgal]

I totally agree with an earlier post --- have my family and friends, my kids, my husband, my life..... that makes life good.... having money to go with it makes life GREAT!! I read my earlier post and it sounds pompous - sorry, not at all what I was trying to express. I think everyone has a different view of what money brings, and sometimes equate their bank account to how successful they are, money is important, but some of the unhappiest people I know have plenty of money but have put this before their family & friends, each individual has to decide the balance that makes them happiest, and then act accordingly.

[matrix82]

That is just the way life goes, it's not fair. We learned that long ago. Going to school costs money, and for the most part to get a half decent job you need to go to school. I knew what I wanted to do for a career for a long time. I thankfully found a partner who was willing to support me while I pursued that career. I couldn't ask for a better husband. He works hard.

Following my career meant moving to an area with a 25%+ unemployment rate, even higher for those like us who do not speak french. After hundreds of resume's he took a job working in a kitchen. It's not ideal at all, but it's work.

We are moving in a month for me to take a different 3/4 position in my field, but where he will have full time work, about 50+ hrs a week. I hope that bit by bit our debt goes down so that we can have children. I really want them, and it's breaks my heart to know we can't right now. I have all the love, just not the money, and lets me serious kids do require some money.

I could have married a rich lawyer, but I chose the man who treated me with respect and love. I'd chose my husband any day over buckets of money. Life's not fair, it's just part of being human. I am looking into getting part-time work once we move, so that I will be working 40+ hrs a week as well. Our hope is to pay down the debt quickly so we can actually live our lives.

[ashedfc]

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[Darth Penguin]

your link isn't working.....

[kanewtz]

I think it is impossible to define rich. Rich in what? Love? Health? Assets?

I'd rather live modest with great healthy and a great family than be a millionaire where all I have is money and it controls my life.

It took me awhile to figure this out (actually it was my wife). During our dating years we hardly saw eachother as I was working all the time to advance my career.
Even now...I work a lot of overtime because I need to...not want to. I have 67hours of OT in this month alone so far and potentially working this weekend GAH.

Once we have kids..it will stop. I don't want to be one of those work-aholic fathers. I want to do things with my kids!

The point is...everyone will define "rich" as something different!

[ashedfc]

And the biggest thing is Time.. are you rich in time.. (this will explain)