Signs Of The “Fake Rich” And How To Become “Truly Rich”
76% of Americans are living paycheck to paycheck. For most people, this means they’re totally broke. They’re quite literally 1 or 2 paychecks from being homeless. Most Americans don’t even have $1,000 for an emergency fund. If their car were to break down, they wouldn’t even have the money to pay for the repairs.
Despite these statistics, what do you see when you drive to the store to get groceries? If you live or drive through a poorer area, you probably see most people driving old German luxury vehicles. It’s like the poorer people are in any given area, the more they try to make it seem like they’re living large. Most of the cars that people drive in these areas might look nice, but most of the people who drive them, can’t afford them.
The way the world is set up is, if your not rich, your a slave – plain and simple. A lot of people will tell you that they don’t care about money. But then, whenever you ask them what they’re doing, they’ll tell you that they’re working for money. Why would someone who doesn’t care about money spend the majority of their time trying to get more of it?
Some people make a good income, but their so concerned about displaying and maintaining a certain status or lifestyle that they’re just as broke as the people who make very little income.
Some studies show that there are more millionaires made from teachers and people in the education industry, than there are in doctors, lawyers, and similar 6-figure earners.
Signs that you are “fake rich”
The real question here is, are you part of the “fake rich”? The first sign that you’re “fake rich” is that your closet is filled with designer purses, shoes, and clothes but you’re getting food stamps from the Government. You also wear these designer items when visiting the office to apply for your food stamps. However, if you were given the closet full of designer clothes as a gift, then you’re totally exempt from being part of the “fake rich”.
Another sign that you’re “fake rich” is that you constantly seek validation with fancy cars and products. The “fake rich” always need you to comment on the size of their home or the luxury of their cars. They might also need you to comment about their high status job, and they will seek your approval for their lifestyle choices.
Let me ask you a question. Imagine what a rich person would look like, what type of car they might drive, what type of home they might live in. If you’re like most people, you probably imagine German luxury vehicles (BMW), huge boats, and big mansions … you can thank the media for this. The reality however, is that most rich people don’t look anything like how you just imagined. In fact, most millionaires drive a Toyota.
The “fake rich” buy expensive things because it’s the easiest way to make others think that they have tons of money to blow. The “fake rich” will lease the most expensive car that they can afford without going bankrupt. In poorer parts of the country, they will take this to an even greater extreme by living in a cockroach infested, barely livable apartment, in order to scrape up enough money to pay for their overpriced car payment.
Some of these guys actually frequent clubs and drive a brand new S-class Mercedes. But when you leave the club with them, they ask to go to your house instead, because they don’t have a house, or they live with their parents. Another sign that you’re “fake rich” is that you always buy the newest iPhone because you find it very important for people to see you with nice things.
The “fake rich” also love to 1-up other people. They buy anything and everything they can to make it look like they’re doing better than everyone else. Truth is, their entire life is built on a foundation of cards which could collapse at any minute. One minute they’re driving a late-model German luxury vehicle, and living in a well-off neighborhood, the next minute they’re gone without a trace.
The “fake rich” are always talking about how much better their car, job, or home is than yours. Although they won’t say these things directly, they’ll drop obvious and obnoxious hints on Facebook and social media.
Another sign that you’re “fake rich” is you shop at Target with your designer purse, glasses, and clothes. When you leave the store, you hop into a leased Lexus that you honestly can’t afford.
The “fake rich” are also notorious for putting chrome rims on their old German luxury vehicles. It doesn’t matter how old the car is, or how many miles it has, as long as it looks expensive, it can fit some nice rims on it. The car could be 500 miles from total catastrophic engine failure, but the “fake rich” will rock it until the chrome rims fall off.
The “fake rich” will go to a strip club and make it rain for a few hours, but a month later they’re standing outside in the rain, because they spent all of their rent money at the club.
So now that you know the signs of the “fake rich”, what can you do today to actually become “rich”?
How to become rich
Live below your means. We all know that this is much easier said than done. Imagine that you get a nice bonus from work, you have a few thousands dollars in extra money to spend. Do you see the problem with what I just said? If you’re like 76% of Americans living paycheck to paycheck, you don’t actually have any “bonus” money to spend.
The rich always live below their means, regardless of their income. One of the things that sets the rich apart from the poor is that a rich persons expenses doesn’t rise with their income or profits, unless they’re investing the money back into a business.
Many of America’s millionaires could drive a brand new BMW or Mercedes but instead, they drive a Toyota. Hold off on the luxury car and instead, put your money to work for you.
To become rich, always live below your means. Don’t make the mistake of the “fake rich” and max out every penny of your income on expensive cars, homes, and useless toys. Instead, invest the money into an industry you know well and can make 10x your money back. Do this until you can actually afford the finer things in life.
Avoid debt at all costs! Rich people always avoid debt, while the “fake rich” accept it with open arms. When purchasing a car or home, a rich person always prefers to pay for it outright. They also rarely use credit cards because most credit cards have ridiculous interest rates.
Avoiding debt is especially important when your in the earliest stages of wealth creation. I know, it’s hard. When you buy something with a credit card, mentally it almost feels like you got the goods for free. The “fake rich” see something they want and they tell themselves they’ll put it on the credit card and pay it off over time.
3 bankruptcies and 30 credit cards later, they’re 60 years old – broke, and still haven’t paid it off. If you have the cash, always choose cash over credit cards. By telling yourself you’ll only pay cash for things, you’ll be less likely to buy things that you don’t need.
Invest, don’t save. This bit of advice might be controversial, but I firmly believe in it. So many “experts” will tell you that you should be saving your money. SAVING MONEY FOR WHAT? So you can be rich when your so old that you can’t even enjoy the money? Someone who tells you to save all of your money and leave it in your bank account is ridiculous.
Every penny that you’re not spending on the essentials, should be immediately invested in whatever way you know best will make you money.
Some people invest in stocks, others invest in car dealerships. I personally invest my money into my own products and services, because it’s the best way that I know I can make a huge return on my money. It’s important to invest, but never make the mistake of investing into things that you know nothing about.
Delay gratification. This might seem like a simple tip, but it’s extremely important. One of the biggest problems that the “fake rich” have is delaying gratification. What happens is, they drive around and they see other “fake rich” people driving nice cars, so they go out and do THE SAME THING! Buying old German luxury vehicles that they can’t afford.
If you can’t tell already, I’m a car guy. When I leave the house each day, I usually see guys driving brand new trucks, luxury cars, or expensive imports. It’s hard, because I’m only human and like everyone else, I want those nice things. I want a fast car, I want a luxurious car, and even though i could easily get one, I’m holding off. I’d rather invest and stack the money I do have until I can comfortably afford a car that is in another league.
It’s hard, but I’d rather delay gratification until I can afford something that has a horse (Ferrari) or a bull (Lamborghini) on it. If you truly want to get rich, you have to learn how to delay gratification every – single – day. We all want a nice car, nice clothes, nice house.
What sets the rich apart from the “fake rich” is that the “fake rich have almost no self-control, so they’re powerless to delay gratification. Many doctors and lawyers fall into this trap. They spend 6 – 8 years in the slow, outdated, college schooling system, by the time they start making decent money, they’re so anxious to make up for all that lost time that they spend, spend, spend and end up living paycheck to paycheck like the “fake rich”.
They might make $100k per year, but the money is gone just as fast as it comes in. So they never truly become rich, they never make that “fire the boss and do whatever you want with life” type of money.
Delaying gratification can start with the little things. End your habit of buying an expensive coffee every day. Convince yourself that you don’t need a new outfit every month. Start learning about different industries and find places where you can invest your money. The internet can be riskier than things like real-estate or certain stocks, but it has turned more people into millionaires than anything else.
Do signs of the “fake rich” describe you? If they do, don’t worry. You just need to learn how to manage your money better. At the end of the day, remember that money is freedom. 80 – 90% of people in the world will stay “fake rich” for their entire life. They will continue to live beyond their means, accumulate unnecessary debt, and fall victim to instant gratification. They will continue to be slaves to money, instead of making money work for them.
The question you have to ask yourself is, do you want to be part of the “fake rich”? Or do you want to take control of your life right now and start on a journey to becoming “truly rich”?
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