Most people think that being rich and being wealthy are the same thing. But there is a difference between the two. The rich have lots of money but the wealthy don’t worry about money.
Rich might have lots of money but also might have lots of expenses that keep them up at night.
This could be expenses like your mortgage, your car payment, credit cards EMI, private school tuitions, and more. In short, if you are Rich you are often trying to keep up with the rat race.
The definition of Wealthy is the number of days you can survive without working and still maintain your standard of living.
It’s not about what you can buy it’s about your ability to sustain your existence without working.
For example, if your monthly expenses are ₹5,000 and you have ₹20,000 in savings, your wealth is approximately 4 months.
But if your expenses are ₹5,000 and you have investments that provide ₹5,000 a month you are infinitely wealthy. And you don’t have to work for money.
This question of Rich vs Wealthy is an important one because it often exposes your mindset about money.