Invest Wisely (Don’t buy that stuff!)

There are several wealth studies out there that state the following:

“The poor buy necessities.”

“The middle class buy things.”

“The upper class buy income.”

What does this mean?

Without judging one group over another, I think it means that the lower income levels spend all or most of their income on housing, clothing and food.  The middle or upper middle have enough income to have extra after they have paid for housing, clothing and food – so they spend their extra income on things like cars, boats, memberships, eating out, entertainment and other things.  The upper class have enough income to pay for food, clothing and housing as well as the things – so they spend their extra income on income producing enterprises such as real estate, gold, silver, stocks, bonds, businesses, etc.

Where do you stand in this?

Another way to view this is:

“The poor live from pay check to pay check.  Many a time trying to decide which bills to pay and which can wait.”

“The middle class also live from pay check to pay check.  But there is usually something left over after paying the bills.  So they buy things.”

“The upper class do not get pay checks.  They have a financial statement which tells them how much cash flow they can work with when they buy income.”

Can you change your level?

Absolutely!  It’s Perception, Perception, Perception!

Gary

About Gary

I am retired, but not tired. I still want to be valuable to others. I know that others are valuable to me. After looking back on six decades, I have asked myself this question: “What do I believe?” My mind filled up. My heart started beating faster. My spirit soared. I post blogs to share what my mind is working on, what my heart believes would help others and, what my spirit is communicating to me. What do I believe, you ask? Decisions dictate your path In love, not hate In tolerance, not prejudice In health, not sickness In wealth, not poverty In kindness, rudeness In happiness, not sadness In encouragement, not discouragement In faith, not doubt In courage, not fear I have been and will be challenged in each one of these beliefs, but the biggest belief is to stay positive and not turn negative. This belief helps me maintain all of the others.

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