If I asked you to name a ‘wealthy’ person, who would that be? Bill Gates? Warren Buffett? Or maybe you would name yourself? I would then ask you to go into details and tell me what makes this person a wealthy individual. ‘Money, of course!’ you might respond. And you would technically be correct. As per the Oxford Dictionary the noun wealth is used to describe:
- ‘An abundance of valuable possessions or money
- The state of being rich; material prosperity
- Plentiful supplies of a particular resource’
Undoubtedly, there is a significant material aspect to being wealthy but is that the end of the story? Does having money necessarily make one wealthy or are they just rich?
This is a point that Robert Kiyosaki talks about in his best-selling book Rich Dad, Poor Dad. He argues that the difference between the rich and the wealthy is that the latter never have to worry about money because money works for them and not the other way around. “The definition of wealth is the number of days you can survive without physically working (…) and still maintain your standard of living. For example, if your monthly expenses are $5,000 and you have $20,000 in savings, your wealth is approximately four months or 120 days. Wealth is measured in time, not dollars.” Talking about different ways of looking at the all-so-famous ‘Time is money’ quote!
Do you agree that the above sum up what it means to be wealthy? Here at The Savvy Corner we think there’s more to it than that.
So what is wealth?
As a Financial Coach I take a holistic view on wealth and would encourage you to do the same. I did not mention this above when I quoted the dictionary definition of wealth, but there is also a fourth, archaic (?!) meaning to it, which is that of well-being. In other words, the concept of wealth goes beyond the material aspect of money and assets (possessions) into an all-encompassing state of well-being. I see this as a combination of the below, not necessarily in the same order:
- Money & material assets
- Love and relationships
- Health & spirituality
- Personal and professional development
The ability to see wealth in this new light is so liberating for my clients since it serves as a constant reminder that whilst the financial aspect of their lives might need some working on, they are still wealthy in other areas. They might be blessed with amazing partners, children, parents and friends, be in good health, have a job that they love, etc. All of a sudden having a lot of money but being alone, in poor health and miserable does not qualify as being wealthy anymore. And for good reason.
This realization shifts people’s attitude towards money completely, from ‘I am not happy with my financial situation and my relationship with money’ to ‘I might not yet be where I want to be financially but I am committed to take the necessary steps to rectify this situation. In the meantime, I have so much to be grateful for that I cannot call myself anything else but wealthy.’ This new approach allows people to set and work on their financial goals from a positive angle and with much better results.
You can expect The Savvy Corner to be a place of inspiration and guidance for all of the above. Whilst there might be an emphasis on the financial side of things, aspects such as well-being, personal & professional development and motivation are sure to get their well-deserved attention. I hope that this holistic view on wealth will inspire you to feel grateful for what you have right now, knowing that the monetary aspect will follow. Next time you have a spare 5 minutes, make a note of the reasons why you are wealthy. What are you grateful for in your life? If you feel like sharing please do so in the comments below and let us know how you see wealth and what it means to you. Is there anything else which you think contributes to being wealthy?
Until next time, stay savvy!
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