Wealth comes in all perspectives and from all walks of life. People want to look good and “wealthy” in front of others. It gives them a sense of “status” and the confidence to face the society with dignity. They do it with Pretence Wealth.
What is Pretence Wealth?
I would termed it as having the luxurious items as a show to inform people of your “Wealth” at the expense of your tight budget and high stress level. Looking good outside with a cancerous wallet is not really a good thing after all.
I once had a conversation with my Millionaire friend and he has said “Pretence Wealth will not get you to Real Wealth. Only by being truthful to yourself and by developing great habits, Real Wealth will appear.”
This sounded like “When you are ready, the teacher will appear”.
Pretence Wealth is an obstacle to Real Wealth
Lets start with a luxury vehicle. One that costs $100,000. Do you know that the $100,000 vehicle costs at least $250,000.
This statement seems to be a confusing one but let’s read on.
People who purchase a vehicle normally see the face value of the vehicle only. For this example, the value of the vehicle is $100,000. Have they thought of the lifetime cost of this vehicle and most importantly what is the real use of the vehicle?
On average, vehicle owners pay around $1,500 for their vehicle (includes tax, petrol, etc) every month. This monthly $1,500 gives you a vehicle to drive. It also gives you a heavy commitment to keep paying, stress over tighter household budget for the next 5-10 years. And do you know that this money could have moved you nearer to Real Wealth?
Create Real Wealth First
Of course the vehicle provided convenience of travelling from 1 place to another. People have many reasons to state when it comes to having convenience. Having a vehicle is good. I am not denying this statement. But how about having this vehicle 10 years later? Use this temporary convenience to convert into your Real Wealth first?
Once you have established your Real Wealth, you will then use it to get a free Vehicle. Yes, this is indeed the case. Once your Real Wealth is established, Pretence Wealth will no longer be in existence for you. Who likes Pretence Wealth anyway.
How to get 10% or more per year.
Check out “Cash Flow Machine #1 : Pop Corn Business”
Life Works pretty much the Same Way.
Slow Down, Stop, Change Direction
Only you can change Your Direction in Life.
Do you want to have your Pretence Wealth or Real Wealth?
Your Choice. Your Life. Your Wealth.