Wednesday, May 29, 2013

How to Not Feel Rich

Why the rich don't feel rich shares how a doctor making $570,000 a year doesn't feel rich.  While an half million dollar annual income seems to define rich, the article shows why money isn't necessarily the primary factor for feeling rich. I took away that there are three important factors that can keep people from feeling rich:

  1. Living paycheck to paycheck.
  2. Continually growing lifestyle.
  3. Always wanting more than is currently affordable.
It would have been interesting to find out how much the doctor had saved, either for retirement or in an emergency fund.  I suspect those might also be factors in making him not feel rich.

For more on The Practice of Personal Finance, check back every Wednesday  for a new segment.

This is not financial advice. Please consult a professional advisor.

Copyright © 2013 Achievement Catalyst, LLC

1 comment:

KC @ genxfinance said...

No matter how much you are earning, if you just spend it all away, not learning how to manage your finances, and spending more than you can afford, then you will never feel rich at all.