“The rich stay rich by pretending to be poor, and the poor stay poor by pretending to be rich.”
I have seen this quote in so many places that I don’t know who to attribute it to.
The original Bible quote goes something like this:
“One person pretends to be rich, yet has nothing; another pretends to be poor, yet has great wealth.”
– Proverbs 13:7
My landlord owns over 100 properties in Canada and in the U.S, yet every time he comes over, he’s wearing old clothes and driving his old beat-up car. He’s not afraid to get his hands dirty and get on his knees to fix a toilet.
I have a friend who has a net worth of over 100 million dollars. I met him when I was a dance teacher, and we developed a friendship. This friend, to my knowledge, has never done anything to show his wealth. By looking at him or talking with him, you would never guess that he’s loaded with money.
Rich people like to accumulate wealth without drawing unnecessary attention or wasting their money on unnecessary luxuries.
On the other hand, I knew this other person, who was always driving a luxury car, always wearing designer clothes, and always buying the latest electronic gadgets. By looking at him, you would think he was very rich. The truth is that he was living off his girlfriend’s money, and when they separated, he was struggling with credit card debt.
Why do the rich pretend to be poor
Privacy and Security: Wealthy individuals may downplay their wealth to avoid attracting unwanted attention, such as theft, scams, or unwelcome solicitations. I am not rich yet, but already I get unwelcome solicitation all the time and I am very careful about scams, but scammers are knocking at my door almost every day.
Simplicity and Humility: Some rich people value modesty and prefer a minimalist lifestyle, finding happiness in experiences and relationships rather than material position.
Why the poor pretend to be rich
Social Status: In many cultures, wealth is equated with success and respect. Some individuals may feel pressure to appear affluent to gain social acceptance or to avoid stigma.
Aspiration and Hope: Displaying wealth, even if superficial, can be a way to aspire to a better future, giving themselves an others the impression that they are succeeding.
Peer Pressure: Societal and peer influence often encourage individuals to showcase a lifestyle they cannot afford, leading to financial strain in an attempt to keep up with appearances.
Conclusion
If you are in the camp of people who is pretending to be rich, you have lots of work to do. You need to either start earning more money or come clean and admit that you are not as rich as have appeared to be.
For most of my life I have lived with a very low income, but I have always been a saver. After twenty five year in the labor market, I was able to accumulate enough capital to stop working for a living. Now I am better off than most of my friends. My capital earns more money than I was ever able to earn with my labor and I have the luxury to be able to invite friends for drinks from time to time.
Continue investing in your skills, get started in the entrepreneurial track as soon as you can, and one day you will be reaping the benefits. Good luck.