Even the most frugal and thrifty among us have dreamt about walking in the shoes of the rich, even if only for a little while. We’d all like to have more money or at least live like we do, without going broke in the process. So how can it be done? There are a few ways we can all live richer without being rich.
Buy it second-hand
We all want something that’s simply out of our budget whether it be a new home, designer clothes, fancy new car or even a set of luxurious sheets and bedding. Without making more money we think there’s no way to have these things. Some of them are still attainable without making another cent. Simply buy a second-hand fancy car to save thousands, buy those designer clothes used. No one will know that they’re used goods unless you tell them because once something is owned, it’s always used, no matter how much money the owner has.
Ingvar Kamprad, the billionaire behind Ikea is known for only buying second-hand clothes in order to save money. If this is something even the rich do, then you should too. Kamprad credits his thrifty nature for making Ikea the top brand it is today. In a documentary shot in 2016, he stated:
“I don’t think I’m wearing anything that wasn’t bought at a flea market. It means that I want to set a good example.”
In 2006 he was listed as the fourth richest person in the world by American business magazine, Forbes.
Take a lesson from the rich
Just like the second-hand lesson learned from Ingvar Kamprad there are many other successful and rich, thrifty millionaire and billionaires to learn from when it comes to saving and spending money. If you want to live like the rich, then don’t live like you think the rich live.
In 1998, The Millionaire Next Door was published. The book has been updated numerous times over the years, but the findings have always stayed the same. The truth is, wealthy people aren’t who you expect. The typical average rich person is not a celebrity, they don’t drive expensive sports cars, wear the latest designer clothes or have the most expensive house. They might be your next door neighbour and you wouldn’t know it.
According to the JPH Advisory Group most rich people have these 5 things in common:
- They invest in themselves and focus on maximising their income
- They pay themselves first and automate their savings
- They don’t leave money on the table
- They live below their means
- They hire and follow the advice of good advisors
The number one lesson we can take from that when it comes to living like the rich? The rich don’t actually live like they’re rich. They live below their means. You might even be living like a rich person now. Enjoy it and before you think about buying that brand new luxury automobile or penthouse, remember this quote from Will Rogers:
“Too many people spend money they earned … to buy things they don’t want … to impress people they don’t like.”