Rich people have a lot of money to burn. They are mathematical genius that can calculate their finances really well. They have plenty of nice cars and houses on hills. They don’t borrow money. These are just some of the usual assumptions most people have on the rich. But these are not necessarily true to most.
Here are the top myths about the rich:
- They Have Houses. Not all of them do. Some of them rent, especially those who travel a lot.
- Money Management Experts. Not all of them are. They are great in acquiring money, but not all of them are good in managing their finances. That is why they hire financial advisers.
- Perfect Credit Scores. There are some rich people who are really big spenders. It reflects in their poor credit scores.
- They Are Big Spenders. Contrary to the item above, not all of them are big spenders. Most of them know that it is not about the money you make, but it is about the money you keep.
- Debt-Free. Not all of them are debt free. There are those like Lindsay Lohan and Mike Tyson who are in piles of debt despite having big amounts of money. There are many businessmen who use debt as leverage to develop their businesses.
- Born With A Silver Spoon. Only 20 percent of rich people come from rich parents. Most of the rich people are self-made.
- Never Bankrupt. Some of the wealthiest people in history were bankrupt in some point of their lives. They used that struggle as their drive to become more rich.
- Don’t Have A Budget. You think they don’t have a budget because they have so much money. But it’s their budget-making skills they developed that actually helped them amass that wealth.