This is something a poor man will never understand but in the nutshell, a poor man actually spends more than a rich man. In their bid to save cost, they end up spending more.
If you really want to understand the point we are driving at, then check out these 13 reasons why the rich keep getting richer and the poor keep getting poorer.
Let’s use bottled water for example. 1 bottle of water costs ¢3.00 but the whole box actually costs ¢18 to ¢20 and each box contains 12 bottles of water. A poor man will feel this is expensive but will buy each bottle for ¢3 because it looks cheaper. But at the end of the day, both poor and the rich will all use all 12 bottles but the poor man will end up paying ¢36.00 for the same quantity.
If we move this to the bigger picture, a poor man will buy a cheaper car or a second-hand car but a rich man will buy a new one and the poor man will feel the rich is wasting money because there is a cheaper option forgetting that te cost of maintaining a used car is higher than a brand new car.
So Bill Gates buys rare antiques worth millions of Dollars and the poor man is agape and thinks he’s wasting money on worthless things, wrong! he’s actually buying to store them for the future. If those antiques are worth millions of Dollars right now, how much will they be in another 20 years to another rich man? It is more of an investment than just something he’s buying. The poor man just buys things because it is trending and in no time, it is out of fashion and they will go back for the new product which depreciates in no time.
There is nothing a rich man does to lose and so we hear they are into this project and giving out money for some project and all the poor man can say is, it is because he’s got money but that’s not the case, it is rather profitable.
As humans, we are touched by what one does for the other and so when we see things like that, we indirectly invest in without even knowing and the rich keeps making money out of kindness they showed. And note that, when you invest in people, they come back to invest in you, the reason why they will never lack.
To the poor man, taking a trip to the Bahamas just to relax is a waste of money, they will rather invest. Yes! you will say that because you’re poor. But while you’re busy investing, the rich man is refreshing his state of mind and controlling his health. All the money you invested will be used to pay the doctors because you end up at the hospital and you will have to spend.
When the rich man is buying something, they look at how valuable the thing is and not how much it costs. The poor on the other hand actually looks at the price tag and laments about how expensive it is and goes for a cheaper option but at the end of the day, they spend more than the rich when the product doesn’t last and they have to go back and buy again and again till they even surpass the rich man’s amount for the same type of product or it keeps going for repairs till they spend almost all they have on the same thing.
The poor man has no time to read because they have to make money, the rich man reserves time to read and to understand how to make more money. See the difference?
The rich man dreams big but the poor man is satisfied with the box they are in. If you have a poor family, go tell your parents right now that you will make 100 million dollars by the time you hit 35 years. Trust us, they will sit you down and advice you all about the dangers of ritual money and that should tell you how the poor do not have faith in making it big. The rich man, on the other hand, will give you all the tricks and ways to make that amount.
The rich man is always learning something new, the poor man actually thinks they know but we don’t see it sending them anywhere. Ever had the chance to speak to a rich man about technology or something new that can help you make more money? The rich man will be eager to learn it and will disturb you till you teach them but the poor man will not see the need for it.
Now take note of this, there is a big difference between wealth and cash, this is why the rich man keeps buying things and racking up properties which the poor man thinks is a waste of money. The poor man thinks so because they look more at the case than the wealth the rich man is accumulating. When a rich man keeps buying houses, those houses are wealth they can use to make more money but the poor man looks at the amount they have in the bank instead of using it to accumulate wealth, they just pile money up in the bank and when that happens, you spend and when it’s finished, that’s it. The rich man, on the other hand, cannot leave money lying idle when they can use it to accumulate more wealth. That’s the difference.
The rich man knows his value and counts them in everything they achieve and not just in monetary form. They see all the experience they’ve gained as money but the poor man sees it as just one of those things. For instance, when you step in a company, especially a Ghanaian company, most workers actually think whatever they do, they do for the employer but they forget the experience they gain is for themselves and so when something goes wrong, they just sit down forgetting that solving problems is what gains you the unique experience others will never get.
The poor man blames everybody and the system for being poor, the rich man takes every opportunity the system offers to become rich.
The poor man assumes a lot of things without actually verifying and these assumptions become so strong it turns into facts for them. The rich man on the other hand, is curious and will want to be sure of the fact out there and not just assume that venturing into some business will cost this or that or will make you lose your money and this is because they don’t think much about the money but the wealth they will make.
The poor man is more concerned about money rather than time, the rich man is more concerned about time rather than money. And so it is easy to note that, the rich man is always looking for ways not to waste time but the poor man will waste all their time waiting for money.
Let me give you a typical example from a Ghanaian perspective using the Taxi rank. A taxi driver who obviously will be poor is the one who waits at the taxi rank to pick passengers and stays in a queue all day just for 4 passengers after every 4 hours. The taxi driver who will be rich is the one who has no time to waste and will hit the road all the time just to get passengers at the least chance. See the difference? One values time, the other doesn’t.
The poor taxi driver thinks when he moves, he will be wasting fuel and that will translate into money and so he will rather stay and waste time, the rich taxi driver doesn’t really think about that, he thinks about all the time he will waste just sitting there waiting for a passenger who might probably never come.