If you are wondering for yourself or if someone ask you a simple question such as, what is the new rich, would you be able to answer?
I did my own little survey to 45 ordinary people over a wide age span and I was not totally shocked by the answers I was hearing. I realized it was more of a basic question and I asked them out of the blue. Amazingly I received a number of different answers but the majority was simply “I don’t know” or “what are you talking about”.
Let me take you on a journey into the past. Things were going good for most people, families, and especially businesses until that great big bubble popped in 2008.
Before that people were spending money left and right, banks were telling customers they could overextend on their mortgage amounts with no problems. People pushed back student loans to take on more mortgage, credit was easier to get and people did use and abused credit off the charts.
Most of us had that great party filled with endless spending, huge houses, easy accessible credit cards, buying unnecessary over priced items, piling on debt with no concern of paying it off.
Then that wonderful time came to a screeching halt, with people losing literally mostly everything.
Some say we are out of the this so called recession, this life changing crisis, but I do not totally see it that way. People are still struggling, still dealing with job loss, large amounts of debt and especially now, not having anything to show for future retirement.
Now everyone continues to deal with unbearable money issues, attempting to put aside the shame and embarrassment, the over whelming amount of debt, still filing for bankruptcy, houses are sitting empty, home values have fallen dramatically.
The numbers keep changing but I read recently that almost nine million people lost their jobs during that time, and millions upon millions of wealth in America was lost, totally wiped out in a flash before people could save themselves and their family finances. Today in the year of 2016 major businesses continue to cut jobs and downsize. Out of all of this still comes unemployment, jobs lost healthcare being ignored , people on the edge and trying to find ways to hang on.
When the bubble burst millions was lost in pensions and in the stock market leaving people with the unfortunate issue of having to virtually start over building wealth. Over 40% of people have less then $10,000 saved for retirement – that is scary. Do I need to go on?
Going forward into an uncertain future, figuring out what is the new rich will have a different meaning to each individual.
So how do you find the answer for yourself? Start with being smart….
If you haven’t done so yet you need to figure out what is the new normal for you and your family, and then make some drastic changes
Your need to learn how to get smart, rethink your future steps, revitalize, retrain and recharge your lifestyle, reorganize and plan for long term goals and especially for financial status and most certainly for retirement.
The new rich will have a different meaning and understanding to each individual. Like I discovered in my survey people didn’t know, couldn’t give me a direct answer, so it shows the thinking of people will vary as well as the way they handle their finances.
Finding out what is the new rich and how it can work for you will take steps such as:
- Learn to speak, understand and invest money
- Learn to save more, protect your money
- Spend less, cut down
- Learn to be truthful to yourself, and your money situation
- Get your money issues in order
- Put away the credit cards
- Downsize, here’s an idea: people are now downsizing on their homes, for one reason or another, and are finding tiny houses are do-able living arrangement (not having to stress about absorbent mortgage pmts)
- Find extra streams of income
- Learn to invest, learn to rethink, reorganize
- Learn to budget, take control of your monthly money issues, what income is coming in, what payments are going out.
- Get smart – invest in yourself
- Ask yourself, is it a need or a want
- Am I saving towards retirement
- Am I saving any of my paycheck for that unexpected emergency (get back to that old pre credit card era of saving for something you need or want)
- Start by learning to make adjustment on a daily basis. Cut down on eating out, keep a daily total of where your money is being spent
- Learn to say no
- Turn off the video games the TV, and read a book
So what is the new rich, and how do you get there?
Everyone will have their own personal answer but what I discovered is the process of getting smart in your actions, cleaning up your own financial mess, getting reorganized, rethinking your future path finding and working new strategies that will get you back on the road to financial wellbeing and achieving success in life. So how do you start doing all of these things ….
A great place to start in understanding what is the new rich is by investing some time with Christine Roman and the information she shares in: Smart Is the New Rich: If You Can’t Afford It, Put It Down and also Smart is the New Rich: Money Guide for Millennials.
Christine offers her readers different avenues and addresses how to get out from your current financial woes, successful ways to put your future on the right track, and what it will take to make the right money choices to move you financially forward. You need a mentor and a starting point to get yourself smart….start today.