Why Wealthy is Better Than Rich — and How to Get There
There’s a difference between being “rich” and being “wealthy.”
It’s all in the mindset. It’s the difference between the Rockefellers and Kid Rock.
If you’re rich, you have the money to buy what you want, right now. You want a Jet Ski? You’re rich, go buy one, knock yourself out.
If you’re wealthy, though, it means you’re building something sustainable that should endure for generations. Wealthy people know how to keep their money and make more money — and how to make their money work for them.
Here are some ways to teach yourself to be wealthy:
1. Wealthy People Invest
Investing is how you build generational wealth. If you feel like you don’t have enough money to start investing, you’re not alone. But guess what? You really don’t need that much — and you can even get free stocks (worth $5 to $200!) if you know where to look.
Whether you’ve got $5, $100 or $800 to spare, you can start investing with Robinhood.
Yeah, you’ve probably heard of Robinhood. Both investing beginners and pros love it because it doesn’t charge commission fees, and you can buy and sell stocks for free — no limits. Plus, it’s super easy to use.
What’s best? When you download the app and fund your account (it takes no more than a few minutes), Robinhood drops a share of free stock into your account. It’s random, though, so that stock could be worth anywhere from $5 to $200 — a nice boost to help you build your investments.
2. Pass Wealth on to the Next Generation
Here’s another way to pass wealth on to the next generation.
Have you thought about how your family would manage without your income after you’re gone? How they’ll pay the bills? Send the kids through school? Now’s a good time to start planning for the future by looking into a term life insurance policy.
You’re probably thinking: I don’t have the time or money for that. But your application can take minutes — and you could leave your family up to $1.5 million with a company called Bestow.
Rates start at around $20 a month. The peace of mind knowing your family is taken care of is priceless.
If you’re under the age of 54 and want to get a fast life insurance quote without a medical exam or even getting up from the couch, get a free quote from Bestow.
3. Add up to 300 Points to Your Credit Score
When it comes to your credit score, it’s important to stay organized and keep tabs on it. After all, it’ll play an essential role in any big purchase you want to make — whether that’s a home or a car.
So if you’re looking to get your credit score back on track — or even if it is on track and you want to bump it up — try using a free website called Credit Sesame.
Within 90 seconds, you’ll get access to your credit score, any debt-carrying accounts and a handful of personalized tips to improve your score. You’ll even be able to spot any errors holding you back (one in five reports have one).
Want to check for yourself? It’s free and only takes about 90 seconds to sign up.
Being rich is great. But don’t just be rich.
Mike Brassfield ([email protected]) is a senior writer at The Penny Hoarder. He is neither wealthy nor rich, but he’s working on it.
*Bestow: Policies are issued by Bestow Life Insurance Company, Dallas, TX on policy form series BLI-ITPOL. Bestow Life Insurance products may not be available in all states. Policy limitations or restrictions may apply. Not available in New York. Our application asks lifestyle and health questions to determine eligibility in order to avoid requiring a medical exam. Prices start at $10/month based on an 18-year-old male rated Preferred Plus NT for a $100k policy for a 10-year term. Rates will vary based on underwriting review.