Menu #41: What does wealth mean to you?

STATS STACK 🥞

$23,000 is the new 401(k) contribution limit for 2024, up from $22,500 in 2023. This increase allows for greater tax-deferred savings towards retirement. (Source: IRS)

20.55% is the average credit card interest rate in 2024. (Source: Bankrate)

336,000 jobs were added in the U.S. last month, far exceeding the forecast of 170,000 (Source: Reuters)

DEEP DISH 🍕

What does wealth mean to you? A personal take on defining wealth

Wealth. It’s a word that’s often tossed around in conversations, but how often do we pause to really consider its meaning? When you think of wealth, what images come to mind? Is it a luxury car speeding through city streets? A sprawling mansion overlooking the ocean? Or maybe it’s the executive in a tailored suit, jetting from one important meeting to the next. These pictures of wealth are familiar, but they are just the surface—mere symbols.

The real question is: What does wealth feel like, and how do we know when we’ve achieved it?

The Illusion of Wealth

If we strip away the luxury cars and designer clothes, what’s left? True wealth is not always visible to the naked eye. It isn’t always found in the things we buy, but in the experiences we live, the choices we’re free to make, and the peace we feel when we know our lives are aligned with our values.

In fact, many who we consider “wealthy” live simpler lives than we imagine. According to a study by Ramsey Solutions, the majority of millionaires live in modest homes and drive practical cars like Toyotas and Hondas. So, what do they know about wealth that isn’t obvious? Maybe it’s that wealth isn’t about showing it; it’s about knowing you have enough.

Redefining Wealth

At its core, wealth is more than just financial abundance. It’s a sense of security, freedom, and peace of mind. It’s not simply the size of your bank account but the quality of your life and the options you create for yourself. It’s about the ability to weather life's storms, take risks without fear, and build something meaningful for yourself and others.

We’ve all heard the phrase “money can’t buy happiness,” but perhaps money can buy freedom—the freedom to choose how we spend our time, the freedom to give generously, and the freedom to live life on our terms. That’s real wealth, isn’t it?

Wealth is Personal

Wealth is deeply personal, and its meaning shifts depending on who you ask. For some, wealth is about tangible assets—properties, stocks, investments. For others, it’s the richness of time spent with loved ones, or the satisfaction of pursuing passion projects without worrying about the paycheck that may come with it.

Have you ever considered what makes you feel wealthy? Is it the safety of a financial cushion? The luxury of time? The joy of experiences that connect you with people and places? Defining wealth on your own terms means letting go of society’s standards and asking yourself: What gives my life meaning?

Building Wealth vs. Getting Rich

The difference between being rich and being wealthy is subtle, yet profound. Riches can be fleeting—a windfall, a high-paying job, a sudden stroke of luck. But wealth is intentional. It’s built over time, through habits like planning, patience, and discipline. It grows slowly, but when nurtured, it becomes something that can last for generations.

Wealth isn't just a number—it’s a mindset. It’s about cultivating the kind of life that doesn’t rely on material abundance for happiness but uses financial stability as a foundation for freedom and fulfillment.

True Wealth: Purpose, Legacy, and Freedom

If we move beyond the material, we begin to see wealth as something much deeper. True wealth manifests in three dimensions: purpose, legacy, and freedom.

Purpose: What if the greatest joy that wealth offers isn’t found in what we keep but in what we give? The freedom to use your resources to make an impact on the world, to support causes close to your heart, or to simply be there for someone else in their time of need. Wealth can create opportunities to live a life of greater purpose and generosity, allowing us to focus less on what we accumulate and more on the difference we make.

Legacy: What do you want to leave behind? Wealth isn’t just about money in a will; it’s about leaving something meaningful behind—values, experiences, opportunities for those who come after you. It’s the ability to create something that outlives you, shaping the future for your children, your community, or even people you may never meet. What will your legacy be, and how will your wealth contribute to it?

Freedom: At its heart, wealth provides the ultimate luxury: freedom. The freedom to spend time as you choose, pursue passions, take risks, and create a life on your own terms. It’s the power to design a life that reflects what you truly value—not just what’s expected of you. When you are free from the pressures of financial survival, you have the space to live authentically, explore deeply, and connect meaningfully.

Building Wealth: Four Steps to Get There

If you’re ready to start building true wealth, here’s a roadmap that can guide you:

Earn and Grow: Your income is your most powerful wealth-building tool. Focus on growing your career, diversifying your skills, or creating new income streams. But remember, earning more is only one part of the equation—it’s what you do with your earnings that determines your path to wealth.

Invest Wisely: Don’t let your money sit idle. Invest it in ways that allow it to grow over time. Be strategic with your investments, diversify your portfolio, and take advantage of compounding by starting early. Wealth isn’t built in a day, but it does compound over the years.

Reduce Debt: Debt can be a major roadblock to wealth. By keeping your expenses in check, paying down debt, and living below your means, you create more space to build wealth over time. The less you owe, the more freedom you have to invest in your future.

Think Long-Term: Wealth-building is not a short-term endeavor. It requires patience, consistency, and a long-term perspective. Instead of focusing on quick wins, adopt a mindset of steady growth, and let time work its magic.

Wealth is a Journey, Not a Destination

Ultimately, wealth is a journey—one that’s deeply personal and ever-evolving. It’s not a fixed point you arrive at but a state of mind and a way of living. The true measure of wealth is not how much you have, but how much of what you have supports the life you want to live.

Take a moment to reflect: What does wealth mean to you? How does it shape the choices you make, and how does it align with the person you aspire to become? The answers to these questions might just redefine your entire approach to building wealth.

Until next time, keep building a life that reflects your values!

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