What does it mean to be conspicuously ‘wealthy’? Is it driving a $100k car or posting pictures on Instagram of your new custom watch? Probably not. Is it bragging about your epic trip to Bali or that you rented a mansion on the beach while you were there? Probably not.
The truth is that conspicuously wealthy people are all around us but they rarely spend their time screaming “look at me!” We've talked about the major components of true wealth, but the short story is that control over how you spend your time is a big part of it. Some of the wealthiest people in the world drive old cars and buy their underwear at Target. They may only work when they choose, or they may have the freedom to head out of town for a long weekend, every week. They may coach their daughter’s soccer team or decide to work at noon while their toddler takes a nap.
Their wealth is conspicuous because of the lack of attention needed to validate it; being able to be themselves and on their own time is all the validation required.
Now here is the rub: conspicuous consumption, the watch and car stuff, is typically an expensive proposition but true wealth takes some level of capital to achieve as well. That level of capital is unique to each of us and is what we think of as our own version of true wealth. I can guarantee that my true wealth is not exactly the same as yours. So, we have to customize our capital to our own version of true wealth.
As a business owner, this is great news because customization is what owning a business is all about. You can choose to hire more people and take home less money if you are working more than you would like. You can use some of your capital to buy income-producing assets like real estate or passive business investments to generate income without labor. You can get outside financing to grow your business toward an exit that creates enough capital to make your true wealth life a reality. The options are only as limited as your imagination and the planning you do to turn that into action.
When you think about the time and money pieces of your true wealth picture, think about using some of these strategies as part of your roadmap on how to get there.
Have any questions? We're here to help!