5 myths about rich people you should understand

Put your hand up if you would like to be rich.

Thought so.

Now keep your hand up if you think that you can become rich.

Not so many hands in the air.

But for those who agreed with both statements: congratulations.

You’re halfway to becoming wealthy because you’ve got the right mindset, which is as important as the investments you make.

In fact, they go hand in hand.

Yet, there’s this persistent myth that rich people are different from the rest of us and that being rich is a stroke of luck or background.

I wrote about this false idea in my book Rich Habits, Poor Habits, which I co-authored with Tom Corley, a popular blogger on this site.

But because it’s so widespread these days — I see a lot of people blaming others for their lack of money — I wanted to return to the topic to dispel some common myths about rich people.

MYTH 1: The rich are wealthy because they inherited their money

Sometimes this is true, of course.

Sure some wealth is inherited.

But, in my experience, the people hungriest to create and sustain wealth are those who’ve never had it.

Rich kids may inherit, but they often don’t go on to grow that wealth in any great way.

Some, if they’re not careful, just end up blowing it.

MYTH 2: The rich are special

This is probably the most entrenched belief.

Many people think rich people are special in some way, that they have exceptional talents or skills that mark them out from the rest of us.

The really big difference between poverty and wealth is a mindset.

We all get dealt good and bad cards in life, but rich people know how to make those cards work in their favour and they’re prepared to work for as long and as hard as it takes.

MYTH 3: The rich have more connections

Once again, this may seem true on the surface but rich people are rarely born with those connections.

They go out and make them.

They put the effort into networking over many years and they build a community around them of like-minded people and business connections.

From the outside, it may look like these connections just arrived overnight, but nothing could be farther from the truth.

Myth 4: The rich are better educated

In my experience, the best businessmen and women don’t give two hoots if you have a double degree or go to a good school.

They care about your drive, the results you can deliver, how you conduct yourself and what you’re like to deal with.

If you‘re telling yourself that you can’t be rich because you don’t have an MBA, then you’re shooting yourself in the foot.

In fact, many of those on the Rich 200 list don't have a degree and a few didn't even finish high school

Myth 5: The rich spend their days island hopping and drinking champagne

I don’t blame you if you believe this myth.

Instagram is full of celebrities —and wannabe celebrities — pretending to spend their days doing this very thing.

But rich people work hard.

They’re the CEOs that get up at 5 am and regularly put in 12 and 14-hour days.

They’re constantly dealing with change, failure, and extremely high levels of stress.

Even celebrities who look like they’re living the dream have to work hard to maintain their success.

So don’t be fooled by appearances.

Rich people are no different from you, and the good news is that this means being rich is a choice.

A choice that only you can make.

Deciding to be rich is not an easy path to go down.

You’ll need to work hard and challenge yourself in ways you never thought possible, but the financial freedom you’ll gain in the process is more than worth it.

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About Michael Yardney Michael is the founder of Metropole Property Strategists who help their clients grow, protect and pass on their wealth through independent, unbiased property advice and advocacy. He's once again been voted Australia's leading property investment adviser and one of Australia's 50 most influential Thought Leaders. His opinions are regularly featured in the media.