Why Do the Rich Keep Getting Richer?

Rich people think differently. They have a different mindset. A mindset for gaining assets instead of liabilities. They work hard on their goals that they set and continue to achieve them. 

Living paycheck to paycheck is not something they do. So why do rich people keep getting richer?

5

5

Here are 6 ways Rich people keep getting richer

Lined Circle

1. They have an Emergency Fund: Emergency funds help to stop going into any investments and taking out cash. You have enough cash in your fund to cover you in case you lose a job.

One thing rich people do that helps keep them rich is that they pay themselves first. They have money automatically withdrawn from their savings into their investments. They put it away so they do not have the ability to touch it. 

2. Pay Yourself First:

3. Not Keeping Up with the Joneses

They use their money to create more money. If you want to know why the rich keep getting richer know that they do not keep up with the Jones’. They buy assets that help create them more wealth.

5

Lined Circle

4. The Snowball effect: Gender Roles The snowball effect is when a tiny snowball rolls down the hill and gets larger and larger as it rolls. We talk about things snowballing. The rich use snowballing with their wealth. It is a matter of using compound interest to create more wealth. 

Lined Circle

5. They spend Less on Taxes:

Rich people make businesses and use business to help offset taxes. They use the laws for their advantage to not have to pay taxes. This is another reason why rich people keep getting richer. 

The rich keep getting richer because they know how to achieve success. Everyone thinks it is so hard to be successful. If you fail then maybe you are not that good. Well, rich people think differently. They go out and achieve their goals. 

6. They are Goal Setters

Swipe Up to learn MORE ABOUT Why Do the Rich Keep Getting Richer

For More Posts Like This Visit The Frugal Expat