Being wealthy and appearing wealthy are two very different things. If you’ve read Thomas Stanley’s The Millionaire Next Door, you know that most truly wealthy people (those with significant net worth, not just high incomes) don’t live in upscale neighborhoods, drive luxury cars, or dine at fancy restaurants.
They lead lives that seem ordinary. They work regular jobs, drive practical cars like Honda Accords or Toyota Camrys, and live in modest homes.
In fact, you’d probably never guess they were millionaires if you saw them! That’s because they don’t flaunt their wealth to impress others—they simply are wealthy and, more often than not, couldn’t care less about what others think.
Caring about appearances didn’t make them rich, either.
So, what can we take from this? Don’t envy those who act rich; in many cases, they aren’t. They might have high incomes (which is great!), but without a solid savings strategy, most of their wealth evaporates.
Don’t be deceived by appearances—remember the age-old lesson: don’t judge a book by its cover.
Spending money like they do won’t make you rich. Or, put another way: Acting rich doesn’t actually make you rich. That’s what we call the pseudo-affluent.
Here’s the key takeaway: True millionaires don’t act rich—they are rich. And they might be living right next door. How can you tell if your neighbor is a secret millionaire?
Here are some clues:
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They have a solid grasp of finances: They might talk about finances and the market, but not obsessively. They’re calm about economic fluctuations and discuss financial topics like HSAs, 529s, and 401(k)s. “Get rich quick” isn’t in their vocabulary. They likely use a tool like Excel to keep their finances in check.
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They read: Their home is geared more towards learning than entertainment. Few wealthy people can instantly recall the latest TV drama or game show. They might not even own a TV, and if they do, it’s not the centerpiece of their home.
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They cook: Wealthy individuals often have well-equipped kitchens and enjoy cooking and entertaining. Their kitchens are designed for more than just cooking—they’re spaces for conversation, relaxation, and connection.
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They keep their lives uncluttered: Most wealthy people don’t own a lot of unnecessary stuff. Their homes are tidy and purposeful, not cluttered with items destined for the landfill. Their garages? They’re for cars, not storage.
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They prioritize health: They know their wealth is meaningless if they can’t enjoy it in good health. Exercise—whether it’s yoga, cycling, running, or weightlifting—is a regular part of their lives because they see it as key to enjoying their wealth long-term.
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They don’t brag: Truly wealthy people don’t flaunt their possessions. They may have nice things, but they don’t need others to admire them. They use their resources to support their lifestyle, not to show off.
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They don’t care about others’ opinions: With confidence comes the ability to ignore fashion trends and pop culture. They’re okay with driving a Civic, wearing a simple t-shirt, and living in a modest home.
How many of these traits resonate with you?
This isn’t about judging yourself—it’s about being honest. Recognizing your weaknesses is the first step toward improving your life.
Building wealth isn’t always glamorous; in fact, it can be pretty boring. But don’t let that deter you from improving your life by living within your means to achieve financial independence and retire early.
