What is your interpretation of being wealthy in monetary term?
Is it any of these?
- Having one billion dollars of disposable cash?
- Be able to afford to drive an Audi R8?
- Be able to shop till you drop without having to worry about running out of money?
- Travel across the globe in style for one full year without going bankrupt?
- Be able to afford to send your kids for tertiary education overseas and still be able to retire comfortably?
- Owning a private jet?
One may argue wealth is only relative. However, it is crucial to make the distinction between real rich and phony rich so that one doesn’t get embroiled in a lifestyle led by many wealthy pretenders.
Materialism is one of the most destitute pursuits that exists.
Once in a while, we come across a quantifiable definition of wealth which seems practical and doesn’t sound insurmountable.
These 2 criterion are quoted from the book, Millionaire Teacher, the Nine Rules of Wealth you should have Learned in School.
- You should have money to never work again, if that’s your choice
- You should have an investment, a pension or a trust fund which generates twice the level of your country’s median household income over a lifetime.
How would this apply to you?
I simplify this in one sentence.
If you live in Malaysia now, you would have a passive income of RM 9,000 a month.
Straightforward, isn’t it?
This is an excerpt from Capital Malls Malaysia 2011 Annual Report, Department of Statistics projected data based on historical growth rate by CBRE Research