7 Signs You’re Richer Than You Think

Sure, it’s easy to look at the national average and see that people are better off than they were 10 or 20 years ago, but let’s take a closer look at how much each American actually has in the bank — and what this means for your financial situation.

Sign 1: Save, save, save

Usually, people associate rich people with those who are making a lot of money. Some might equate the term rich to someone that has the most amount of money.

These people would see themselves as rich because they make a lot of money, but that doesn’t mean that they’re rich in other ways either. In order to determine whether or not you are actually richer than you think, there are a few important factors to keep in mind.

You might be richer than you think if you’ve saved up a significant amount of money. There are many ways to achieve this goal, such as saving in a bank account or investing in stocks. Another way to save is by owning your home, paying off your mortgage with an affordable interest rate, and living in a more modest house.

Sign 2: Stress

You may not know it, but you are probably richer than you think. There are many signs that you are wealthier than you think. Perhaps your boss makes more money than you do, the cars in your driveway have a lot of features, or maybe you own a house that is twice as big as the ones around it.

However, there is one sign that will tell if your bank account is bigger than what people assume: how stressed out you are by money.

It’s hard to find peace, let alone happiness when you’re constantly stressed. Stress is a major cause of heart disease and high blood pressure. The best way to avoid stress is to take a break from your routine every day and unplug.

Sign 3: Debt

Debt can make you feel rich. It makes you feel as though you have more money than you actually do because it gives you the illusion of having a lot more money than you’re actually worth.

However, debt is a dangerous thing to live with and it’s important for people to know that their debt will always keep them from becoming richer than they think.

It may be hard to believe, but the average American household is about $6,000 in debt. With rising rates of student loans, mortgages, credit cards, and car loans, many Americans find themselves buried under a mountain of debt.

Sign 4: Net Worth

Some people may not realize that they are bringing in a lot more money than they think. There are many signs that someone is financially better off than they think, including the amount of their monthly expenses and what percentage of their income is put towards saving.

If you are ready to make a career change, yet don’t know where to start, try your hand at investing. Investing is not as difficult as it may seem! Just be sure that you seek professional advice from a financial planner.

Sign 5: Assets

Sign 5 is about your assets, these are things that you own, like your home or car. An asset is something that has value in the marketplace. Examples of assets are cash, stocks, bonds, and real estate.

As you can see, people have a lot of different values for what they consider an asset. However, the most common things people count as their assets are their homes and cars.

The amount of assets that you can list on your financial statement is different than their total value of them. You may have assets worth more than what you see on your account, but if you don’t list them on your statement, then they will not show up. You want to make sure that all of your assets are listed, including any income-producing ones that might be held in a trust.

Sign 6: Retirement

The idea of retirement is that people stop working when they get older, instead, they invest and live off the money they’ve saved. This is a great idea because most people don’t want or like to work anymore after a certain age.

Retirement is also good for the environment because it reduces the number of greenhouse gases in the atmosphere since there are fewer people using cars, planes, and other means of transportation that would require fossil fuels.

Retirement is a huge milestone for most people. It means the end of the hustle, and starting a new life where you can focus on what matters most to you.

Retirement comes with many benefits including free time, money, and freedom. Some people struggle with knowing how much they are actually worth in terms of assets. This list will help you find out how rich you really are!

Sign 7: Mortgage

Even if your mortgage payment is not completely covered by your income, it doesn’t mean you’re underwater. In fact, many people with a mortgage have money left over from their monthly expenses that they can use to save or make additional investments.

Buying a home is something many people dream about, but most can’t afford it. That’s why you should take advantage of home equity loans and other options to borrow money against your home.

If you have $50,000 in emergency savings, consider buying a new car on an installment loan with your savings. You can use the money to put down a 20% deposit on a Tesla Model S or X — the safest car on the road.