What is "Rich"?

What do I mean by "rich" and why do I aspire to become one?

I remember when a friend told me that a batchmate (we all graduated 3 years ago) is mayaman because she just bought an iPhone 5. Wow! Of course, I was impressed at first because during that time, only a handful had dibs on the newest iPhone. However, this was when I was already learning about the proper way to handle money, so the first thing I told her was, "Cash o installment?"

Photo credit: www.mashable.com

You might already predict the answer. If you think our batchmate bought the phone on installment basis, then you're right on the spot. How much does my batchmate pay for each month? I don't know, but I'm sure I can buy a lot of diapers with that amount.

I see a lot of people carrying the latest gadgets. Me? I only have a cheap Android phone. Even though I sometimes drool at the features of the newer high-end phones, I have to content myself with what I have. You know why? Because this is what I can afford and because I don't need a new phone.

Tip: Live within your means. Do not buy something you can't afford with spot cash.

Photo credit: www.tourism.gov.ph

So let's get back to topic. What do I mean when I say "rich"?

1. For me, a rich person is someone who is content with what he has and does not have to look at another person's possession.

Like what I said, I only have a cheap Android phone, but it works. I work full-time as an online essay instructor, but what I own is a small notebook instead of a Macbook. I also blog regularly, but I didn't buy an expensive DSLR to take photos. Why should I when my point-and-shoot works well?

2. A rich person is also emotionally secure and does not depend on material things to validate himself.

This is something I need to work on. I think I have a low EQ when it comes to clothes and dresses. Gadgets I can ignore, but when I see a pretty dress for sale, I have a pretty hard time debating with myself. Unfortunately, it is not always the frugal one who wins. Aside from clothes, I also have very low self-control when it comes to baby stuff and interior decor.

3. Finally, a rich person is someone who can face any unexpected event, whether welcome or not, without having to worry because he is prepared.

This is the most important factor, I think, in the journey to becoming rich. A lot of people might boast their gadgets and wheels, but would these pay for an emergency? I actually see many people selling their gadgets online. Why? Because they need money for something. In my opinion, a rich person would never have to resort to doing such a thing. This is because a rich person has already an emergency fund and would not buy anything that doesn't grow and is considered a liability.

There we have it! These are my definition of rich. I am not everything I mentioned above. As I mention here, I'm still beginning my journey to becoming a rich Filipina.

How about you?