What the top 1 % do with their money

Social media platforms like Instagram and Youtube make everyone think that the rich spend a majority of their money on luxuries. All we see on our feeds are million dollar mansions, expensive sport cars, and luxury brands. But what most people don’t know or can’t see is that long before they were able to afford those, they were spending their income investing and purchasing assets. These assets help create the passive income they need to support that lavish lifestyle.

So what do they purchase or invest in that helps them build their wealth?

The rich purchase assets that have a positive cash flow. These can include rental properties, businesses and stocks. Different millionaires spend and make their money differently depending on their level of risk, time horizon, and expertise. Some individuals like real estate because it is the best to leverage debt to create cash flow. Some like stocks because of the convenience and liquidity.

Although the channels are different, the bases are the same, they all invest in income generating assets.

The key to financial freedom is having your money work for you while you’re not working.

You don’t want to sacrifice your time for money because time is something we can never buy back. Instead, spend your money to earn more money so you have time to do the things you love because that’s what matters most.