The New Rich – It’s not just about wealth

The New Rich

The New Rich – what does it even mean?

For most people in the western world there was a shift in the reason that we go to work.  At some point in history we laboured and worked for the basics, for food and shelter.  Today we work for consumerism and not ourselves.   There is a new generation discovering that the old style of wealth doesn’t work.  The New Rich have a different definition.

When did this happen?  All I know is that this is the current reality.

I would challenge you to figure out how much of your take home pay goes towards food, basic shelter and clothing.  Then if you take this and convert it to the number of hours of work this represents.  For me, it’s about 3-4 hours a week.  The rest is just for luxury.  A Larger house than we really need, electronics, entertainment, more clothes than we really wear.

There’s nothing wrong with this in itself, but it does beg the question that if you’re wealthy in terms of possessions, but poor in time because of how many hours you’re working for consumerism – then are you really rich at all ?

This is where the term New Rich comes in, The New Rich may or may not be wealthy in terms of how much money they have in the bank.  Their wealth is a function of freedom.  How much choice do they have over where the spend their time.   Freedom to chose who they spend time with and what they’re doing at any moment in the day.  That is what the new Rich strive for.

 

How do the New Rich achieve their goals?

There are several different ways to get to the same place.  I’ve outlined three different methods here.  These can be contrasted against the normal western choice to work from your late teens until you’re in your 70’s then retire.  The argument against this is that most of your adult life you have no choice in what you do with most of your time.

 

Saving your way into early retirement

One of the ways is documented by a blogger called Mr Money Moustache.  His blog, linked here shows how he worked out what level he needed to save to retire permanently.   The point he retired at, ensured that his money would grow faster than he was spending it.  That’s a great place to be.  Don’t get me wrong though, he does spend less than most Americans.  Much of his guidance is focussed around spending less.  The argument here is that he only spends money on things that help make him happy, so he’s in no way deprived.

Mini Retirements

This method is closer to the traditional method of working your whole life before you retire.  The key difference here, is that rather than waiting until later in your life when you may not be as physically able to enjoy it – you stage mini retirements when you’re young and able.

This method is becoming easier.  Decades ago, people worked for the same company most of their lives and changing jobs was risky.  Now, showing that you only work for a company for 2 years on your Resume is not viewed in the same negative light.

When you really think about it, how much sense does it make to work hard to put money away for a time in your life when you may not even be around to enjoy it.  Then even if you are, there’s a chance that disease or illness may make it more difficult to make the most of your retirement.

 

A Sideline job that doesn’t exchange time for money

Time is your most valuable asset.  The concept is that you want something where you don’t exchange time for money.  Remove yourself from having to work more to earn more.  You can theoretically scale whatever is making you money without a large increase in time spent.

The beauty of this method is that you’re removing yourself as the bottle neck for earning money.  Once you achieve this you will have time freedom, location freedom and ultimately freedom to do whatever you want with your life.

This method does result in more work early on in your life.  If successful could easily make you part of the new emerging class “The New Rich”.

Tim Ferriss refers to this type of work as a Muse in his book the Four hour work week. (Review coming soon)

James Altucher refers to this as a side hussle.  One of the messages that really resonated for me from Altucher, is that if you’re relying on one person for your entire income, then that person has power over you.  Not only that, but if anything changes, then your income will change completely.  If you have five sources of income and one of them disappears, it’s not ideal but it’s not catastrophic like it is with your only source of income going.

 

How to Increase the Battery life of your Laptop, Phone and Ipad

Battery lifeWhen you don’t work in an office you need to have power! This article will show you how to increase the battery life of your laptop, phone and tablet or Ipad.

Leaving your laptop running in your bag just 2-3 times will wreck your battery !

If your laptop is running in your bag, as it starts to get hot the fan will kick in. The hot air has nowhere to escape to, so the fan will just keep speeding up circulating hot air, it will quickly cook your battery.
The easy solution for this, is to go into the settings and make sure it’s set to put your computer to sleep  when you close the lid so that it doesn’t keep running. Below are the screenshots from Windows 10 – you just put “closing” into the search bar

How to increase the battery life by changing the "closing the lid" settings

Leaving your device in the car on a hot day

It’s easy to do, maybe you don’t need your laptop or phone with you so you leave them in your car. The problem with this (apart from them getting stolen) is the temperature of the car. If you do this, even a few times you’ll expose your devices to high temperatures that will reduce the life of their batteries.

Using a laptop, phone or iPad that’s plugged in 100% of the time

Leaving your device plugged in all the time will shorten the life of the battery.
If you have a laptop that never leaves the desk, the best solution is to take the battery out so that when you do need to use it on the road you can just put the battery in. Do be careful though, if you accidentally knock out the power plug the computer will power off immediately.

If possible with your phone and Ipad try to unplug them and let them discharge until they get to 20-30% before plugging them in again.  When You’re concerned about having them charged and ready to go, you can always use a usb power brick – that way it can charge while you are out and about.  If you do, make sure you get one that delivers more than 2.0amps.  The little ones won’t cut it.  Also, be careful about where it’s spending time plugged in.  Anywhere too warm will further decrease it’s battery life.

Listening to old advice about batteries

Charging devices to 100% and then running them down to near 0% is terrible for your battery. The best strategy now is to keep the battery in that 30%-80% range.
Several years ago the most common type of rechargeable battery was the NiCad. NiCads would develop whiskers between the electrode creating a memory effect. The memory effect, meant that if you often charged the device when it got down to 50% then the battery would “remember this” and the capacity would drop. This isn’t true of the common types of batteries Today. NiMH and Lithium based batteries don’t suffer from memory effects.

General advise on how to increase the battery life of your devices

There is one golden rule that you need to remember to extend the battery life. Temperature is nearly all that matters. Don’t let the battery get too hot.