Do you suffer from financial elitism? Here's how to fix it

Just before the French revolution, the French queen, Marie-Antoinette was looking out her window onto the hordes of starving peasants protesting for food. Confused as to why people would be unhappy in her glorious kingdom, she struck up a conversation with her adviser that went something like this:

“why are they angry?” she asked her adviser.

“They're out of bread your Majesty” replied the servant.

“How entitled. Why don't they just eat cake instead?” answered the queen.

It sounds ridiculous but the French queen was incapable of understanding that people could be hungry. After all, she lived a life of luxury with servants, fruits, cakes, teas, and anything her heart desired. All of her peers, the princesses, baroness, marquises, and ladies she frequented enjoyed similar luxuries. As far as she saw, everyone else enjoyed these luxuries.

Marie Antoinette was completely blind to anyone else around her who didn't match her status. Despite the hundreds of servants, cooks, cleaners, guards, drivers, tailors, or messengers she saw on a weekly basis, she just didn't notice them. These people were invisible to her because they weren't on her "level".

Today, we look back on Marie Antoinette and see an entitled little princess who failed to see the plight of the people around her. We criticize her for her ignorance and elitist attitude.

In fact, we despise elitisms so much that we fought countless wars over it. Whether it's the French or American revolution, the ensuing civil war for “equal” republican values, or the communist revolutions, millions have died in the war against elitism.

And yet today, people have reverted to this elitism. But this time it isn't an elitism based on ancestry, race, gender, or profession. It's something else...

It's financial elitism.

It is the delusion to believe that since “everyone around me can afford these things, so can I” while ignoring everyone else on a lower financial status than us.

Sounds crazy? Hear me out.

We repeat the same mistakes of Marie Antoinette.

Despite living in the richest times in history, millions of us are convinced that we're poor. We believe that, because we're not able to afford our 28th Starbucks coffee of the month or our 3rd luxurious vacation of the year, we must be poor.

We insist on it.

When confronted on our perceived realities by blunt financial advisors who insist that, statistically, we're richer than 91% of humans alive today, we respond that it's not true.

We insist that we aren't living glamorous lives and that our demands are perfectly reasonable because:

“Everyone I know goes skiing over the holidays.”

“All my colleagues drive nice cars.”

“All my friends go to five-star resorts.”

Once again, we limit our perspective of the world to our peer group. And we completely overlook our cashiers, waiters, hairdressers, cleaners, delivery staff, and drivers that service us on a daily basis.

When a blunt financial advisors points out that we're far richer than these people. And that “your cashier doesn't drive to five-star ski resorts in a Porsche” we respond with:

“You can't compare me with these people. I'm different!”

Once again, we exude elitism.

We believe we're worth more than others.

We believe we shouldn't be compared to these “lower-class people” and react with something along the lines of:

“How dare you compare me to them? I've worked hard to get where I am you know?!”

Living out this elitist fantasy feels great. But it doesn't match the financial reality. Too many people go broke in the pursuit of this fantasy. They buy luxury cars when money is tight. They vacation in five-star resort when it's above their budget. And they buy needlessly large houses to convince themselves that they're just as successful as their neighbor.

They go #broke trying to look #rich .

Eventually, their financial reality catches up with them.

They're overwhelmed with bills, financial anxiety, and a diminishing sense of self-worth. Even if we don't go bankrupt in the pursuit of this delusion, we do end up retiring much later than we should because we couldn't muster any savings. It's not a fun place to be.

Whether you're fond of traditional republican values, or pursue socialist beliefs, one thing is for sure: you despise elitism.

So do yourself a favor and remove the elitism from your financial life.

Look at it this way: each dollar you spend towards that grand delusion that you're special, is a dollar you're not spending towards...

Your early retirement;

Your financial freedom;

Or your true passion.

Ask yourself what would make me truly happier: A fancy new goody or a two-year vacation to finally live out your passion?

Don't go broke trying to look rich. You deserve to use your wealth towards your passion. And that's all financial planning is: aligning your finances to your dream life.

#personalfinance #financialindependence #moneytips #moneyhabits #spendinghabits #psychologyofmoney #savingstips #financialfreedom #financialliteracy #financialtherapy #lifeplanning