Wealth's Hidden Truths

Ever wonder what it's really like to be among the ultra-affluent? Or how the journey from modest means to wealth changes a person? Stumbled upon this topic and could not resist digging deeper. Extracted hundreds of online comments and analyzed them. Particularly was interested in those who interacted with super rich or became super-rich and what they had to say about what the rich don't know or what the poor don't know about the rich.

Here is an interesting story snippet from the content I gathered that perfectly shows the difference:

"My friend's rich parents wanted to give me some old furniture for free. I asked about the company that made it so I could measure my house. They said, 'We don't know, it's very old.' I found out that this 'old' furniture was made by hand in the 1870s. Each piece was worth thousands of dollars!"

Story shows how being rich can sometimes make people not see the true value of things. What is normal for them is like a treasure for other people.

There are a lot of areas of analysis and put in terms of insights, but rather than focusing on stereotypical insights about ultra affluent, I will focus more out of the ordinary insights.

Here is a chart summarizing main findings. It illustrates how extreme wealth provides advantages, including some unexpected insights.

note: size of nodes are based on volumes of mentions & engagement

Time is indeed relative:

Wealth is not just a number in your bank account - it is a shift in how you live. One of the most surprising things that come up again and again in these discussions was how rich people experience time. They don’t just buy things, they buy the freedom to do whatever they want, whenever they want.

One comment summed it up perfectly as what ulta-affluent really have which others don't have:

"... they have 'spontaneity'. They can randomly decide to do things without much planning, knowing money won’t be an issue".

But the deeper insight here is not just about trips to exotic places. It’s about the time that wealth frees up. One user shared that they retired in their 40s, and the real perk wasn’t just the lack of work—it was being able to focus on what mattered. Imagine not being weighed down by the daily chores and hard work you have to do. That is what wealth offers - time to think, time to breathe, time to live your way.

Being Poor is Expensive:

At first, the idea that being poor is expensive seems quite counter intuitive. However, this concept, often referred to as the "Boots Theory," shows how poverty can lead to higher long-term costs. As someone rightly stated it online:

"The less you have, the more everything costs."

People with limited financial resources often face higher costs for essential goods and services. This "poverty premium" arises from several factors, e.g:

• Healthcare: Inability to afford preventive care or early treatment can lead to more severe, costly health issues later
• Education: Limited access to quality education or inability to afford additional educational resources can impact future earning potential
• Financials cost: Poor credit scores, often a result of financial struggles, lead to higher interest rates on loans and credit cards.

This cycle of higher costs is challenging to break, as it requires financial resources to access money-saving opportunities.

Safety Net

Super wealthy benefit from a extensive safety net that cushions them against life's uncertainties. This includes substantial savings, diverse investments, and high-quality insurance coverage, providing a buffer against financial setbacks.

Multiple real estate holdings, easy access to credit, and the guidance of financial and legal professionals further strengthen this safety net. For many, inherited wealth or trust funds extend this security across generations. This multi-layered protection allows the wealthy to take calculated risks and maintain their lifestyle even in challenging times, a contrast to those without such resources.

Identify crisis among new ultra-affluent

When individuals transition from modest means to significant wealth, they often experience an unexpected identity crisis. People who go from having little to having a lot often feel lost. They don't fit in with their old friends anymore, but they also don't quite belong with other rich folks.

One person put it like this:

"You're too posh for your old friends, but not posh enough for your new crowd. It's like being stuck between two worlds. It's tough. You change, your views change, but a part of you still remembers where you came from. This split can make you feel alone, even when you have everything you thought you wanted"

Old Money vs. New Money: Subtle vs. Showy

Old money and new money are quite different in this respect. People who grew up with wealth - i.e traditionally ultra affluent, don’t even notice luxury. It’s just part of their world, like air. There’s also a fascinating disconnect that happens with wealth. A child on a private jet asked,

“Who are all these people on your plane?” when he flew commercial for the first time"

Don't think it is arrogance but innocence. When they never had to think about money, you don’t know the world outside that bubble. Wealth doesn’t just buy things; it changes how people see the world, often making it harder to relate to those who live outside the bubble

On the other hand, new money shows it off. There is a rush that comes with finally having what you have worked for, and it shows in the way people talk and act. They feel the money in a way that old money just doesn’t.

It matters:

Wealth impacts how people see and interact with the world, and if we don't understand that, we miss the bigger picture. Also many times we can make far reaching assumptions which might be quite incorrect. It is not about shaming the rich or glorifying poverty. It’s about recognizing that the journey to wealth changes people in unexpected ways and that there disadvantages to the poor which goes unnoticed.

If you need more insights, feel free to message, I will be happy to share data for your analysis.

Source & tools:

• Data source: Reddit discussions. Reddit T & Cs apply.
• Tools: Python & LibreOffice for extraction, data prep & analysis, Claude Sonnet 3.5 API for meta level analysis and classification