Being a rich and being a wealthy sounds like an attractive goal but, there’s a big difference between the two, as riches and wealth vary in acquisition.

The notable and important difference between being rich and being wealthy is knowledge. The wealthy ones know what to do make the money and sustain it in the long run while rich ones only have money there and then. Rich people get motivated by money either in get-rick-quick scheme or even by honest means but wealthy people are motivated by their dreams, vision, goals, purpose and passion. For most wealthy folks, it not just about having money, but making money out of money and maintaining it that way.

Sometimes with rich folks, once that source of riches die down, so do their riches; due to ignorance or poor management skills, but the wealthy man make plans to retain such flow through money management, assets investments and multiple streams of income.

Being Wealthy is defined as that status of an individual’s existing financial resources that supports his or her way of living for a longer duration, even if he or she does not physically work to generate a recurring income.

For example, if a person’s monthly expenses amount to #20,000 and he only has #120,000 in his savings, his wealth is approximately six months or 180 days. Wealth, therefore, is measured in time, and not in amount of money that you have. It is then okay to say that wealth is dependent not only to the amount of income but also to amount of expenses one makes.

Understanding how to invest, distinguish asset from a liability will enable one reach for the wealthy mark. Focus on creating and buying income-producing assets to generate a passive or a portfolio income.


According to Tyrone “The objective of calculating your wealth is to have your passive and portfolio income equal or greater than your monthly expenses. The moment you have a ratio of one is to one or more at any given month, then it indicates that you have increased your financial capacity to live a better life. On the other hand, if your wealth ratio is less than 1, it implies that you are still in a financial dilemma and your cash-flow does not meet your basic life standard.

Passive income is the residual income that you get from compound interest or compound growth. They come in the form of rental income from real estate properties, residual income from network marketing or franchises, interest from savings and time deposits, income from a virtual assets, etc. Meanwhile, portfolio income comes mainly from paper investments such as stocks, bonds, trust funds, and other marketable securities.

The key in improving your wealth is to regularly monitor and increase your passive and portfolio income by increasing your means to earn more instead of acquiring more expenses. The moment you decide to make the passive and portfolio income a part of your financial habit and discipline yourself in building it, your are on your way to financial freedom. This is the path in maintaining a strong wealth foundation.


Wealth is Health, welfare, prosperity, well-being, happiness, joy, riches, valuable material possessions.

ASSETS According to Investopedia, an asset is a resource with economic value that an individual, corporation or country owns or controls with the expectation that it will provide future benefit. Assets are made to increase the value of a firm or benefit the firm’s operations.

LIABILITY – A liability is a company’s financial obligations that arise during the course of its business operations. Liabilities are a vital aspect of a company because they are used to finance operations and pay for large expansions.


  • Poor people spend money (this class has only job and salary at the end of the month and before the month ends they have spent all the money on food, cloth, jewels.

SOLUTION Make a budget for every month to avoid unnecessary spending.

  • Middle people (class) bury the money (this class of people spent their money on buying expensive cars and also buying (luxurious living).

SOLUTION Instead of buying private house and cars invest in estate and money management.

  • Rich people invest the money.

This is the real boss because they understand the flow of money and they flowed it on. Most if not all the time they do not have the money at hand but they have millions of investment. That will bring to them lots of billions of Naira.

Note: It is not how much money you have but how much money you invest that makes the different.


  • Desire: This is the first step toward riches. The starting points of all achievements.
  1. Planning definite ways.
  2. Persistence refusing to give up.
  • Faith: The second step to riches is in visualizing (picturing, visualized, and act-ionized.) and balance in the attainment of desire.

The mixing or blending of faith with other powerful emotions, has the effect of opening a direct line of communication between the finite(with limit or end) thinking mind and the infinite(without limit or end) intelligence.

  • Auto Suggestion: The medium for influencing the sub conscious mind.

Agency of Communication : The mind and Sub conscious mind. No thought, whether it is negative or positive, can enter the sub conscious mind without the aid of the communication.

  • Specialized Knowledge: Personal experience or observations.

Knowledge is not power but it become power only when it is organized into definite plan of action and directed to a finite end.


In the next fifty years, what did you think will be the future of money?

Written by

Paul Nnaji and Chukukere Amarachi






Chukukere Amarachi is an Artistic Nigerian Social Impact Advocate, Blogger, Communications & Media Enthusiast, Aspiring Social Entrepreneur and Trainer who promotes and believes in sustainable livelihoods for all. She seeks to inspires a global audience with her voice, business, community development projects and advocacy messages. Her Goal Building an enabling environment for great potentials to thrive. She can be really goofy and playful, is attracted to exotic dishes and locations and wouldn't mind owning a private jet, oh yeah! She's a strong believer and follower of Jesus Christ. For her people who cook, create, explore and travel have a spot in my heart ♥

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