Popular music superstar Michael Jackson died suddenly, just 18 days before his original comeback concert that he planned to hold on July 13. Why did Jackson, who was over fifty, come back? He once told a friend in private: “If I don’t sing, they will kill me.” Jackson had severe psychological depression before (he was only 44kg when he died at 179cm). ‘S psychologist said: “He said he was forced to the corner and had to sing because he owed too much debt.”
  Jackson is of course rich. According to the New York Times statistics, Jackson began in the 1980s. Revenue through the record version of Rui received about 300 million US dollars. Jackson also has a sense of investment, having bought a large number of song copyrights for $47.5 million, including 251 songs of the British rock band “The Beatles”. By selling the right to use these songs, opening concerts, and advertising endorsements, Jackson made about $400 million.
  Although he made more money, he spent more. In 1988, he bought 1,000 hectares of land in California for 17 million US dollars and established the famous “Dream Island” ranch. This ranch has a zoo, playground and movie theater, and maintenance costs are as high as $5 million per year. Due to the entanglement in the later news, Jackson was basically in a state of retirement. How to maintain his original life became a big problem, so he used the proceeds of music as collateral to obtain a large amount of loans from American banks. By 2005, his debts had reached as high as US$270 million.
  The root cause of Jackson’s huge debt lies in the failure to truly understand the relationship between income and wealth. So, what does the real rich look like? The United States once had a very popular “Millionaire Next Door-The Amazing Privacy of American Rich”. The field investigation in the book completely broke people’s traditional impression of the rich. Since ordinary people usually do not have the opportunity to directly contact the rich, their knowledge of the rich usually comes from movies, TV and fashion magazines. Unfortunately, these channels often reflect superficial and superficial.
   Investigators found that those who drove luxury cars and lived in high-end villas actually did not have much wealth. What is even more surprising is that many people who are actually wealthy do not live in upscale communities. The definition of the rich in the book is: a person with a net worth of more than 1 million US dollars, and does not include real estate. According to this definition, the heavily indebted Jackson may not be considered rich.
  Researchers have found that ordinary people completely confuse the concept of income and wealth. A person may earn a lot of income, but if all is spent, then his wealth is not much. Wealth refers to what you have accumulated, not what you have spent. In addition, ordinary people are also mistaken about how to become richer.The study found that luck, inheritance, upper class and even high intelligence factors are not the most important.The important thing is hard work, perseverance, good planning, especially strict In the lifestyle of self-discipline. Speaking of which, many people immediately thought of Buffett.
  What do these low-key rich people have in common? BelowThe four most important points are:
  1. They lead a significant life of more entry and less travel;
  2. They effectively allocate time, energy and money, and are committed to the accumulation of wealth;
  3. They believe that full financial independence is far more important than demonstrating their high-level social status;
   4. They are first-class financial and businessmen, far superior to ordinary people in seizing market opportunities and making profits.
   There is a very simple formula for calculating income and wealth: age multiplied by total household income before tax and divided by 10 is the net worth of the person. For example, if a person is 40 years old and the total annual family income is 150,000 yuan, then the net asset value he should have is 40×15/10=600,000 yuan. If it can be more than twice this scale, then he is a wealth accumulation expert; and if it is less than half of this scale, then he is a low-level wealth accumulation.
   Income and wealth are two different things, but people often confuse these two concepts. Jackson’s income made him one of the richest few people on the planet, but his luxury lifestyle and high debt forced him to retire and make money after retirement. For the Chinese who have just become rich, understanding the difference between the two is an epidemic prevention needle to avoid repeating the same mistakes.