Quora Answer: What Do People with 7-Figure Salaries Spend Their Money On?

The following is my answer to a Quora question: “What do people with 7-figure salaries spend their money on?”

Well, whatever they want.  But there are two types: the ones who inherited that wealth and privilege; and the ones who built it.

The first are born into money, and they spend on the good life.  These are the collectors of the rare, the exquisite and the exclusive, whether homes or cars or fashion, or the more esoteric.  They have the wherewithal and the means to devote themselves to expensive hobbies.  We cannot begrudge them the lottery of birth.  That does not mean these people waste their money.  Art, property, even horses have appreciating value, and when managed properly, there are tax breaks.  So, rich people hobbies make money for them as well.

The second built that wealth, and they tend to be more frugal.  They are aware of the cost of things, and they do not waste their hard-earned wealth in ostentation.  I have extremely wealthy clients who stay in HDB flats, and take public transport.  When you have that much wealth, and you earned it, you have nothing to prove to anyone.

Two things wealthy businessmen like to do: deep sea fishing and golf.  The reasons are not what others imagine.  Both the golf course and the fishing boat have the advantage of being far from prying eyes.  You would be surprised at how little golfing and fishing actually takes place.