Six Hurdles of Wealth Accumulation

For ordinary people, there are 6 hurdles in wealth accumulation

Having 10,000, 100,000, and 300,000 in savings is three small hurdles

1,000,000, 3,000,000, and 30,000,000 are three major hurdles

Very few people can manage to save 10,000 without changing their phone, 100,000 without buying a car, 300,000 without investing, 1,000,000 without lending money to others, 3,000,000 without engaging in reckless behavior, and 30,000,000 without leaking wealth

Especially during the current special economic cycle, many people become more anxious when they can't make money, and as a result, lose money even faster

Many people do not understand that the essence of wealth is preservation, not speculation. You can win a hundred times in gambling, but as soon as you lose once, you reset to zero. Therefore, learning to preserve wealth is the first step in financial management

Many people, when they have a little money, just want to spend it. When they see something within their reach, they want it, eagerly wanting to experience the joy of spending money, regardless of whether the item is necessary, they no longer consider it. They must spend their idle money on frivolous things

Once they save 10,000, they want to change their phone. When they save 100,000, they want to buy a spicy fish head to shield from the wind and rain. When they save 300,000, they want to buy an entry-level BBA or invest in funds and stocks as assets. Once they save 1,000,000, suddenly people around them start asking to borrow money. When they save 3,000,000, they start to indulge—either getting involved in relationships or various circles. When they reach 30,000,000, a big brother will actively want to take them to make big money, with returns being calculated in multiples, only to finally discover it’s a big pit

Therefore, the way ordinary people preserve wealth is not about not spending money, nor is it about not investing, but rather about not spending what can be spared, not investing in what they do not understand, and holding back when they just start to understand. Money that is not spent is still money; once money is spent, it may no longer be anything. Those capable of making big money are a minority, and the opportunities to earn big money are rare. The probability of winning is largely based on accumulation, not gambling. Thus, for most ordinary people, wealth accumulation relies on preservation, creating incremental growth while safeguarding the existing amount.