How to determine rich and happy person?


It was a hard question for me about the retirees and their happiness. What does make them happy and not? So I decided to make my own study and I had some result that was not a surprise for me. But along with the expected answers I found something interesting. One of the common results was about the car the unhappy retiree has. There are many BMWs and Chryslers in the garages of such people. However it was not the only luxury brand of the car that does not satisfy people. But less expensive cars like Nissan and Subaru are in the garages of happy retirees. You need to understand that the results of this survey do not let us believe that all the people who have BMWS are unhappy. It just shows the total tendency and makes us think about the own car we have in the garage.

Also many people can find direct lender payday loans company and have all necessary money, but this still will not make them happy if they can’t choose the right things and determine necessary purchases.

The other observation is about the trading in the stock market. Most retirees that have found the stock market their second occupation are in general unhappy. It can be explained with a lot of stress that such career brings. You can follow all the news, but this will not make you an expert and you will still need some professional assistance. Also you need to understand that having money in the retirement is not the final purpose. You need to have some goals to use this money.

The most important and easy understandable feature of the happy life on the retirement is the Rich Ratio. So I want to describe you this term.

The Rich Ratio – what is it?

It was the innovated term for people helping them to understand money concepts. It is a simple relation of the money you have to the amount you need.

And it is simple to understand and calculate. If your income overvalues the necessary spending then you are rich. But if your living needs more money than you can earn – you are not rich. So if the ratio is over 1 it is a good situation. But when you have the result below 1 – you have to make some changes in your life.

To calculate the ratio you will have on the retirement you need to sum up all the income you will have and divide by the predictable outcome – the money you are going to spend to live normal life.

Income/Necessity = Rich Ratio

So you need to understand that this does not just depend on the money you get, but also on the money you spend.

For example you can have some hobby that you are not going to stop on the retirement, but it needs a lot of money. And your savings and social security will not cover such lifestyle. So you will be considered as not rich.

But if your savings are still not too big, but you will not spend money on expensive hobbies and purchases, you can live good life and have even some money left.

So it depends on the life you are going to lead, but you can save not only on the money. So people who have small savings can be much happier just because they do not have high expectations and demands.