Wealth Pyramid: The 8 Different Levels Of Wealth!

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So what we’re going to be talking about in this video today is the pyramid of wealth and this is not any illuminati confirmed style video here guys i know when you throw pyramids up people usually think it’s the illuminati is coming for them but the pyramid of wealth is actually a video i talked about probably two years ago on this channel and it was one that people

Were super interested in but i definitely want to make a couple of points before i get into the main video so first of all what i have found about making money as i have earned more and more money and climbed this pyramid of wealth is that you may think that money is like the ticket to happiness and the more money you earn the happier you become and to a certain

Extent that is true but when you reach a certain point you don’t become exponentially happier with the exponential growth of your money and so what i want to say about money is this not having money can be everything to you because if you don’t have money and you’re you know down here in this level of this pyramid it can really suck because all you think about is

Money or the lack of money you’re working like a dog and you’re struggling to make ends meet and that’s all you can possibly focus on but once you leave that level of this pyramid and you’re no longer struggling or fighting for every dollar that you’re earning and maybe once you’re up in some of these higher levels where money isn’t really your main focus that is

When you realize that money is not everything and there’s so much more out there that you have to find in order to be fulfilled and happy but not having money can be everything because it becomes your primary focus now the other point i want to make here is why is it important to understand the pyramid of wealth and the reason is because of something called your

Circle of influence and there’s been many different variations of this said the best way that i can say it is you tend to become the fifth version of all the four people you surround yourself with and so if you are surrounding yourself with people that are in the lower level here of the pyramid of wealth the odds are you’re going to become the fifth version of that

Person and so regardless of your circumstances where you are right now in your life you want to find people that are higher up in the pyramid of wealth just to have a different circle of influence and have people sharing different ideas with you and you may look at me now you thinking that i’m bragging about possibly being higher up in this pyramid of wealth but i

I’m telling you guys right now that is not where i started and i will tell you as we go through this where i started and where i would consider myself to be right now so first of all at the very bottom of this pyramid is what we call the public dole this is people who literally have zero dollars of income from any other means other than social security or welfare

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Or some kind of government assistance it is not a great place to be it is not a good living i know a lot of people say people on welfare live better than us it’s totally i’ve seen it firsthand and some of my other jobs that i’ve had have in the past and i’m telling you it is not a desirable life but that is the very bottom of the pyramid is when you’re solely

Living on public dole and you have no income other than what you’re getting from government assistance or disability or something of that nature now one step above that we have low income plus public assistance that is people who are earning a very small amount of money and then they qualify for food stamps or they qualify for wic or different types of government

Assistance they do have some income of their own but it’s not enough for a good living and so they are getting assistance from the government that’s actually where i started when i was 16 years old my mom had food stamps and that was where we were low income plus public assistance and so i’ve been able to climb my way up this pyramid and you know i feel like i have

Gotten detached from that a little bit over the last couple of years with what i’ve experienced with the growth of my business and a lot of people think that you know i was fed from a silver spoon and this that and the other and the truth is that is not the case at all because that is where i was you know 15 or 16 years old clipping coupons helping my mom out and

Making the most of the food stamps and trying to stretch every dollar that we could so as far as income goes obviously being on public dole means you have about zero dollars of your own income and being in this low income plus public assistance category in most cases that’s like twenty five thousand dollars or less of earnings per year qualifies you for some of

Government assistance level number three is where a lot of people fall and i’m just gonna call this the debt level of the pyramid this is when you do not qualify for public assistance but you still do not have enough income to pay for your basic living expenses and you end up putting living expenses on your credit card and i’m not talking about clothing i’m not

Talking about perfume and discretionary spending items i mean you have to put gas on your credit card and you have to put groceries on your credit card because you literally do not have enough money for your basic living expenses one step above that we have paycheck to paycheck and i would say this is where the majority of people are that i know and that i see today

And this is people that at the end of the week they are pretty much out of money and they won’t have any more money until the next week when they get their paycheck and basically any major expense that comes up of maybe $500 to $1,000 that’s going on a credit card because they don’t have an emergency fund and they are living paycheck to paycheck moving up the pyramid

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Now we have the zero dollar line and the zero dollar line is honestly as sad as it is a really good place to be that means you have no debt and you have a value or net worth of zero dollars and as sad as that may sound that’s actually a good goal for a lot of people when it comes to their consumer debt or their student loans and all these different debts they have

To pay back but the zero dollar line is basically where you oh nothing and you own very little or you own nothing giving you basically a zero dollar net worth and so that’s pretty much where i was when i was around 20 years old graduated college i went to community college thankfully didn’t have to take out any student loans because my grandfather helped me out with

That so i started off in my 20s at that zero dollar line where i had basically no assets but no liabilities either so moving up now one more level on the pyramid we have this level which is where money is not the primary deciding factor in your decisions and what i mean by that is where you go on vacation where you go for dinner you know the clothing that you wear

On your back the deciding factor is not how much money it cost and the way you can test this out for yourself is this right here and maybe you’re just frugal so that’s okay if you’re just frugal because that’s how i am but when you walk into a department store are you looking at the clothing themselves or you’re looking at the price tags because if you shop by price

Tag you are not in this category you’re still shopping by price and that is your number one deciding factor when making a purchase now there’s nothing wrong with that because a lot of people spend way too much money on clothes and random crap like that so being frugal and being in this category is totally possible but if you know that you always make your choices

For dining for entertainment based on price then you haven’t made it to this level but at that level you will find that you know convenience is often the deciding factor not necessarily money so convenience or experience and then moving up here one step higher we have the financially independent category and the way i describe financial independence is that what

You do with your time is not based on money and what i mean by that is you don’t go to a job if you don’t want to or you don’t work when you don’t want to because you have created financial independence for yourself now this could be accomplished basically in two different ways number one if you figure out how to make money without your activity without actively

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Involving your time or number two having so much money saved up or invested that you don’t actually have to work for money so myself personally it’s the latter there it’s the fact that i’ve built passive income streams and i have people working underneath me that allow me to earn money in a very passive way and i would say personally i fall somewhere between these

Two levels now of money not being my primary deciding factor and being somewhat financially independent so if i wanted to take a week off and go on a vacation or just take a week to think or hang out with my cats or anything like that i have the ability to do that because of these systems that i have in place now personally i really enjoy working and i work when i

Want to but there are times that i really don’t want to work and because i have reached that level that is a luxury that i have is the ability to say you know i’m going to not work today and i don’t have to worry about the money still coming in and then at the very top of the pyramid here we have the gw or generational wealth category and this is essentially when

You have so much money you could never spend it in an entire lifetime you don’t work for the money it’s all just basically you know interest income or dividend income or money giving off more money in terms of the growth of your money and you’re living off of that interest or growth and it’s more money than you could ever spend in your lifetime and it’s going to

Go forward for future generations now this is a major misconception a lot of people have they think that generational wealth is like the only way to become rich you’re either born rich or you’re never gonna be rich and i can promise you guys that is not the case i am walking living proof of somebody who started off in the low-income public assistance category and

I’ve worked my way up eventually to the zero dollar line graduating college with basically a zero dollar net worth and then have moved myself up to somewhere between you know the financially independent category and not having the primary deciding factor be the cost of something so that is the pyramid of wealth guys if you want to let me know in the comment section

Below where you started and where you are today and you want to pay attention to this and understand the pyramid of wealth because you want to know where your circle of influence falls because you’re probably going to become the fifth version of whoever you surround yourself with so thank you guys so much for watching this video i hope you enjoyed it if you did

Go ahead and hit that subscribe button and hit that bell for notifications of future videos just like this and i hope to see you in the next one

Transcribed from video
Wealth Pyramid: The 8 Different Levels Of Wealth! By Ryan Scribner

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