Toy Rich vs Asset Rich

There's a big difference between being toy rich and asset rich. I came to this realization after meeting two people that both made an insane amount of money. I went to the first one's house, and it was beautiful. It was a huge place and inside had every item that had ever been created. This person had everything. The issue was that they also had a lot of debt and hardly any savings at all, so they could barely pay their bills. With nothing in savings, they had no plans at all to retire. They were very high income, but they were paycheck to paycheck with no plans to ever not be.

I also was invited to go to the second high income person's house as well. This house wasn't a bad house or anything, but it was smaller than most. Didn't really have many items inside. No super nice cars or anything like that. This person chose to live a very normal life. When we started talking about finance, I quickly learned that he basically found out how much he was spending, and he put all of his paycheck besides that amount into investments. 

The first person in the story was toy rich. They had a lot of material items but that's it. The second person was asset rich. They didn't spend much money on toys, but they chose to buy assets. 
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Some people are happier owning the toys. Some people are happier owning assets. It depends on the person, but it is important to find out which one one is.

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