Yesterday I was chatting with a friend, and he was deeply confused. Nearly 40 years old, with millions of cash in hand, all deposited in the bank, life should be worry-free, but the exhaustion of work makes him want to quit, but he is at a loss.
Returning to his homeland, he earns little; Staying here, and continuing to work in a profession he didn't love, there seemed to be little hope for life, and the daily depression made him breathless.
I deeply feel that his confusion is not to show off, but to face the common dilemma of many middle classes.
He has about $5 million on hand, and the interest on his savings can bring him nearly $10,000 a month, but this is not enough to support his family expenses. The threat of inflation also worries him, and no one can predict how the purchasing power of five million will change in the next ten or eight years.
Interestingly, other friends I know who have millions of dividends have never had such anxieties. Their lives are full of fun, whether it's fishing, playing cards, or cooking. Even at work, they seem at ease.
After thinking about it, I understood their state of mind. In their minds, the concept of principal has been diluted, and they value more stable dividend income every year. This money will not only ensure their quality of life, but also not give them the illusion of getting rich. They are convinced that stocks are a powerful weapon in the fight against inflation, so they are not worried about the depreciation of assets.
Same wealth, different attitudes towards life. I can't judge which option is the right one, but if I had to choose, I would prefer the latter.
However, the concept of ditching the principal is not easy for most people to accept. Even if they are explicitly told the benefits of doing so, only a few people can actually do it, and it is often those who have experienced major setbacks in their investments that only understand it deeply.
But those who do it, regardless of their wealth, live very happily. Because they have gotten rid of the trouble of losses and only focus on enjoying the comfortable life brought by stable dividends.
My dream is that one day, my dividend income will cover the cost of living, and then I can retire with peace of mind and pursue what I truly love. And my current job makes me feel constrained, called every day, and my heart is heavy. But I knew that I had to endure until I could achieve financial freedom.