What’s the difference between being “Rich” and being “Wealthy”?

I asked my two kids the other night in the car on the way home, “What is the difference between being rich and being wealthy?”

The responses varied from “makes a lot of money”, “has a lot of stuff”, and “takes nice vacations”. For context, both my children are in middle school and relatively intelligent in economics even compared to some adults, so I was genuinely interested in their replies.

I have thought about this question a lot and wanted to share where I landed.

Rich: someone that makes a lot of money. Probably lives in a big house, drives nice cars, and takes lavish vacations in faraway places.

Wealthy: Someone with a lot of assets; real estate, savings, cash flowing investments, businesses, art, watches, high-end cars.

But wealth doesn’t end there.

What about health, relationships, mental wellness, knowledge, and time?

How should we value non-tangible aspects of our lives vs. material pursuits?

Does anyone think an old, super-wealthy billionaire who is overweight and addicted to soda wouldn’t trade places with a charismatic, loved, intelligent, fit 20-year-old?

Thus we can distill wealth down to abundance, which takes many forms and can all be cultivated, save for time.

Seek wealth, not richness.

Thanks for reading.