There’s a world of difference between being truly wealthy and just pretending to be.

The difference? It’s all in the behavior.

Being “new rich” isn’t just about the money in your bank account.

It’s about how you act and what you value.

And believe me, there are certain behaviors that give it away every time.

So buckle up and get ready to peek behind the curtain of the newly wealthy. 

1) They flaunt their wealth

Spotting the ‘new rich’ can often be as simple as observing how they handle their wealth.

When someone comes into money for the first time, there’s often an irresistible urge to flaunt it.

And why not? After years of hard work and struggle, they suddenly have the means to buy anything they’ve ever wanted.

And they want people to notice.

They’ll buy the fancy cars, the designer clothes, and the luxury homes.

They’ll dine at the most expensive restaurants and holiday in exotic locations.

All in a bid to show off their new-found wealth.

When you see someone who’s constantly flaunting their wealth, chances are they’re ‘new rich’.

But don’t be fooled by the glitz and glamour! True wealth is much more than just material possessions.

2) They’re always talking about money

I’ll never forget this one guy I met at a networking event.

Let’s call him Steve.

Steve was the textbook definition of ‘new rich’.

From the moment he introduced himself, he didn’t miss a chance to mention his wealth.

Whether it was name-dropping expensive brands, bragging about his latest real estate purchase, or casually bringing up his six-figure salary, Steve was always talking about money.

This is a classic sign of the ‘new rich’.

They’re so excited and proud about their financial success that they can’t help but talk about it.

It’s as if they’re trying to validate their worth by constantly reminding themselves and others about their wealth.

The thing is: those who are truly wealthy rarely feel the need to discuss their finances.

They understand that there’s more to life than money and they don’t need to flaunt their wealth to feel validated.

True wealth isn’t measured by how much you earn or own; it’s about how content and secure you feel with what you have.

3) They invest in liabilities, not assets

Contrary to popular belief, not all investments are profitable.

This is a lesson the ‘new rich’ often learn the hard way.

When people suddenly come into money, they tend to invest in liabilities—things that lose value over time or cost money to maintain, like luxury cars, designer clothes, or high-end electronics.

Here’s something to ponder: the wealthiest households tend to spend a smaller percentage of their income on cars compared to households with less income.

Why? Because truly wealthy people understand the power of investing in assets—things that appreciate in value or generate income over time, like real estate, stocks, or businesses.

True wealth is built through wise investment decisions and long-term financial planning.

4) They lack financial literacy

One of the most telltale signs of the ‘new rich’ is a lack of financial literacy.

Suddenly coming into wealth can be overwhelming, and without a solid understanding of finances, it’s easy for the ‘new rich’ to make poor financial decisions.

They might overspend, fall into debt, or fail to invest wisely.

This isn’t surprising considering that, according to a survey by the National Financial Educators Council, over half of American adults admit they lack the skills to manage their personal finances effectively.

On the other hand, those who are truly wealthy have a strong grasp of financial principles.

They understand how to manage money, invest wisely, and plan for the future.

If you encounter someone who has recently acquired wealth but lacks basic financial knowledge, they’re likely part of the ‘new rich’.

5) They’re constantly chasing the next big thing

I have to confess, this was something I struggled with when I first came into a bit of money.

I was always on the lookout for the next big investment, the next hot stock, the next lucrative business opportunity.

I thought that’s what wealthy people did—they took risks, they bet big, and they were always one step ahead.

But what I’ve learned over time is that this constant chasing is a classic trait of the ‘new rich’.

It stems from a fear of losing their newfound wealth and a desire to multiply it quickly.

In contrast, those who are truly wealthy take a patient, long-term approach to investing.

They understand that wealth isn’t built overnight and that slow and steady often wins the race.

After all, true wealth is built not by chasing quick wins, but by making calculated decisions and taking a patient, disciplined approach to investing.

6) They’re often stressed about money

You’d think that with newfound wealth comes peace of mind, right? Not always.

In fact, the ‘new rich’ are often more stressed about money than they were before they had it.

This is because the more money you have, the more you have to lose.

When you’re not used to managing large sums of money, it can become a source of constant worry and stress.

On the other hand, those who are truly wealthy have a different relationship with money.

They see it as a tool, not a source of stress; they know how to manage it, invest it, and use it wisely.

7) They equate wealth with success

The ‘new rich’ often make the mistake of equating wealth with success.

They believe that their monetary worth is a direct reflection of their worth as a person.

However, those who are truly wealthy understand that success is more than just financial wealth.

It’s about personal growth, relationships, health, and contributing to society in meaningful ways.

True wealth, surprisingly, transcends material possessions and bank balances.

At the heart of it: It’s about perspective

The nuances of human behavior and mindset are deeply intertwined with our relationship with wealth.

For the ‘new rich’, their sudden financial status might initially seem like the pinnacle of success.

They might equate money with happiness, and believe that flaunting their wealth is a testament to their worth.

As we observe the behavior of the ‘new rich’, we must also reflect on our own understanding of wealth.

Are we caught up in materialistic pursuits? Or are we investing in experiences, relationships, and personal growth?

True wealth isn’t just about financial abundance—it’s about living a fulfilling life.