I’ve heard financial gurus tell people to “stop acting rich” and “act broke” as a solution to financial problems. While I understand the intention—preventing people from swiping credit cards into oblivion—this advice fundamentally misses the mark. After 27 years helping entrepreneurs transform their finances, I’ve learned that acting broke only reinforces broke thinking, and broke thinking creates broke results.
In Texas, they have a saying: “big hat, no cattle.” It perfectly describes someone pretending to have wealth they don’t possess. But the solution isn’t to swing to the opposite extreme. The wealthy don’t act poor, and most don’t flex either. Instead, they act like stewards of their resources.
The Problem with Scarcity Thinking
Traditional financial advice centers around shrinking, cutting, restricting—essentially trying to budget your way to wealth. But here’s the truth: you cannot shrink your way into prosperity. This approach keeps you trapped in a scarcity mindset that limits your potential.
Most people who appear to be “acting rich” aren’t actually mimicking wealth at all. They’re acting desperate. They buy status symbols because they don’t know how to build real value. The fancy car, the designer clothes—these are often attempts to fill a void of genuine worth and purpose.
The solution isn’t more guilt or restriction. It’s transformation.
Becoming Your Greatest Asset
Real wealth creation isn’t about saving more or spending less—it’s about becoming more. You are your greatest asset. Not your bank balance. Not your debt-free status. You.
Wealthy people think in terms of abundance, not austerity. They focus on:
- Creating value that others will pay for
- Developing skills that increase their market worth
- Building systems that generate cash flow
- Investing in themselves and their capabilities
This mindset shift changes everything. Instead of asking “How can I spend less?” start asking questions that expand your possibilities:
What skill could I master that’s worth $10,000 more this year? What value can I create that the world would pay for? What’s my soul purpose?
S.O.L.E. Purpose: The Foundation of True Wealth
I use the acronym S.O.L.E. to help my clients discover their purpose—it stands for Skills, Opportunities, Loves, and Experiences. When you align these elements and turn them into cash flow, you’re building wealth in a sustainable way that doesn’t require deprivation.
This approach works because it focuses on expansion rather than contraction. When you develop valuable skills and create solutions to problems, money naturally flows toward you. The market rewards value creation far more generously than it rewards extreme frugality.
My clients who’ve achieved financial freedom didn’t get there by pinching pennies. They got there by:
- Identifying their unique talents and abilities
- Developing those talents into marketable skills
- Creating systems that deliver value consistently
- Building assets that generate passive income
This doesn’t mean mindless spending is okay. It means your focus should be on growth, not restriction.
A New Financial Identity
So what should you “act like” if not rich or poor? Act like the asset that you are. Treat yourself as an appreciating investment. Make decisions based on what will increase your value, not just what will decrease your expenses.
When you shift your identity from consumer to creator, from spender to investor, your financial decisions naturally improve. You don’t need to pretend to be broke to avoid overspending. You simply need to recognize your true worth and act accordingly.
The path to wealth isn’t about acting a part—it’s about becoming the person who naturally creates abundance. Don’t act rich. Don’t act broke. Be the asset you were born to be, and watch how quickly your financial reality transforms to match.
