The thin line that separates the rich from the upper middle class | Medium- David O.

Most of us think that the rich buy assets and the poor spend their money on liabilities, making the rich richer. But the truth is, regular people can also buy the assets that the rich buy, yet the gap is still wide. What sets the line between the rich and the upper-middle class is how the rich buy liabilities. Rich people don’t spend their capital on liabilities. Instead, they spend their residual income from their assets and investments to afford the liabilities they want.

Source: https://medium.com/rich-culture/the-thin-line-that-separates-the-rich-from-the-upper-middle-class-fdc7b3257f75