Billionaires: They’re Just Like Us – Financial Samurai
I know plenty of people with money, lots of money. As for me, I’ve got just enough to not work full-time. I know far fewer people with power, lots of power. For those with power, their lives seem quite fascinating.
Given that we often desire what’s less common, can we say that power is a more coveted asset than money? Personally, I’ve never thought so, even though I enjoy my fair share of money.
I don’t even have the power to force angry commenters to share where they’re coming from. But I do have the power to press the DELETE button, which I sometimes do with an evil laugh!
Recently, something happened that made me appreciate power over money. This event will also make you realize that behind all the glam and glitter, billionaires are just like you and me.
Dreamforce, the biggest tech conference worldwide, just wrapped up in San Francisco. Each year, over 125,000 people fill the streets to attend Marc Benioff’s conference.
Marc, worth about $10 billion, founded Salesforce, a company valued at over $140 billion. He’s a major supporter of charitable causes in the Bay Area, particularly UCSF’s Children’s Hospital.
The event features luminaries like Sheryl Sandberg from Facebook and celebrities like Jessica Alba, sharing their wisdom. After full days of presentations and seminars, there are countless corporate parties with tasty appetizers and exotic cocktails to enjoy.
The climax is a concert at Pier 70. This year, Dreamforce featured The Foo Fighters and The Killers, two of my favorite bands. It was a frenzy! Access to the main conference required tickets priced over $1,000.
Apart from general access, there was a specially zoned-off section with three layers of security for badge checks. This was the UCSF Benioff Children’s Hospital Benefits area, reserved exclusively for donors who contributed an additional $5,000 to $1 million to Marc’s cause.
I had no clue what I was getting into at Pier 70. It was like a labyrinth, with event coordinators directing people to various lines.
Accompanied by my date, we passed through every security checkpoint, including the Benefits Area, where we unexpectedly bumped into Marc himself. He was engaged in conversation with a couple of ladies who seemed captivated by his every word.
I greeted him, thanked him for the fantastic event, and moved on to grab some drinks before The Killers took the stage. After their performance, as we returned through the private Benefits Area, and deep into the hive towards Platform 4, Lower Deck, I realized we were among the big shots.
At the third security checkpoint, I inquired about the level of our pass. The guard replied, “This is the VVIP pass. It doesn’t get any closer or better than this!” While others were being turned away from getting closer to Center Stage, we strolled right through. It was my first taste of what real power feels like!
Even billionaires get turned down sometimes. Men often seek to impress women. Why else do some go to work even when traffic moves at a snail’s pace? Why else do men constantly try to flaunt their income or boost their workplace status when talking to women? Men are amusing creatures. We have an innate desire to impress and conquer.
At one of the corporate parties before the main concert, I briefly chatted with a woman who shared an encounter with a man earlier at the conference. She recounted, “This nerdy guy, married with kids at home, invited me to see his ‘Dreamboat’ later.” The Dreamboat was a luxury cruise ship brought in for the conference to accommodate attendees.
Having been on a cruise before, I suggested that the guy was likely inviting her to his room, and who knows what else afterwards. She was initially skeptical but ultimately agreed that heading to his boat at 10 pm wasn’t the wisest idea. Financial Samurai potentially saved two marriages! Hooray!
Later, back on Platform 4, Lower Deck:
“Access denied,” announced the usher to a billionaire couple.
Sipping on our Cuba Libres and singing along to My Hero, my date and I witnessed the Co-founder and CEO of Uber and his girlfriend enter. They were all smiles, having a great time just like us!
All was well until they attempted to ascend to the upper-level platform from where we had just descended. The usher, checking their badges, shook her head and firmly informed them they weren’t permitted.
It was a humbling moment. I’m certain he must have thought, “Do you know who I am? This is so embarrassing, especially in front of my girl. I better text Benioff to let me up!”
Unfortunately, the billionaire CEO and his girlfriend were denied access. They lacked the power to override a determined usher. At least Travis got to hang with us on the lower deck.
Once again, I felt that exhilarating rush of power coursing through my veins. I now understand why politicians, CEOs, singers, and actors can become addicted to power and end up doing nonsensical things. The admiration feels incredible. I comprehend why people crave it, even though it’s a clear sign of insecurity. Being able to breeze through security while others can’t is an amazing feeling!
Billionaires Share Many Similarities With Us:
If you have some perspective, I suggest toning it down. The ultra-rich are just like you and me. They have insecurities, frustrations, hopes, and failures.
After a while, the grand house, fancy car, and all the other material things money can buy become stale. Even constant adulation gradually loses its charm. Ultimately, everyone just wants to spend time with a best friend away from the hustle and bustle.
The one thing the ultra-rich (not just the top 1%) do have is the ability to experience more than the average person. But how can they truly enjoy their wealth when they’re constantly managing the responsibilities that come with it? Ironically, students, recent graduates, and the less affluent often have more free time to savor life’s pleasures.
Enjoy the life you have and don’t worry about how much farther others may be “getting ahead.” You don’t need an invite to the Oscars to enjoy the show—just turn on the TV. You don’t need a private villa in Hawaii to enjoy the water—most beaches are open to the public. Billionaires and the rest of us are more alike than you might imagine!
Invest In Real Estate Like The Ultra-Rich:
Real estate is the proven method for building wealth over time. It’s a tangible asset that’s less volatile, offers utility, and generates income.
By age 30, I had purchased two properties in San Francisco and one in Lake Tahoe. These properties now provide significant passive income.
In 2016, I diversified into heartland real estate to capitalize on lower valuations and higher cap rates. I invested $810,000 through real estate crowdfunding platforms. With low interest rates, cash flow has become more valuable. Moreover, the pandemic has made remote work more common.
Consider Fundrise, my favorite real estate crowdfunding platform. You don’t need a large down payment or the hassle of managing tenants and maintenance. Fundrise allows all investors to diversify into real estate through private eREITs.
Since 2016, I’ve personally invested $953,000 with Fundrise to diversify and earn passive income.
Recommendation For Building Wealth:
Billionaires are meticulous about tracking their wealth. To help you do the same, try Empower. It’s a free online platform that aggregates all your financial accounts in one place.
Before Empower, I logged into eight different systems to manage over 25 accounts. Now, I simply log into Empower to see my net worth, track spending, and savings each month with their cash flow tool.
The best part is their fee analyzer. It assesses your investment portfolio(s) in a single click to reveal hidden fees. I discovered I was hemorrhaging $1,700 annually in portfolio fees I hadn’t realized!
No other online financial tool has helped me more in achieving financial freedom. Signing up takes just a minute.
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For more detailed personal finance insights, join over 60,000 others and sign up for Financial Samurai. Established in 2009, it’s one of the largest independently-owned personal finance sites.
About The Author:
Sam started Financial Samurai in 2009 to demystify financial chaos. With an MBA from Berkeley and over 13 years at Goldman Sachs and Credit Suisse, he helps readers achieve financial freedom sooner. Sam is excited about investing in private growth companies within the artificial intelligence sector with Fundrise, an affiliate partner. In 20 years, he doesn’t want his kids asking why he didn’t invest in AI early on!
