The Five Types of Wealth

When you think of “Wealth,” what comes to mind?

If you’re like most people, your first thought is of financial wealth.  Money, houses, possessions, “stuff.”

If that was your first thought, today’s post is for you.

Yes, Financial Wealth is one of the five types of wealth.  And yet, in our quest to live our best possible lives, is it the most important type of wealth? What are the other types of wealth, and what can we do to become truly “wealthy” in the broader sense of the word?

Today, I’m challenging you to become rich, in ways you’ve probably never imagined.

If you think of Wealth, what comes to mind? If financial wealth was your first thought, today’s post is for you. Share on X

I enjoy reading James Clear’s 3-2-1 Thursday newsletter, and a recent edition featured the following quote, which inspired today’s post.  Here’s the quote, which I shared on my X account:

I love Clear’s warning to be wary of jobs that lure you with money and status, but rob you of freedom and health. That’s exactly the type of writing he’s famous for, and why I’m a fan. However, as catchy as that warning is, I thought the broader message was more important.   The message?

There is more to wealth than money.

Look more closely at the quote and you’ll notice the words “at least” in the opening sentence. As I thought about the definition, I realized James missed one, which I would argue is the most important.  So, I’ve taken some editorial liberty with the concept and added a 5th type of wealth.  Below is my updated list:

The Five Types of Wealth

1. Financial Wealth
2. Social Wealth
3. Time Wealth
4. Physical Wealth
5. Eternal Wealth

Let’s look at each one in turn, and consider steps we can take to become truly wealthy.

1. Financial Wealth

We focus too much on this one, so I’m intentionally giving it only one sentence in this article.

2. Social Wealth

I suspect you’ve heard about the Harvard Study of Adult Development, an 85-year study cited as “the world’s longest scientific study of happiness”.  The TEDTalk above, given by Robert Walldinger, the director of the study, has gone viral for good reason.  Trust me, it’s worth your time. 

One of my favorite writers, Ben Carlson, mentioned the study in a recent article titled “How to Be Happier at Work”, citing this as the major takeaway:

“In fact, good relationships are significant enough that if we had to take all eighty-four years of the Harvard Study and boil it down to a single principle for living, one life investment that is supported by similar findings across a wide variety of other studies, it would be this: Good relationships keep us healthier and happier. Period.”

Action Plan:  Invest in relationships and make them a priority in your life. Invite a friend to lunch.  Get involved in a local charity. Stop looking at your phone and use it instead to call a friend you haven’t talked to in a while. Join a Meetup group with people of similar interests.  Take your spouse on a date.  Invest in your Social Wealth.

Relationships matter. 

3. Time Wealth

Perhaps it’s because I’m retired, but when I think of the types of wealth, Time Wealth is the second one I think of after Financial Wealth.  It’s what retirement is all about, and I’ve written about the value of time freedom numerous times.  My favorite article on the topic was The 3-Legged Stool of Retirement, where I included Time as one of the three legs of retirement.  As I mentioned in the article, your finances will likely last longer than your Time and Health, so prioritize accordingly – they’re both more scarce than your money.

You don’t have to be retired to prioritize your time, however.  Regardless of where you are in life, you can decide what’s important to you.  Spend time prioritizing, and invest in those things that matter the most.  When you’re at your kid’s soccer game, quit looking at your phone.  Be present in the moment.  Savor every minute with the ones you love, while you still can.

Action Plan:  Recognize the scarcity of time, and treat it accordingly.  Don’t waste away precious hours of your life “Doom Scrolling” on social media.  Rather, invest that time in things that matter most (relationships, health, spirituality).  Treat every minute of your life like the rare commodity that it is.  

4. Physical Wealth

I want to live as long as possible, but I want my years to be healthy.  The idea of wasting away in a wheelchair in a nursing home scares me, so I’m doing everything I can to invest in my Physical Wealth.  In his book Outlive – The Science & Art of Longevity, Dr. Attia refers to “Healthspan” vs. “Lifespan,” and I love the concept.  Focus on investing in building your Physical Wealth to achieve your longest possible Healthspan.  Your future self will thank you.

The moment we stop focusing on our physical wealth is the moment we start losing it.  Investing in your fitness now will reduce your odds of facing that unattractive future in a wheelchair.

Action Plan:  Stop procrastinating, and start working on your fitness now.  Read “How To Get In Shape For Retirement” for some tips. If you do nothing else, go for a 30-minute walk this afternoon.  Tomorrow, make it 40-minutes.  Combine Social Wealth with Physical Wealth and invite a friend to walk with you.

5. Eternal Wealth

According to Google, the average retirement lasts 20 years.  Interestingly, we spend 30+ years investing and preparing for a retirement that will last only 2 decades.

Compare that to eternity, which (by definition) lasts infinitely longer than retirement. How much time have you spent investing and preparing for eternity?

“A wise person thinks a lot about death…”   (Ecclesiastes 7:4)

Be wise, and invest in your eternal wealth.  You’ve been diligent investing for your retirement, and you’ve done well.  Have you spent as much time investing in a period that will last far, far, far longer than retirement?

“But store up for yourselves treasures in heaven, where neither moth nor rust destroys, and where thieves do not break in or steal …” (Matthew 6:20)

What does it mean to store up treasures in heaven?  THOSE are the investments you should be making, for the payback is far greater than any of the financial investments you’ve been focused on for decades.  Spend time in prayer, and ask God to show you his plans for your life (and eternity).  He speaks in whispers, but if you listen, you’ll learn to hear his voice.

Focus on this one.  In the end, Eternal Wealth will be the only one that matters. 

Action Plan:  Find a quiet place where you can be alone, close your eyes, and try talking to God.  If it’s been a while since you’ve prayed, be patient.  Learn to focus on Him, and shut down the distractions that keep interrupting your mind.  He’s there, and he’s listening.  Take 5 minutes to talk.  More importantly, learn to listen to his whisper. Then, take that first step, wherever you feel he’s leading.  Store up for yourself treasures in heaven.

As I thought about the five types of wealth, I pictured a graphic in my mind to help visualize where you stand on “The Wheel of Fortune.” It took a while, but I created the following graphic as a tool to help evaluate the areas you should work on:

I encourage you to take some time and review each leg in the Wheel of Fortune.  As you think about it, ask yourself these questions:

• Where would you place the red dots on your Wheel of Fortune?
• For those rated
• For those rated >4, what steps can you take to reduce your focus in that area?

Note the third bullet:  Reduce Your Focus.  Many of us have been too focused on one particular aspect of wealth, often to the detriment of the others.  Decide now how you’ll invest in your weakest areas of wealth.

In time, you’ll be richer than you ever imagined.

Conclusion

It’s a healthy exercise to ponder where you stand on The Wheel of Fortune.  Realize true wealth means much more than money, and find ways to invest in the types of wealth you’ve neglected to date.  True happiness comes from a balanced approach to life.

The Five Types of Wealth

1. Financial Wealth
2. Social Wealth
3. Time Wealth
4. Physical Wealth
5. Eternal Wealth

Invest in your shortest spokes, and focus on making your wheel as round as possible. 

It rolls better that way.

Your Turn:  Were you surprised by any of the five types of wealth? Are there other types of wealth we should include in The Wheel of Fortune?  What steps can you take to lengthen your shortest spokes?  Let’s chat in the comments…