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Tom Corley’s Rich Habits research, based on a five-year study of 233 wealthy individuals (with annual incomes above $160,000 and net liquid assets of $3.2 million or more) and 128 people living in poverty (with incomes below $35,000 and less than $5,000 in liquid assets), reveals stark contrasts in daily habits that drive financial success or perpetuate struggle. These findings, detailed in his bestselling book Rich Habits, highlight how seemingly small routines compound over time, creating a chasm between the “haves” and “have-nots.”
Here, we explore the most striking differences in daily habits that Corley’s research uncovers, offering insights into how these behaviors shape financial destinies.
One of the most profound distinctions lies in how the rich and poor approach self-improvement. Corley found that 88% of wealthy individuals dedicate at least 30 minutes daily to reading for self-education, focusing on industry trends, personal development, or professional skills. This habit fuels their ability to spot opportunities and stay competitive, translating knowledge into income. In contrast, only 2% of those in poverty engage in daily self-improvement reading, limiting their professional growth and leaving them vulnerable to job loss or stagnation. The wealthy treat learning as a lifelong pursuit, while the poor often neglect it, missing out on the compounding benefits of knowledge.
Time management also sets the two groups apart. Wealthy individuals are deliberate with their time, with 67% watching less than an hour of TV daily and 63% spending under an hour on recreational internet use. They channel their free time into productive activities like networking, volunteering, or side hustles, which pave the way for future rewards.
Conversely, those in poverty often lose hours to screens—Corley notes that many spend excessive time on entertainment, diluting focus on goals. This disparity underscores a critical habit: the rich prioritize activities that align with long-term success, while the poor often fall into passive consumption.
Financial discipline is another glaring difference. Corley’s research shows that wealthy individuals live below their means, saving at least 20% of their net income and allocating no more than 25% to housing, 15% to food, 10% to entertainment, and 5% to vacations. They prioritize paying their “future selves” first, automating savings and investments. In contrast, nearly all individuals struggling financially spend beyond their income, often accumulating overwhelming debt. Corley emphasizes that the poor frequently lack budgeting habits and financial literacy, with many spending impulsively or on non-essentials, trapping them in a cycle of cash flow struggles. Adopting a structured budget to live off of 80% of your net income, he argues, is a critical step toward breaking this cycle.
Goal-setting was another big differentiator. The wealthy are relentlessly goal-oriented, with 80% maintaining daily to-do lists tied to specific, achievable short-term and long-term goals. They self-assess progress almost daily, ensuring their actions align with their dreams, goals and vision of who or what they want to be in the future.
Poor individuals, on the other hand, rarely pursue goals daily, with many lacking a clear plan of clear vision for their future. This absence of direction, Corley notes, keeps them tethered to short-term thinking, reacting to immediate needs rather than building toward wealth.
Perhaps most surprisingly, the rich cultivate a mindset of accountability through self-assessment. Corley describes how they regularly evaluate their habits, identifying and replacing “poverty habits” (like overspending or procrastination) with “rich habits” (like disciplined saving or continuous learning). This habit of reflection, practiced by 62% of the wealthy, is nearly absent among the poor, who often fail to recognize poor habit that keep them stuck in poverty. Corley argues this self-awareness is foundational, requiring no willpower—just consistent practice.
These differences, while simple, are transformative. The wealthy don’t rely on luck or talent but on deliberate, repeatable habits that anyone can adopt. Corley’s research, which has reached millions across 27 countries, underscores that wealth is less about circumstance and more about discipline. By integrating habits like daily learning, frugal budgeting, and goal-setting, anyone can tip the scales toward financial success.
The shocking truth? Consistency, not one-off massive effort, determines whether you rise above your circumstances in life or remain stuck.
Tom Corley is an accountant, financial planner and author of “Rich Kids: How to Raise Our Children to Be Happy and Successful in Life”, Effort-Less Wealth, Change Your Habits Change Your Life, Rich Habits Poor Habits and “Rich Habits: The Daily Success Habits of Wealthy Individuals.”
