In a Hadith found in Sahih Bukhari, number 6444, the Holy Prophet Muhammad, peace and blessings be upon him, warned that the rich in this world will be poor in the hereafter unless they spend their wealth correctly but these people are a few in number.
This means that the majority of wealthy people incorrectly spend their wealth meaning, on things which are either vain and therefore provide them with no benefit in the hereafter, or they spend on sinful things which will become a burden for them in both worlds or they spend on lawful things in a way disliked by Islam such as being wasteful or extravagant. Because of these reasons the rich will become poor on Judgment Day as they will be held accountable and even punished over it.
In addition, those who fail to spend their wealth correctly will find that their wealth abandons them at their grave and so they will reach the hereafter empty handed meaning, as a pauper. This has been warned in a Hadith found in Jami At Tirmidhi, number 2379. The deceased will leave the wealth behind for others to enjoy while they are held accountable for it.
Finally, as the wealthy are distracted by gaining. hoarding, safeguarding and increasing their wealth it distracts them from performing righteous deeds which is the thing that will make someone rich on Judgment Day. In reality, losing out on this will make them poor.
It is important to note, spending wealth correctly is not only donating charity but includes one’s spending on their own necessities and the necessities of their dependents without being wasteful or extravagant.
The truly rich person is the one who uses their wealth correctly as prescribed by Islam. This person will be rich in this world and in the next. And this attitude is not dependent of having much wealth. Any amount of wealth used correctly will cause one to become rich even if they possess little wealth. In reality, this person takes their wealth with them to the hereafter and this attitude provides them free time which allows them to perform righteous deeds which only increases their richness in the hereafter.
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