ANSWER:

The hadith is authentic but if Allah blessed you with wealth and you pay the mandatory zakat on it and you’re not extravagant then there’s nothing wrong in that, in fact it’s one of the blessings from Allah and one must be thankful to Him. 

Prophet salla Allahu alaihi wa sallam said a giving hand is better than the receiving hand.

Sheikh, I read a hadith in which it was mentioned poor people will enter Jannah 500 years before rich. So, is it better to be middle class in this world? What if one makes a lot of money but more than half of it he spends it for the sake of Allah? Will he also be considered rich? Please provide a detailed answer.