The Truth about Generational Wealth and the Key to It
Is there anything such as generational wealth?
Well it depends on how you want to view wealth and fortunes in the first place.
It all depends on if the idea of generational wealth is based on the number of assets owned, how big of a trust fund is left behind or the kind of investments done while in active service.
Technically speaking, it all amounts to what people term, ‘the old money’, in this case, you as a patriarch of the family has been able to leave behind a considerable vast amount of fortunes both in liquidated assets, number of profitable investments and trust fund for direct off-springs.
It’s what then falls into the category of ‘living the legacy’ behind, where your name drives the family you created.
But often times, this proves quite harder for many to achieve than it actually is because it’s more complicated when certain factors are considered.
To build generational wealth, you obviously need to go against the normal human weakness of greed, tendency to lead a luxurious life at the expense of the future, and giving in to certain impulses that do not serve the greater goal.
And of course, building a generational wealth, depends on the kind of family you build and the kind of disciplined lifestyle you lead with them.
Take for instance, you go into building a family with a wife who cannot control her impulses, in this case when it comes to spending or saving. Then, you go on to groom children who are not disciplined when it comes to spending.
Of course, spending isn’t just the be it all.
There is no way one can’t avoid spending. We all spend every day. We spend money on things we want, even if it is extravagant or minimal, but the catch is; are we returning whatever we spend back to where we took it from?
Or are we just spending what we earn?
If it is the latter, then obviously, it becomes the tale of from ‘hand to mouth’, and whatever goes into the mouth, never comes back out as anything productive again.
In essence, the key behind building generational wealth, lies only on one thing: Discipline.
To lead a disciplined life to control every urge, and decide every step to be a forward step rather than a sideways or backwards step, goes into determining what gets to be kept or ditched.
Only discipline, can control what we spend, how we spend and what we get from what we spend, and how our off springs are groomed into how they spend.
To achieve generational wealth, it depends on your view of money, and how you make your family view money. The view of money, is what separates billionaires from the rest.
And contrary to popular belief, the key to generational wealth, doesn’t depend on the asset amassed, the investments or trust funds given to children or family; cause all that can be lost within the blink of an eye with just one careless decision by just one person.
The key to generational wealth is how you and your family live by what little is being made.