Generational wealth. What's behind the obsession?

[Anonymous]

Anonymous wrote:I never set out to be wealthy. My goal was to be a respected professional, which I was. I get far more satisfaction from my professional success than my wealth. Not even close. I want the same personal success for my kids, and they’re achieving it. When you look back on your life, family, friends and achievement and success in your work are far more important than a bank account.

What do you mean by the “same personal success?” Two of my closest friends are wonderful people with unconventional careers. One is a boom/bust entrepreneur (who does great financially overall but would put it all on the line for a dream) and the other is an artist who lives happily within their means. Both have very strained relationships with parents who pushed them towards rigid career paths.

[Anonymous]

There are two major reasons people are intrigued by generational wealth.

1. Being rich without having to dabble in the workforce. It's viewed as the ultimate luxury in a world where we spend most of waking hours working.

"I don't work because it looks so hard and boring...."

2. The idea that generational wealth implies from some grand acesteral lineage dating back to the founding fathers.

"I don't work, but I have a cousin who does...."

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I’ve paid for college, grad school and house down payments for my kids. And funded 529 plans for grandkids. However, there’s a line between being generous and overdoing it and taking away ambition. I don’t ever discuss my income or NW with my kids. Someday it’ll be a necessary conversation but until then I want everyone fully motivated.

as a high net worth person you are doing your kids a huge disservice. My DH does our finances and brought our kids into them. when they were juniors in high school. My kids know how much we make, How much we spend, and how much we invest. My oldest is really into it and has his own investment account. it actually kinda freaks my college aged kid out because he’s thinking “holy crap I’ll never make that” They are both well aware now is what having a “working mom” when they were growing up meant and what a huge multiplier that has been for our family.

Finances are not a thing to hide from your children.

I hear you. But, my kids are highly successful, have great families and don’t need money from me. Mission accomplished. I had cousins who amounted to less than nothing by being handed too much and expecting more. That was a big influence for me.

Has to do with the individual kid. Most kids are capable of being highly motivated and successful even if you don't burden them with financial issues. We have highly successful kids who had college paid for, first apartment and car paid for and know they are getting millions over time from us. They also know if they choose to sit at home and do nothing they won't be getting financial help

[Anonymous]

Anonymous wrote:

Anonymous wrote:I never set out to be wealthy. My goal was to be a respected professional, which I was. I get far more satisfaction from my professional success than my wealth. Not even close. I want the same personal success for my kids, and they’re achieving it. When you look back on your life, family, friends and achievement and success in your work are far more important than a bank account.

What do you mean by the “same personal success?” Two of my closest friends are wonderful people with unconventional careers. One is a boom/bust entrepreneur (who does great financially overall but would put it all on the line for a dream) and the other is an artist who lives happily within their means. Both have very strained relationships with parents who pushed them towards rigid career paths.

And for those of us with money, our kids know they can choose whatever path suites them the best. It's easier to be an artist or social worker or something that doesn't pay extremely well when you know you have financial backing to live well AND do what you love. If you have the means, why wouldn't you encourage your kids to be who they want to be? We need more motivated and successful people in those areas....areas that many avoid because of the lower pay and stress of it

[Anonymous]

We all are searching for immortality.

[Anonymous]

There’s a line between being generous and providing too much. Some of the comments above sound good in theory but perhaps not so good in practice. Plenty of people in their 20s and 30s would have trouble getting out of bed in the morning if they knew that their every financial need will be met regardless of their work efforts. Most of the great artists didn’t come from wealthy backgrounds. Rather, they worked hard and pushed their creativity to support themselves.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I never set out to be wealthy. My goal was to be a respected professional, which I was. I get far more satisfaction from my professional success than my wealth. Not even close. I want the same personal success for my kids, and they’re achieving it. When you look back on your life, family, friends and achievement and success in your work are far more important than a bank account.

What do you mean by the “same personal success?” Two of my closest friends are wonderful people with unconventional careers. One is a boom/bust entrepreneur (who does great financially overall but would put it all on the line for a dream) and the other is an artist who lives happily within their means. Both have very strained relationships with parents who pushed them towards rigid career paths.

And for those of us with money, our kids know they can choose whatever path suites them the best. It's easier to be an artist or social worker or something that doesn't pay extremely well when you know you have financial backing to live well AND do what you love. If you have the means, why wouldn't you encourage your kids to be who they want to be? We need more motivated and successful people in those areas....areas that many avoid because of the lower pay and stress of it

All successful artists (music, acting, painting, etc) have incredible work ethic.

If my kid doesn’t have that then no way in financially support it.

Too many wealthy fake DJs and similar fake artists who really don’t do anything but party and spend their parents’ money.

It’s how the generational wealth gets lost in one generation.

[Anonymous]

It’s very difficult for a parent, especially an aging parent, to objectively evaluate if a child is working hard and being productive. Rather, that’s what the world does.

[Anonymous]

Anonymous wrote:There’s a line between being generous and providing too much. Some of the comments above sound good in theory but perhaps not so good in practice. Plenty of people in their 20s and 30s would have trouble getting out of bed in the morning if they knew that their every financial need will be met regardless of their work efforts. Most of the great artists didn’t come from wealthy backgrounds. Rather, they worked hard and pushed their creativity to support themselves.

You have to know your own kids. My 27 is still highly motivated. Uses our gifts to save more. They didn't want a "luxury" car because that just looks bad for someone their age in the work parking lot. Now their managers know they have parents with money--simply based on the trips they have taken in last 5 years since college graduation (that they have had to request vacation days for). But they don't know our kid flies in business class most of time when we pay or that we paid for their new car.

Kid is still highly motivated to do what they love. They just know they don't have to worry about taking risks.


But if you have an unmotivated kid then don't help them out if it's a deter at to hard work

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I never set out to be wealthy. My goal was to be a respected professional, which I was. I get far more satisfaction from my professional success than my wealth. Not even close. I want the same personal success for my kids, and they’re achieving it. When you look back on your life, family, friends and achievement and success in your work are far more important than a bank account.

What do you mean by the “same personal success?” Two of my closest friends are wonderful people with unconventional careers. One is a boom/bust entrepreneur (who does great financially overall but would put it all on the line for a dream) and the other is an artist who lives happily within their means. Both have very strained relationships with parents who pushed them towards rigid career paths.

And for those of us with money, our kids know they can choose whatever path suites them the best. It's easier to be an artist or social worker or something that doesn't pay extremely well when you know you have financial backing to live well AND do what you love. If you have the means, why wouldn't you encourage your kids to be who they want to be? We need more motivated and successful people in those areas....areas that many avoid because of the lower pay and stress of it

All successful artists (music, acting, painting, etc) have incredible work ethic.

If my kid doesn’t have that then no way in financially support it.

Too many wealthy fake DJs and similar fake artists who really don’t do anything but party and spend their parents’ money.

It’s how the generational wealth gets lost in one generation.

I'm referring to actual career paths--and being a tik tok motivator doesn't count in our family. Talking about pursing teaching or a career as an opera singer of professional musician in an orchestra/private teaching/find a way to make money. So valid important careers that are difficult to pursue due to lower pay. If my kid wanted to do that or wanted to be a social worker/work for non-profit that helps underprivileged kids, I'd support them in that venture. Those are meaningful paths and we need people like that

[Anonymous]

Anonymous wrote:

Anonymous wrote:There’s a line between being generous and providing too much. Some of the comments above sound good in theory but perhaps not so good in practice. Plenty of people in their 20s and 30s would have trouble getting out of bed in the morning if they knew that their every financial need will be met regardless of their work efforts. Most of the great artists didn’t come from wealthy backgrounds. Rather, they worked hard and pushed their creativity to support themselves.

You have to know your own kids. My 27 is still highly motivated. Uses our gifts to save more. They didn't want a "luxury" car because that just looks bad for someone their age in the work parking lot. Now their managers know they have parents with money--simply based on the trips they have taken in last 5 years since college graduation (that they have had to request vacation days for). But they don't know our kid flies in business class most of time when we pay or that we paid for their new car.

Kid is still highly motivated to do what they love. They just know they don't have to worry about taking risks.


But if you have an unmotivated kid then don't help them out if it's a deter at to hard work

I’m pretty sure your kid’s coworkers / boss doesn’t know you - their parents - have $ from them requesting PTO days unless your kid is also oversharing their travel plans.

We drop a crap ton on travel annually and nobody knows because we all keep it super high level / vague outside the family convos and we don’t post on socials.

[Anonymous]

The problem with creating true generational wealth, $25M+, is that kids are not having kids anymore. With current fertility rates, if you have 2 kids there is a chance you get no grandkids and a good chance you will have no great grandkids….let alone 4-5-6 generations out.

The other issue is that all the driven/good future offspring will preserve or grow the money, but eventually you get a bad generation. And what happens is the least deserving wastes it all.

[Anonymous]

Feudalism is coming. Has that been mentioned? No matter how smart you are, if you don’t have capital you are serf

[Anonymous]

Anonymous wrote:The problem with creating true generational wealth, $25M+, is that kids are not having kids anymore. With current fertility rates, if you have 2 kids there is a chance you get no grandkids and a good chance you will have no great grandkids….let alone 4-5-6 generations out.

The other issue is that all the driven/good future offspring will preserve or grow the money, but eventually you get a bad generation. And what happens is the least deserving wastes it all.

But isn’t part of the reason people aren’t having kids because they’re too expensive and hard to care for? I would presume money would help make it more feasible because they could outsource or a parent could stay home etc.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:There’s a line between being generous and providing too much. Some of the comments above sound good in theory but perhaps not so good in practice. Plenty of people in their 20s and 30s would have trouble getting out of bed in the morning if they knew that their every financial need will be met regardless of their work efforts. Most of the great artists didn’t come from wealthy backgrounds. Rather, they worked hard and pushed their creativity to support themselves.

You have to know your own kids. My 27 is still highly motivated. Uses our gifts to save more. They didn't want a "luxury" car because that just looks bad for someone their age in the work parking lot. Now their managers know they have parents with money--simply based on the trips they have taken in last 5 years since college graduation (that they have had to request vacation days for). But they don't know our kid flies in business class most of time when we pay or that we paid for their new car.

Kid is still highly motivated to do what they love. They just know they don't have to worry about taking risks.


But if you have an unmotivated kid then don't help them out if it's a deter at to hard work

I’m pretty sure your kid’s coworkers / boss doesn’t know you - their parents - have $ from them requesting PTO days unless your kid is also oversharing their travel plans.

We drop a crap ton on travel annually and nobody knows because we all keep it super high level / vague outside the family convos and we don’t post on socials.

Our kid's first 2 levels of management (bosses) know why they request vacation--they know they are taking 10-14 days trips to Europe/Luxury destinations with their family. They are friends with their TL (first level management) and discuss their trips, etc. In the 5 years of work, our kid has been on 10+ 2 week vacations with family.