Posts Tagged ‘family’

“‘If I were given $1 million’
According to the respondents, here are some of the things people would do if they suddenly received an influx of cash…

  • 54% of respondents would spend it

According to Charles Schwab, Americans are paying attention to their friends’ personal-finance choices. Sixty percent of people said they’ve wondered how others on social media were able to afford things like expensive trips… And out of a variety of factors (including family, friends, and co-workers), social media was reported to have the worst influence on money management…

A whopping 59% said they live paycheck to paycheck, and 44% carry a credit-card balance or struggle to keep up with payments, according to Charles Schwab.” -The Crux

“Many Americans – average folks working to build a comfortable life – assume the ‘rich’ have a secret.  It seems they know something about ‘how the world works’ that the rest of us don’t….  It turns out, the wealthy do harbor a secret – three of them, in fact….  And these secrets not only build wealth, they allow you to use it to live the life that you want to live….

You don’t need to be rich, though.  You don’t need to pursue money at all costs.  But having financial stability gives you freedom.  Reducing stress improves your health.  And understanding how to manage your income makes for better relationships with your family and loved ones.

Tenet No. 1: Save Religiously.  Tenet No. 2: Invest for the Long Term.  Tenet No. 3: Obsess About Risk

Only by following all three of these tenets can you successfully set yourself free from living paycheck to paycheck.  If you were to find folks with enough cash to live how they’d want to live, you’d find almost all of them followed these tenets.” -David Eifrig

“Several years ago my son Will and I wrote a book on ‘family money’ – on how families get and hold onto fortunes over generations.  My family never had any money.  So, in many ways I was unqualified to write about it.  What I’ve discovered is that if you want to have money, and hold onto it, you have to do things very differently.  You have to be much bolder.  And much more ambitious.  Especially if you want to pass on your wealth to the next generation.” -Bill Bonner

“Rather than inheriting lump sums of money, they’ll inherit an interest in a ‘family fund’.  The purpose of that fund is to help individual family members enrich their lives.  But how they do that must make sense.

Children can borrow from the fund.  But if they do, they must return the borrowed money with interest.  They can use the money to start businesses or pursue educations, but they can’t use it to buy sports cars or yachts.

They should also help the fund grow in value.  That way, when they die, it’s larger than it was—large enough to help their own children.” -Mark Ford

“The purpose of the fund [family fund] is to help individual family members enrich their lives…. Children can borrow from the fund. But if they do, they must return the borrowed money with interest. They can use the money to start businesses or pursue educations, but they can’t use it to buy sports cars or yachts.” -Mark Ford

“‘Old Money’ families take the long-term view.  These families know how to turn time into an ally instead of an enemy….  And they have worked out ways to use time to prepare the family not only to protect money, but to make it grow….  The truly wealthy are careful to spend their money on things that hold their value over time.” -Bill Bonner