At first glance, this title might lead you to believe the content is about piling up money. While a certain level of money is part of the puzzle, wealth is much more comprehensive. Having a generous amount of free time, having a wide range of choices or opportunities, living in a low stress environment and experiencing a place in the world, with purpose and connections (friends and family) are all forms of wealth. 

When you hear the phrase “generational wealth” you might picture spoiled/entitled people partying around the pool daily with no need to work. That is not what I am talking about. It’s the recognition that the gap between the upper middle class and the rich in lifestyle is not that large. When you eliminate the need to show off houses with 20 rooms you never live in, $5,000 watches, and the Bentley, then the rich live pretty much like the upper middle class. Both drive nice vehicles, have comfortable houses, sleep on the same brands of mattresses, eat the same foods, and the list goes on. 

What I’m hoping to provide to my family are the philosophies, roadmap, physical location, and funds to bootstrap my children and grandchildren should they want a life of freedom. Along this process, perhaps some of this content will provide tools for you, my readers, to live your best life as well. 

As I reflect, I’ve traded off most of my life to provide the economic resources for my family. I was on straight commission with no benefits and taxed heavily if I had a decent year. I was paying for my ex-wife’s house, our house, raising children, and watching my wife slowly die. I will never have the words to describe the pain, stress, and grief I was experiencing. The opportunity I hope to provide will be a plan where there is the highest likelihood of having a physical, emotional, and economic support system for my children and grandchildren, should they want it. Bad luck can happen to anyone and any family. This plan can be the difference between eventually thriving or going into a ditch and never recovering.

Most success revolves around being a contrarian in thought and action. That does NOT mean being obstinate, but rather doing your own thinking instead of following the herd then acting. As of this writing, 40% of America cannot come up with $400 without borrowing. The mean net worth is somewhere around $100,000, including home equity. If you follow the herd, you may just end up where the herd is going. Keep an open mind while I list resources and principles. Also remember it’s very possible (I suggest very likely) that with the right plan and resources, an average income can eventually put you in the high to ultra high net worth category. I’ve done it and have witnessed many others do it as well.

The plan is actually quite simple (one of its strengths), but also requires you to avoid stupid decisions (the more challenging part) and understand a few simple principles, which can help you avoid the stupid mistake part. Occam’s razor tells us that among competing theories, the one with the fewest decision points has the highest likelihood of being correct. (The more assumptions you have to make, the more likely you are to have an error in judgment.) The plan needs to allow for a wide range of career choices and the opportunities to form partnerships or syndicates, but partnership formation need not be necessary for success. 

In my case, I did both individual investing and partnering with trusted people (my family), which was instrumental in additional success. A long financial runway and a plan which is simple and flexible are crucial on the road to freedom. Most people are of the traditional thought of building a financial lake then draining it in their later years hoping they don’t run out of money before running out of life. My generational wealth plan is the reverse. In fact, the plan was applied to my parents. Dad is gone, but as Mom approaches 90, her stream of income out of it continues to grow. It’s the same plan my wife and I are using with the same results. I’ve shut any traditional business down years ago, but the lake and river out of my plan keeps growing.

My hope is that the experiences and knowledge I’ve acquired during my journey are used as tools for my children, grandchildren and for generations to come. As a reader of this blog, I wish the same for you and your family as well.

“To be your own man is hard business. If you try it, you will be lonely often and sometimes frightened. But no price is too high to pay for the privilege of owning yourself.” – Rudyard Kipling