What Is Generational Wealth?
Generational wealth is a collection of financial resources passed down across multiple generations in a family. If you can leave behind a noteworthy inheritance to your descendants and the financial stewardship that accompanies it, that’s generational wealth.
What Is the Importance of Generational Wealth?
People who inherit generational wealth have financial advantages over those who do not. For example, when you fund your children’s college fund, they don’t have to struggle to pay off student loans. Instead, they could be saving towards purchasing their first home or future retirement.
Generational wealth creates a solid foundation for your descendant’s financial success, who can continue to build sustainable wealth over many generations.
How Can You Build Generational Wealth?
Building generational wealth can seem intimidating, especially if you have no idea how to get started. However, it’s possible if you have a solid financial strategy. To generate wealth that you can pass down to your children, you need to save money or obtain resources you won’t spend in retirement.
It is, therefore, crucial to save for retirement and other financial goals before you go down the road toward building generational wealth. Here are seven ways to build generational wealth.
- Invest in the Stock Market
- Invest in Real Estate
- Create a Business to Pass Down
- Invest in Your Child’s Education
- Invest in Life Insurance
- Educate Your Children About Personal Finance
- Save Money Strategically
The easiest way to build generational wealth is by Becoming Your Own Banker. The Infinite Banking Concept encompasses all seven strategies in one, applying Infinite Banking to the lives that matter most. Yes, our future, your legacy is the best way to ensure your goal of generational wealth is met for your children.
Cole Snell, Wealth Architect, Ascendant Financial
