Reasons Why You Should Aim For Generational Wealth, Especially Now
Regardless of the investment vehicle that you choose, one of the motivating factors is the desire to build wealth. Whether you’re investing in real estate or playing the stock market, the most important aspect is to turn the money that you’re investing into more money. Continually producing positive returns on your investment ensures that you’re creating a portfolio that will produce wealth going forward.
For many investors, building personal wealth is only part of the goal. Creating generational wealth means even more for many investors . When you can, set your children, grandchildren, and other loved ones up to enjoy the benefits of your financial success? Now, more than ever, many investors are choosing to focus on generational wealth, and you should too!
It’s Not All About You
There is certainly nothing wrong with wanting to build personal financial wealth. However, it’s important to understand that a person’s ultimate happiness is not found in the amount of money that that they have in their bank accounts. It’s true that money can’t buy happiness. However, it’s also true that it’s easier to be happy when you’re not stressing about your retirement account and how you’re going to pay your bills. Building generational wealth allows you to shift your focus from only serving your own wants and needs and helping the people who mean the most to you in your life.
Depending on how long you’ve been investing, you may already have enough money on hand to live the way that you want to live and fund your dream retirement. That doesn’t mean that you have to stop investing though. Many investors who want to help their loved ones enjoy a more comfortable life look for additional passive real estate investment options that allow them to leave wealth to their heirs. Focusing on generational wealth building allows you to do something for the people around you that will last long after you’re gone.
What Kind of Legacy Do You Want to Leave?
While it seems like a morbid concept to think about, it’s important to understand that none of us are going to live forever. The richest, savviest investors in history all have one thing in common: they eventually passed away, and someone else inherited their fortunes. While you may not be able to control when and how you go, you can control the legacy that you leave. Obviously, building generational wealth builds a legacy of generosity, but it goes beyond that.
In addition to being remembered as a loving, generous individual, when you leave your heirs with generational wealth, you also leave a legacy of financial responsibility and intelligence. Be sure that you’re discussing your financial strategy and personal goals with the people who you plan on bequeathing your fortune to. The lessons that you teach them can help ensure that they enjoy the same financial success that you have enjoyed during your investment career.
Bringing Certainty to Uncertainty
Over the course of the last couple years, the economy has spiraled into a point of uncertainty that we have not seen since the days of the Great Depression. While the real estate crash that took place in 2008 wreaked havoc on the nation’s economy, the far-reaching impact of the COVID-19 pandemic went beyond the real estate industry and had a negative impact on every industry around the globe. Some industries appear to be on an upward trajectory, but the economy as a whole is still unstable.
That means that building generational wealth now is even more important than it was in the past. You may have built a solid personal financial foundation, but the people who you want to leave your wealth to may not have reached that point. This is your chance to put them on the same secure footing that you’re on.
There are multiple investment opportunities for those who are looking for a way to create generational wealth. For years, successful investors have put their money to work not only for themselves, but for their children, grandchildren, and future generations. If you’ve never considered the people who stand in line to benefit from your financial stewardship, be sure to think of the benefits that we’ve discussed. Your family will thank you.