What do you teach your kids about money, prosperity and how to get rich? If you’re like most parents, the answer is probably: not much. If you ever needed a reason to start the conversation about money with your kids, here it is: the retirement age is between 60-65 years and most people retire on average of N50K-N80K which is barely enough for sustenance.
The only way we can combat this great financial plague and help ensure our younger generations don’t continue to struggle is to teach them from a young age the right ways to make the big money.
What exactly do rich people teach their kids?
They continually self-educate; they avoid nostalgia. Not surprisingly, they also have different opinions when it comes to parenting.
That's according to self-made millionaire Steve Siebold, who interviewed over 1,200 of the world's wealthiest people and compiled his research into "How rich people think”
While average people teach their kids to survive, he finds, rich people teach their kids to be rich.
"The average family unconsciously passes down the same limiting beliefs they were taught about money from generation to generation," Siebold writes. "These are the beliefs that have kept families at the same level of financial success for dozens, if not hundreds, of years."
Rich people, on the other hand, not only teach their kids smart money habits, but they teach them that it's OK to want to be rich, and that wealth is possible for anyone who thinks big enough.
"While the masses are content to play it safe, seek comfort, and avoid pain, the great ones are living large and teaching their kids to do the same," the self made millionaire writes on The Huffington post. "To them, life is a game to be played boldly and fearlessly, and they always set the example for the little ones who watch their every move."
Of course, the way in which the wealthy teach their kids about money is crucial, Siebold emphasizes: "They educate their kids on how to make money by solving problems and enhancing the quality of other people's lives. This way the child learns to see money as a positive, productive force for good instead of a weapon of the few to use against the many." They start to see money as their friend, while the average person sees money as an enemy.
While many people have argued that he's supporting the idea of elitism, he disagrees.
"[People] say parents are teaching their kids to look down on the masses because they're poor. This isn't true," he writes. "What they're teaching their kids is to see the world through the eyes of objective reality — the way society really is."
Here are seven of the secrets self-made millionaires teach their kids:
You deserve to be rich
Most people believe that you can only be rich if you were born into the right family, attended the best school or possess uncommon talent. While these advantages certainly help, they are by no means required to be rich. In a free market economy if you serve enough people and solve enough problems, you deserve to be rich..
Wealth creates freedom
The best thing about wealth is the freedom it offers you. It’s the freedom to live life on your own terms. Being rich allows you to live anywhere you want, do anything you want and be anything you want to be. If you want to start a business, take up a new sport, learn a language, donate to your favorite charity or anything else, all that’s required is the decision to do so. Most important, having money eliminates financial worry and allows you the freedom to choose and enjoy life.
You’re not entitled
The world owes you nothing. No one is entitled to anything. It’s up to you to create your own future. The idea of entitlement seems to be growing in popularity, yet it’s based on the delusion that we are born with certain rights. We’re not. We’re just born. The rest is up to you. Teach your kids the opposite of the entitled mentality, which is self-reliance. The irony of this is that the more you exhibit your self-reliant attitude and don’t act as if you need help, the more people want to help you.
Get rich solving problems
The world wants you to be rich because it has a lot of challenges to solve. If you want to be rich, solve a problem. If you want to be very wealthy, solve a bigger problem. The larger the problem you solve, the richer you get. In a free market economy, that’s all there is to it. I’m not implying that getting rich is easy, but it is that simple. Match your unique talents, abilities and passions with a problem-solving idea, and you’ll be on your way to wealth.
Think for yourself
The average person is taught what to think. The millionaire in the making is taught how to think. Your kids will learn many great lessons from well-intention and well-educated individuals, but odds are that most of these people won’t know the first thing about acquiring wealth. Teach your kids to think big, reach their own conclusions and blaze their own trail no matter who may criticize their ambition, doubt their ability and laugh at their vision.
Raise your expectations
Many psychologists believe that people should lower their expectations so they won’t be disappointed if they fail. They believe people will be happier expecting and settling for less. This is another mass oriented formula for failure. Teach your kids to stop living in fear, and instead, live in a world of possibilities, potential and opportunity. Let the middle class be satisfied with mediocrity while you reach for the stars. Remember, many of today’s biggest success stories were mocked by doubters at one time.
Believe in yourself
As a striver and achiever, you will attempt many great things. The odds are that some will be successful, and others won’t. The road to world-class success is usually paved with setbacks, disappointments and failures. The secret to survival: never abandon yourself. No matter what happens in your life, you must always believe in yourself and your ability to handle whatever life throws at you. You may lose the popular vote, but never allow yourself to lose your own support. Always believe in yourself and your ability to comeback, even if everyone else gives up on you.
Children learn from their parents, so start having conversations with your kids about money early on. Even parents who haven’t been the most financially successful can see to it that their kids really understand what it takes to become wealthy. Imagine growing up being tutored on how to become a self-made millionaire. The advantages would be difficult to deny.
Let us start to train them now, financial literacy is not taught in schools.