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rich kids and wealth?

Discussion in 'Living Room' started by TMNT, 28th Jun, 2016.

  1. TMNT

    TMNT Well-Known Member

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    ok, so rich kids will inherit their familes wealth and live happily ever after, all good

    however I hear a lot of people say oh young jimmy (from that rich family) will grow up and will make a name for themself or shake up the world.

    etc. etc. etc. etc.

    rich kids are often spoilt, have it easy, entitled etc. etc. etc.

    why do people say young jimmy has more chance of acheiving something compared to say an average motivated person
     
  2. TaylorChang

    TaylorChang Well-Known Member

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    Very simple. Rich kids has more resource and time than average motivated person.
    They have more buffer( captial/resource) to take on the risk than an average motivated person.

    For example, an average person may save 3- 5 years deposit (say $100,000) for their first property. Then use first property leveraged to second property or start up a business (say small takeaway shop). If something goes wrong, all the equity/cash saving will back to $0. Then wait to save up ( it may take another 3-5 years) and start again.

    However, if a rich kid stuff up, they may start again right away.

    Time frame wise, a rich kid learnt all the mistake/pitfall, then don't have to take time to save up another capital to start again. However, a average person have to take time to save up another capital to try again.
     
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  3. Ace in the Hole

    Ace in the Hole Well-Known Member Premium Member

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    Cos if the parents teach the kids right, the kids of rich parents will grow up knowing making money is easy.
    Poor kids usually grow up being told that making money is hard, so that's why they end up believing.

    I think generally, rich people, especially self made, are much more confident and positive of their abilities to achieve, and this gets passed onto their kids.
     
    Last edited: 28th Jun, 2016
  4. TMNT

    TMNT Well-Known Member

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    maybe thats why im not rich, but I think mindset and motivation is more important than not, ive met rich people who came from starving backgrounds and their motivation and determination is amazing, like in sport that doesnt require heaps of investment such as F1

    thats a good point,
    I grew up below middle class but not poor, but I never recevied any financial education from my parents
     
  5. Leo2413

    Leo2413 Well-Known Member Premium Member

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    Cos motivation alone is useless. As Ace said, if the parents teach the kids what to do and how to do it then the knowledge is passed on and that coupled with some money and action is very powerful imo.

    Many people have serviceability and money, a lot of money in the bank or in 1 property but they are unable to build wealth. The 'knowledge' part is super essential, as is mindset imo.
     
  6. Ardi

    Ardi Well-Known Member

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    Jimmy will head his pops company when pa retires, buy a sports car, buy a nice house on the canals, will take partying and an addiction of hookers and coke!
    Jimmy destroys the company and declares bankruptcy. Jimmy looses it all and thinks the world is unfair!
    Once again do to relentless pestering my Jimmy's mum. Jimmy's dad bankrolls his new idea.

    Jimmy's dad is pissed with Jimmy!
     
  7. mrdobalina

    mrdobalina Well-Known Member

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  8. Ace in the Hole

    Ace in the Hole Well-Known Member Premium Member

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    Good story, but those students need to get street smart, something too many highly educated people lack these days.
    The teacher said:
    “To move into the upper class, all you must do is throw your wadded-up paper into the bin while sitting in your seat.”

    Surely the seats weren't bolted down, right?
     
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  9. mrdobalina

    mrdobalina Well-Known Member

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    Agree. Gotta think outside the box.

    The world isn't fair. Recognise it and do something about it.
     
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  10. TaylorChang

    TaylorChang Well-Known Member

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    It's a great story. Thank you for sharing :)
     
  11. TaylorChang

    TaylorChang Well-Known Member

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    I thought it will be nice to share with everyone on the forum. As I believe we will feel appreciated for all the little things in our life and feel privilege in some way.
     
  12. Perthguy

    Perthguy Well-Known Member

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    I went to uni with a rich kid. He is one of the dumbest people I have ever encountered. He struggled to pass basic subjects let alone amount to anything. Plenty of rich kids blow their parents wealth.
     
  13. Bayview

    Bayview Well-Known Member

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    Sport is a good analogy for some of this discussion too; I have played a few sports at a decent level - golf in particular - as a player, and as a Teacher, and as an employer (of young men as apprentices).

    In all the sports I've played (and particularly golf) there were always those with enormous talent, and those with far less to none.

    But what I have observed number of times was the guy/girl with less talent had a very large work ethic, while some with the talent were lazy...

    The ones with the enormous work ethic ended up achieving a high level in their chosen sport while the talented but lazy ones amounted to not much.

    Of course; there were the odd talented ones with the large work ethic - who went on to become extremely high level.
     
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  14. bob shovel

    bob shovel Well-Known Member

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    The rich kids are born into the "boys club" opens many hidden doors that the plebs can't get through, the pwc type companies
     
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  15. Bayview

    Bayview Well-Known Member

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    Quite true, but I have had experience where as I progress up the ladder, you come into contact with folks who are moving in different circles and can open doors for you - and vice versa.

    The key is to keep putting in the effort, keep on moving up, and the world changes for you.
     
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  16. bob shovel

    bob shovel Well-Known Member

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    True. I guess they have the spoon plus expectations to jump into the higher end rather than having to work your way up
     
  17. TMNT

    TMNT Well-Known Member

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    OT, you put birch in your avatar!?!?!?!?
     
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  18. TMNT

    TMNT Well-Known Member

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    yeah I agree,
    with most sports, talent isnt the only thing thats required to be truly successful,
    except for sports like darts or scrabble

    I too find that those with less talent that work their butt off do better than those with huge talent with no work ethic

    my theory, since talent is something you are born or have, and you dont have to work for it,
    everythig comes too easy so this expectation of not needing to work hard reflects on the rest of their mindset and hencethey may do ok but will not succeed (a huge generalisation, yes!)
     
  19. TMNT

    TMNT Well-Known Member

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    totally agree, money, connections etc will get you in that first step that most people have to work years or very hard for or not get in at all,

    but yo uwill probably have the image of "oh they got the job because of their family or their connetins" which isnt their fault

    however, if they do a subpar job and still retain their job, than they are only their because of other factors,
     
  20. bob shovel

    bob shovel Well-Known Member

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    A larger number will "walk" into positions while lower and middle class will have to "work" their way in.

    It's not their fault and just how it is, it's whether they take advantage and become the hard worker and capitalise on the head start

    The sub par will just be the office oxygen theif in the office that plods along. Everyone