Rich people rarely tell their kids how much money they make...would you?
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2stepz_ahead
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http://finance.yahoo.com/news/rich-people-rarely-tell-kids-114100709.html
Some rich people might like to show off their money, but most of them don’t like to talk about it—at least, not with their kids.
Just 17 percent of parents who make more than $100,000 per year said in a recent survey that they had told or will tell their children before age 18 how much money they make. The survey, conducted by Spectrem, a market-research firm, found that 18 percent of parents said they had no plans to have that conversation at any point in the future.
The top explanation, cited by 32 percent of respondents, was that earnings were “none of their business.” Two other concerns—each expressed by about a tenth of those surveyed—were that parents feared their kids would share the information and that this new knowledge would change them for the worse, perhaps making them cockier or more complacent. Among the parents surveyed who did tell their kids about their incomes, the majority did so because they thought it was an important emergency precaution. A smaller number said they did so in order to teach their kids about budgeting. (The survey, alas, only covered the wealthy. After all, it was administered by a division of Spectrem that goes by the name of “Millionaire Corner.”)
To children, money is this mysterious power that dictates where they live, what they wear, and what schools they go to. I wouldn’t advocate for having your six-year-old balance your checkbook anytime soon, but anything that makes that power less mysterious can help kids understand that there are reasons for things that otherwise may seem unreasonable. As Sara Solnick, a professor of economics at the University of Vermont, told The New York Times, “If you are not talking to them, then they are drawing their own conclusions.”
On top of improving children’s financial IQs, being made aware of earnings could also make children more conscientious. Nearly half of millionaires say they don’t feel wealthy, even though 95 percent of households make less than $167,000 a year. Without knowing more about what their parents earn and how that compares to American averages, rich children probably default to assuming that their standard of living is common.
The most practical argument for why parents ought to tell kids about their income, though, is that they’re bound to find out someday, either from a tax form or, eventually, an inheritance. And it’s probably not such a secret to begin with anyway. Glenn Kurlander, a managing director at Morgan Stanley, once wrote about a time when one of his ultra-wealthy clients was worried about not having told his children how much money he made. “You live in a 25,000 square foot house, and your kids have never been on a commercial plane—they’re always on your private jet,” Kurlander responded. “I think they’ve figured it out.”
Some rich people might like to show off their money, but most of them don’t like to talk about it—at least, not with their kids.
Just 17 percent of parents who make more than $100,000 per year said in a recent survey that they had told or will tell their children before age 18 how much money they make. The survey, conducted by Spectrem, a market-research firm, found that 18 percent of parents said they had no plans to have that conversation at any point in the future.
The top explanation, cited by 32 percent of respondents, was that earnings were “none of their business.” Two other concerns—each expressed by about a tenth of those surveyed—were that parents feared their kids would share the information and that this new knowledge would change them for the worse, perhaps making them cockier or more complacent. Among the parents surveyed who did tell their kids about their incomes, the majority did so because they thought it was an important emergency precaution. A smaller number said they did so in order to teach their kids about budgeting. (The survey, alas, only covered the wealthy. After all, it was administered by a division of Spectrem that goes by the name of “Millionaire Corner.”)
To children, money is this mysterious power that dictates where they live, what they wear, and what schools they go to. I wouldn’t advocate for having your six-year-old balance your checkbook anytime soon, but anything that makes that power less mysterious can help kids understand that there are reasons for things that otherwise may seem unreasonable. As Sara Solnick, a professor of economics at the University of Vermont, told The New York Times, “If you are not talking to them, then they are drawing their own conclusions.”
On top of improving children’s financial IQs, being made aware of earnings could also make children more conscientious. Nearly half of millionaires say they don’t feel wealthy, even though 95 percent of households make less than $167,000 a year. Without knowing more about what their parents earn and how that compares to American averages, rich children probably default to assuming that their standard of living is common.
The most practical argument for why parents ought to tell kids about their income, though, is that they’re bound to find out someday, either from a tax form or, eventually, an inheritance. And it’s probably not such a secret to begin with anyway. Glenn Kurlander, a managing director at Morgan Stanley, once wrote about a time when one of his ultra-wealthy clients was worried about not having told his children how much money he made. “You live in a 25,000 square foot house, and your kids have never been on a commercial plane—they’re always on your private jet,” Kurlander responded. “I think they’ve figured it out.”
Comments
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very first comment from the article i thought was interesting.
My kids ask how much we make and I'm in the 32% telling them its none of their business. Its not because I don't want them to know necessarily, its that:
1. I don't want the neighbors/relatives to know. Its none of their business.
2. I don't want entitled kids thinking that I should be spending more on junk they won't take care of any way.
3. On that topic - I detest the consumerism kids demonstrate thinking that everything is disposable and if you break something it can be replaced. Knowing our income would just validate the ability to replace.
4. No matter what your income there are tight times. I don't want to have to justify not spending to explain a financial issue.
5. Finally there's need vs. want and creating an understanding of the two to avoid spoiled brats.
I learned to budget as a kid and THAT is what I'm teaching them.
This summer I started giving each kid $15.00 at the grocery store to fill a basket with supplies for their lunches. I get veto power if it's all junk. I encourage them to buy one dairy drink/snack for each week day, one fruit, one carb, something to drink each day, one loaf of bread and stuff for putting in the bread. If they go over at the cash register they have to give up something. What ever is left they get to keep.
To my delight, as of the third week, the two joined together... bought a case of water on sale for 1.99 for 24 units... pooled their money asking to go to Costco where they bought bread and froze it (like mommy) bought healthy snacks and spent all $30.00 for the week plus some extra they had lying around... but here's the thing - they have enough food for two to three weeks so they get to pocket the money for two weeks. We'll see how the rest of the summer goes and I plan on continuing this through the school year since both kids "get it."
My goal is to get THEM funding themselves and use to buying things they want. My job is to buy them what they need and get them gifts for special occasions.
Who cares what I make - my kids need to focus on how to fund their own lives. -
telling your children that they are super rich while they are still young sounds like a very bad idea you could end raising an arrogant little ? telling them that they are advantaged however does make alot of sense just don't tell the details all at once slowly reveal it to them as they grow older especially if you want them to follow in the family business.
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I'm a try the bolded but $15 a week for lunch is ?2stepz_ahead wrote: »very first comment from the article i thought was interesting.
My kids ask how much we make and I'm in the 32% telling them its none of their business. Its not because I don't want them to know necessarily, its that:
1. I don't want the neighbors/relatives to know. Its none of their business.
2. I don't want entitled kids thinking that I should be spending more on junk they won't take care of any way.
3. On that topic - I detest the consumerism kids demonstrate thinking that everything is disposable and if you break something it can be replaced. Knowing our income would just validate the ability to replace.
4. No matter what your income there are tight times. I don't want to have to justify not spending to explain a financial issue.
5. Finally there's need vs. want and creating an understanding of the two to avoid spoiled brats.
I learned to budget as a kid and THAT is what I'm teaching them.
This summer I started giving each kid $15.00 at the grocery store to fill a basket with supplies for their lunches. I get veto power if it's all junk. I encourage them to buy one dairy drink/snack for each week day, one fruit, one carb, something to drink each day, one loaf of bread and stuff for putting in the bread. If they go over at the cash register they have to give up something. What ever is left they get to keep.
To my delight, as of the third week, the two joined together... bought a case of water on sale for 1.99 for 24 units... pooled their money asking to go to Costco where they bought bread and froze it (like mommy) bought healthy snacks and spent all $30.00 for the week plus some extra they had lying around... but here's the thing - they have enough food for two to three weeks so they get to pocket the money for two weeks. We'll see how the rest of the summer goes and I plan on continuing this through the school year since both kids "get it."
My goal is to get THEM funding themselves and use to buying things they want. My job is to buy them what they need and get them gifts for special occasions.
Who cares what I make - my kids need to focus on how to fund their own lives.
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I wouldn't even tell my wife.
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$100,000 is far from rich. If I was RICH, I wouldn't tell my kids how much I made. But I'm not rich. Lol. When my son reaches an age to be able to keep the information to himself, I'm gonna sit him down and show him exactly how much I make. And then show him exactly how much our monthly bills are. And teach his ass that ? costs money and that money doesn't grow on trees. And most importantly, since it doesn't grow on trees, he needs to value it and what it can do for him - while still not letting it control his movements.
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mryounggun wrote: »$100,000 is far from rich. If I was RICH, I wouldn't tell my kids how much I made. But I'm not rich. Lol. When my son reaches an age to be able to keep the information to himself, I'm gonna sit him down and show him exactly how much I make. And then show him exactly how much our monthly bills are. And teach his ass that ? costs money and that money doesn't grow on trees. And most importantly, since it doesn't grow on trees, he needs to value it and what it can do for him - while still not letting it control his movements.
100k for one person is Very good where ever you live -
i never told my kids an exact amount...but my kids figured it out.
i sat my daughter down and talked to her and took her with me on business trips and i let her add input and help my property search and send emails.
my son is a different story.... -
mryounggun wrote: »$100,000 is far from rich. If I was RICH, I wouldn't tell my kids how much I made. But I'm not rich. Lol. When my son reaches an age to be able to keep the information to himself, I'm gonna sit him down and show him exactly how much I make. And then show him exactly how much our monthly bills are. And teach his ass that ? costs money and that money doesn't grow on trees. And most importantly, since it doesn't grow on trees, he needs to value it and what it can do for him - while still not letting it control his movements.
100k for one person is Very good where ever you live
But is it rich? Answer: No. -
We are not rich, (my husband tells me we will be one day) but we are doing well. My kids have never asked how much money we have. We shelter them from bad stuff as much as possible but they know that some people live tough lives. If they were to ask I guess I would tell them, idk. I certainly wouldn't say none of you business. I want my kids to make good financial decisions, that's why they get allowances.
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"Give " .....
I'm a try the bolded but $15 a week for lunch is ?2stepz_ahead wrote: »very first comment from the article i thought was interesting.
My kids ask how much we make and I'm in the 32% telling them its none of their business. Its not because I don't want them to know necessarily, its that:
1. I don't want the neighbors/relatives to know. Its none of their business.
2. I don't want entitled kids thinking that I should be spending more on junk they won't take care of any way.
3. On that topic - I detest the consumerism kids demonstrate thinking that everything is disposable and if you break something it can be replaced. Knowing our income would just validate the ability to replace.
4. No matter what your income there are tight times. I don't want to have to justify not spending to explain a financial issue.
5. Finally there's need vs. want and creating an understanding of the two to avoid spoiled brats.
I learned to budget as a kid and THAT is what I'm teaching them.
This summer I started giving each kid $15.00 at the grocery store to fill a basket with supplies for their lunches. I get veto power if it's all junk. I encourage them to buy one dairy drink/snack for each week day, one fruit, one carb, something to drink each day, one loaf of bread and stuff for putting in the bread. If they go over at the cash register they have to give up something. What ever is left they get to keep.
To my delight, as of the third week, the two joined together... bought a case of water on sale for 1.99 for 24 units... pooled their money asking to go to Costco where they bought bread and froze it (like mommy) bought healthy snacks and spent all $30.00 for the week plus some extra they had lying around... but here's the thing - they have enough food for two to three weeks so they get to pocket the money for two weeks. We'll see how the rest of the summer goes and I plan on continuing this through the school year since both kids "get it."
My goal is to get THEM funding themselves and use to buying things they want. My job is to buy them what they need and get them gifts for special occasions.
Who cares what I make - my kids need to focus on how to fund their own lives.
My kids work for their cash
Grades, chores , good behavior ..... in any order ..... gets the allowance -
mryounggun wrote: »$100,000 is far from rich. If I was RICH, I wouldn't tell my kids how much I made. But I'm not rich. Lol. When my son reaches an age to be able to keep the information to himself, I'm gonna sit him down and show him exactly how much I make. And then show him exactly how much our monthly bills are. And teach his ass that ? costs money and that money doesn't grow on trees. And most importantly, since it doesn't grow on trees, he needs to value it and what it can do for him - while still not letting it control his movements.
lol ? 100k is rich... smh ic ? ... you have to pay the government during tax season when you make that much... you rich... -
damobb2deep wrote: »mryounggun wrote: »$100,000 is far from rich. If I was RICH, I wouldn't tell my kids how much I made. But I'm not rich. Lol. When my son reaches an age to be able to keep the information to himself, I'm gonna sit him down and show him exactly how much I make. And then show him exactly how much our monthly bills are. And teach his ass that ? costs money and that money doesn't grow on trees. And most importantly, since it doesn't grow on trees, he needs to value it and what it can do for him - while still not letting it control his movements.
lol ? 100k is rich... smh ic ? ... you have to pay the government during tax season when you make that much... you rich...
Wtf?!? Not only is 100k not rich, it's not CLOSE to rich. ? is you talking about?! Lol. -
I'm not rich, but I'd tell them once they are able to understand it. Feed it to them slowly over time till then. I won't have them living in a world of ignorance and sugar coating ? .
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If u share that info then u have to share that info....
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Ima tell them none of their biz.
My parents together didn't make 100k
And the only reason I knew was bc I helped them w their taxes as I got to college age -
mryounggun wrote: »damobb2deep wrote: »mryounggun wrote: »$100,000 is far from rich. If I was RICH, I wouldn't tell my kids how much I made. But I'm not rich. Lol. When my son reaches an age to be able to keep the information to himself, I'm gonna sit him down and show him exactly how much I make. And then show him exactly how much our monthly bills are. And teach his ass that ? costs money and that money doesn't grow on trees. And most importantly, since it doesn't grow on trees, he needs to value it and what it can do for him - while still not letting it control his movements.
lol ? 100k is rich... smh ic ? ... you have to pay the government during tax season when you make that much... you rich...
Wtf?!? Not only is 100k not rich, it's not CLOSE to rich. ? is you talking about?! Lol.
? where you live?
anything above middle class is rich... you saying 100k is middle class? ? naw to be middle class it's 30-60k... -
I make $100k and I'm far from rich
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damobb2deep wrote: »mryounggun wrote: »damobb2deep wrote: »mryounggun wrote: »$100,000 is far from rich. If I was RICH, I wouldn't tell my kids how much I made. But I'm not rich. Lol. When my son reaches an age to be able to keep the information to himself, I'm gonna sit him down and show him exactly how much I make. And then show him exactly how much our monthly bills are. And teach his ass that ? costs money and that money doesn't grow on trees. And most importantly, since it doesn't grow on trees, he needs to value it and what it can do for him - while still not letting it control his movements.
lol ? 100k is rich... smh ic ? ... you have to pay the government during tax season when you make that much... you rich...
Wtf?!? Not only is 100k not rich, it's not CLOSE to rich. ? is you talking about?! Lol.
? where you live?
anything above middle class is rich... you saying 100k is middle class? ? naw to be middle class it's 30-60k...
hmmmmm
are you talking lower middle class? or maybe upper lower class? -
damobb2deep wrote: »mryounggun wrote: »damobb2deep wrote: »mryounggun wrote: »$100,000 is far from rich. If I was RICH, I wouldn't tell my kids how much I made. But I'm not rich. Lol. When my son reaches an age to be able to keep the information to himself, I'm gonna sit him down and show him exactly how much I make. And then show him exactly how much our monthly bills are. And teach his ass that ? costs money and that money doesn't grow on trees. And most importantly, since it doesn't grow on trees, he needs to value it and what it can do for him - while still not letting it control his movements.
lol ? 100k is rich... smh ic ? ... you have to pay the government during tax season when you make that much... you rich...
Wtf?!? Not only is 100k not rich, it's not CLOSE to rich. ? is you talking about?! Lol.
? where you live?
anything above middle class is rich... you saying 100k is middle class? ? naw to be middle class it's 30-60k...
I'm gonna say that if you can't keep a million dollars, you're not rich. You just got a well paying job.
Class is usually determined by the region you in. What's high class in the south might be middle somewhere else. But I've yet to hear a million dollars seen as anything less that high class. -
It's crazy that you've been brainwashed enough to think that 30k is middle class.
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$100k is not rich
When my son was little and asked how much I made. I just told him enough
Now he doesn't care because we are comfortable and that's what matters -
Nope, my kid ain't about to try and Qawmane Wilson me. If you don't know his story, he's the ? that had his own mother killed for her insurance money just so he could floss with it. They don't need to know ? except that I'm their father and I care for them.
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damobb2deep wrote: »mryounggun wrote: »damobb2deep wrote: »mryounggun wrote: »$100,000 is far from rich. If I was RICH, I wouldn't tell my kids how much I made. But I'm not rich. Lol. When my son reaches an age to be able to keep the information to himself, I'm gonna sit him down and show him exactly how much I make. And then show him exactly how much our monthly bills are. And teach his ass that ? costs money and that money doesn't grow on trees. And most importantly, since it doesn't grow on trees, he needs to value it and what it can do for him - while still not letting it control his movements.
lol ? 100k is rich... smh ic ? ... you have to pay the government during tax season when you make that much... you rich...
Wtf?!? Not only is 100k not rich, it's not CLOSE to rich. ? is you talking about?! Lol.
? where you live?
anything above middle class is rich... you saying 100k is middle class? ? naw to be middle class it's 30-60k...
I'm gonna say that if you can't keep a million dollars, you're not rich. You just got a well paying job.
a million dollar is alot of ? money to keep.....
are you talking total assets or cash?
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MsSouthern wrote: »$100k is not rich
When my son was little and asked how much I made. I just told him enough
Now he doesn't care because we are comfortable and that's what matters
I know your son is damn near grown at this point. Didn't he just hit 18 or some ? ? Have you had any financial discussions with him? -
cannonspike1994 wrote: »I make $100k and I'm far from rich
a single man can live comfortable making ? 30k.. a family can live comfortable making 60k so 100k is enough to live comfortable and stack half your earnings a year... just because ? when they make more spend more does not make the money you make less valuable or put you in a lower tax bracket...
