Are you worried about your kids growing up to be entitled and spoiled? In this video, we'll share tips on how to prevent your kids from becoming stereotypical "trust fund kids" and instead raise them to be responsible, independent adults. From teaching financial literacy to instilling a strong work ethic, these tips will help you raise well-rounded children. Watch now to learn more!
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LifestyleTranscript
00:00If you come into a bunch of money, how do you make sure your kids don't f**k it up and end up trust fund kids?
00:04Okay, so there's a lot of ways to go about this.
00:07I help people set up family offices and put together the governance, the family compass,
00:11all the things that are involved with making sure that those things don't happen.
00:14So one fantastic way to do it is to set up a board of directors or also a financial committee within your family office that helps make decisions.
00:22And there can be stipulations and time frames around when the children are able to do certain things with the money and how much they're able to take out.
00:28One fantastic way to do this is to make sure that they have skin of the game when they do take a loan from the family bank.
00:34So they still have to perform it together, the business plan, whatever it is, present it to the committee.
00:38Once it gets approved, they have to come up with 20% of whatever that investment is.
00:42So if it's a million dollar apartment complex that they're going to buy, they are able to get a 80% loan from the family at 0% interest.
00:49But they have to come up with the $200,000 to put in on the deal.