MONEY MASTER

As everyone from Ted Turner to Drake has said, the hardest part of getting rich is making the first million. The rest just comes naturally. The fact that wealth begets more wealth was illustrated once again last year by Bill Gates and Warren Buffett, currently the two richest people on Earth. According to Bloomberg, the pair finished 2014 a combined $21.1 billion richer than when the year began. (Gates' fortune rose $8.1 billion to a total of $86.6 billion. Buffett's rose $13 billion; he's now worth $73.8 billion.) Gates and Buffett are aware of their privilege. They have both advocated for higher taxes on the wealthy. They have also poured billions of their own money into the Bill & Melinda Gates Foundation, one of the world's largest funders of charitable causes like infectious disease research, poverty reduction, and (more controversially) education reform. Source: Mother Jones

A very good article I read the other day from MarketWatch and realized that how true the article sounds. It might not give you the tips on how to get rich, or how the rich actually gets richer, but it does give you an insight of the qualities and the experience that we need to pass on to generations in order to be in the affluent society.  We all know, innately, how the rich get richer. Money begets money. But how does that actually happen, aside from compounding interest and purely financial factors? You could take the cynic's view that the game is rigged. But the more accurate answer, backed by research, is that the rich get richer because of great parenting. How rich you become over your lifetime is directly related to how early you capture the basic truths of finance and investing. You have seen the exception that proves the rule, the rich kid who blows his family's wealth in a generation through poor decisions. Chalk that up to absentee parents. Truly, teaching is th...