Father’s Day Financial Lessons from Famous Dads | Tips From Our Financial Advisors
Every Father’s Day, we read through dozens of cards in search of the perfect words to thank the fathers and father-figures in our lives. Often, these cards thank dads for all the wisdom they’ve bestowed upon their children throughout their lives. In honor of Father’s Day, we wanted to share some of our favorite financial lessons from famous dads.
Make Your Money Work for You
Robert Kiyosaki, the author of Rich Dad, Poor Dad, is a popular father figure because of the financial wisdom he shares with his readers. He explains the important lesson that rich people stay rich by making their money work for them, while broke people stay broke by spending all their money, and middle-class people stay middle class by saving all of their money.
There are many ways you can have your money work for you, including investing in stocks, bonds, real estate, and businesses. This lesson touches on the importance of investing your money wisely and having a sounds strategy in place so you can continue making money even when you’re not thinking about it.
Avoid Debt & Save Whenever Possible
Rob Riggle, a popular actor and commentator, learned critical financial lessons from his own father at an early age. Playing Monopoly together during his childhood, his father would remind him to avoid debt whenever possible, save as much as you can, and the importance of investing early, often, and consistently.1 Reviewing your budget on a regular basis to make sure you’re not overspending, you’re saving whenever possible, and that you’re progressing towards your short and long-term goals is very important. Many people think an investment strategy is only for the wealthy, but even those with $100 to their name can get started investing and see how their money grows over time. Avoiding “bad” debt is always a good tactic.
Stick to a Budget
Ariana Rockefeller likely learned countless financial lessons as a child, but the one that stuck with her was to keep track of every dollar she spent. She learned this from her father and great-great-grandfather, John D. Rockefeller, Sr., who wrote down everything he spent in a ledger. She was given her first ledger by her father, and she began tracking her input and output from her allowance money.
It's much easier to track your budget nowadays, with countless online tools to help you. Most credit card companies and banks will even break your spending into categories on your behalf as well.
Focus on the Long-Term Strategy
Warren Buffet, also a father himself, is known for his many pieces of financial wisdom. We could make an article entirely off of the lessons he has to teach, but for today’s article we’ll share the importance of focusing on the long-term game. He famously said, “Someone is sitting in the shade today because someone planted a tree a long time ago.”2
This is a good illustration of the long-term goal of financial planning. Planting and nurturing the seeds of financial success today can lead to shade to enjoy later in life. By having a multi-decade horizon, you can work with your advisor to create a long-term plan based on your goals.
Whether you are a father, or you’ve learned from a father, there’s a lot to keep in mind when it comes to your long-term financial strategy. If you need guidance on your own situation, make sure you contact one of our financial advisors. If you don’t already work with an advisors, visit our team page to learn more about our advisors or visit the Contact Us page to schedule an initial consultation.
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