Children easily wasted inheritance. You can find a lot of sad stories all over the world especially in rich countries or even in Malaysia . It is like winning a lottery which is also can easily be wasted. Search over internet the examples such as in here and here. Don't believe it? Come to my short course and I will show the sad reality.
Parents work hard for wealth, yet children easily scoundrel all the wealth in a few years. Some wealth does not even survive to reach the 3rd generation. Children easily damage or lost the belonging bought by parents since the belonging does not paid by their own money: hp, smartphone, computer, car, watch, etc.
Children should be taught to work for what they want to own or use.
Never give anything for free unless it is necessary for life and education. These are parents obligation. Parents can force the children to work for the luxury they want or parents can teach the children by sponsoring part of the total cost.
To give anything without the children come out the money is spoon feed. It is a bad habit being reinforce with good rewards which is very bad. The bad habits will be accumulated until their adults. I have seen people who are depending on their parents wealth to build or buy their own house, buy a car and much more.
This is one of the reasons wealthy family inheritance easily gone by the 3rd generation.
It took another five years before I can afford to install the extended roof.
Originally, the house has four rooms. However, the master bedroom at the ground floor was demolished to expand the guest or guest room. The house still have a master bedroom at the top floor.
It is a 22' X 70', one and a half storey house. For RM144,300 in the year 2000, my friends said it was expensive. After 3 years, people who work in surrounding area were the ones who foolish not buying a house in the area.
First priority for parents is to teach children to understand the value of money.
How much time, energy or efforts should be equivalent to the object to be desired.
They should learn about raw material, level of different parties involvement, and appreciate the things they got.
Second, children should understand the meaning of hardworking rather than hoping for subsidy. Time and effort being spent to get something are sometimes more valuable than the things being obtained.
Thinking and creativity to achieve specific objective or target rather than immediate to get something.
Third, by understanding the values above children should appreciate other people's effort, energy and time to get something. This will make them understand the value of tenants, property agents or introducers. Without this understanding, it is hard to persuade other people to contribute to your goals.
Fourth, there is always alternative to money. Barter with what you have with what you want. In any economy collapse, bartering technique is very important such as happened in many countries such as USSR, Greece or even currently in USA. You should learn the Ferengi way in the Star Trek. Rules of acquisition!
HAPPY INVESTING!
