Updated: Oct 7, 2020
Building Generational Wealth is rarely spoken of in homes throughout America! But in truth it should be taught in EVERY grade level, starting in elementary school!
We are hearing more and more about the importance of Building Generational Wealth, these days. But not too long ago it was rarely even spoken about in many American families!
But building generational wealth is so very important to the economic survival of our families it, should be on every parent’s agenda! Heck, building generational wealth should be taught beginning in elementary school. Because the younger we start, the more we can amass using the “magic” of “compound interest.” Once we reach 40 years old and older the rate of growth of “compound interest” slows down dramatically.
Many people do not understand the power of “compound interest” which is “the addition of interest to the principal sum of a loan or deposit, or in other words, interest on interest.” The simpler definition of compound interest “is the result of reinvesting interest, rather than paying it out.” The interest will earn interest in the next period and will be added to the principal sum plus previously accumulated interest.” The longer the “interest on interest” is allowed to accumulate the faster the money grows.
Compound interest is standard in finance and economics and even small deposits to a savings account or investment fund will add up over time. An effective strategy to build and accumulate wealth is the consistent investing over a long period of time. There are many applications that allows anyone to calculate compound interest. The compound interest formula requires you to know your Starting Balance, the total number of years you are planning to save or invest, and the Rate of Return on your savings.
Two factors in the formula can be controlled, the “Starting Balance and Rate of Return.” Once you reach a certain age the “total number of years you will invest or save” is a factor that becomes uncontrollable. Therefore, when using the compound interest formula, the sooner you start saving or investing, the more money your money will earn.
If you are 40 or older the clock is ticking on how much money your money can make, but all is not lost.
The starting amount can always be increased, and the best Rate of Return can be negotiated. There is even greater news, there are other alternatives that can be used by people in their 40s, 50s, 60s, and older to begin building generational wealth that will allow them to see a faster and higher rate of return. This can be done using very small amounts of money thanks to the power of collective savings and investment.
Pooling financing is a very effective wealth building strategy that has been used by banks, investment firms, mortgage companies, 401k and other retirement programs for many year. Collective savings and investment allow a group of people to invest in a joint portfolio called a mutual fund. The definition of a mutual fund is an “open-end professionally managed investment fund that pools money from many investors to purchase investments.”
These investors are generally corporations, banks, investment groups and are usually institutional in nature. Investing in mutual fund accounts usually require start amount that are too high for many individuals to afford. However, as people have started to understand the true power of collective savings and investing more individuals are beginning to come together as private groups in order to reap the benefits once reserved for high income, wealthy individuals, and corporations.
Generational Wealth Empowerment Network is making these investment and savings opportunities available for people for as low as $35 per month! The beauty of the program is the built-in business development, credit repair, and real estate training programs that each participant receives as a part of their membership!
That’s right, the Generational Wealth Empowerment Network allows members to build collective wealth while learning skills that will increase their income, as well as improve their credit for as little as $35.00 per month.
You can get more information on how we help people who may have missed the greatest compound interest earning years, to still build generational wealth. Visit us at Generational Wealth Empowerment Network and get more information and get your “FREE” copy of How to Build Generational Wealth in 1 Year or Less. You can also attend a live Q & A Zoom meeting which are held every Friday night at 8:30 pm EST!