10 Things Billionaires Will Never Tell You
Most of the world’s richest people have never known any other way of life. Not surprising, they have some secrets about their wealth that they will never share with anyone.
Here is a list of some of the best kept secrets of the ultra rich, knowing them may not make you a billionaire, but it may help you on your way:
- They are just getting richer. Forbes magazine annually publishes a billionaire list, and in 2013, it recorded that the wealth of richest of the rich reached a record high. Even as the rest of the world struggles to regain after the recession, billionaires saw their net worth increase.
- Millionaires are no billionaires. The word millionaire just does not hold the same power anymore. To billionaires, even $10 million is considered at the low end of the high-net-worth. As the famous line from the movie The Social Network says “A million dollars isn’t cool. You know what’s cool? A billion dollars.”
- It is basically a boy’s club. Although women are making progress, 90% of billionaires are men.
- “I am smart, but I am rich because I got a head start.” The majority of billionaires are well-educated, but the truth behind their wealth is that they were born into it. Most are from upper middle-class backgrounds. As Sam Walton of Walmart riches says “The first trick to becoming a billionaire is being born a millionaire.”
- It’s like playing with Monopoly money. Although it is reported that most billionaires can be very cheap, after arguing over 50 cents, they will think nothing of spending $1 billion on a yacht.
- They are afraid of divorce lawyers. Divorce rates are actually very low among the moneyed set. Where the rest of the population sits around 40-50% of marriages ending in divorce, the ultra rich have a divorce rate of only 8%.
- You don’t get rich investing in stocks. Sure, there is money to be made there, but unlikely you’ll make billions. If you are a billionaire, your address is far more likely somewhere in Silicon Valley then on Wall Street.
- Think of it as avoiding, not evading. Taxes, that is. And who doesn’t try to minimize the amount of tax paid? Although the media likes to headline the rich when they are charged with tax evasion, and sure there is the odd unlawful tax fraud, for the most part, like the rest of us, the rich try to minimize the amount they are taxed.
- The family may hate me, but they love my money. Not all family disputes are about money, but clearly the ones involving the super rich prove that the love of money can be the root of all kinds of evil.
- Inheritance? Think King Lear. Most billionaire traditionally leave their fortune to their family. These days, however, a new initiative known as the “Giving Pledge” encourages the ultra rich to donate at least half of their wealth. To date, thirty have signed up. That’s a lot of dough!
If you want to join the ultra rich, or just retire in comfort, call us at 1-800-361-0941 and talk to one of our financial advisors and McDougall Insurance & Financial.