Jemal Webb writes a series of articles for parents encouraging us to get our heads out of the sand and stop thinking of our children’s future in the abstract. Raising/Creating millionaires has a lot less to do with the choices that they will make for themselves but the legacy that we will leave our children.
Most millionaires under 30 have gained their wealth the old fashioned way – they inherited it. We have an obligation to leave a legacy for our children and to couple that with a strong education, entrepreneurial spirit and financial acumen.
I am not a financial advisor and I have not checked his numbers or verified the compound interest rate but his basic premise is this…
If you contribute:$5,000 a year (which is really…)$96.15 a week (which is really…)$13.74 a dayto a Roth IRA in your child’s name from the time they start working at the age of 12 through college AND LEAVE IT THERE; your child will have $6.1 million dollars when he or she retires at age 65 (assuming 10% annual growth). BELIEVE IT. Here’s how to make your child rich:
Open a Roth IRA for your kid as soon as they start working. They must have some type of income to open a Roth IRA. Allowance, birthday money and savings accounts don’t count.
Make a commitment today to building a legacy for your children. It will make a significant difference for generations.
To read more from Jemal click here…