My Financial Independence Legacy

I am a product of those who came before me. I am second generation FI. My peculiar way of looking at finances, and my path to financial freedom have grown over years of watching and learning from my parents. My skills and philosophies regarding money have been handed down to me from earlier generations. My parents have taught me most of what I now know today. This is my financial independence legacy. A legacy that I hope to also give to my children.

But what did they teach me? What magic formulation did they pass on?

While I couldn’t condense everything into a short blog post, a few key points stand out.

Live to Work, Not Work to Live

Growing up, I had three parental figures. My mother and father (who died when I was eight), and then my stepfather. Although very different people in almost every aspect, my parents shared one thing in common. They all loved their jobs. They were innovators and creators, employers and business owners. Each had a passion for their chosen line of work.

The thing about loving your job, you tend to be magnificently successful. This success takes on a life of its own, and may well lead to financial profits. My mother, for instance, ran her own accounting firm. Towards the end of her career, she actually kept increasing rates to try to slow her practice down. Her clients, however, always agreed to pay more and more.

My stepfather was a business creator and a healthcare innovator. Years after he retired from his formal position running a large company, he still is busily consulting and taking on new projects.

My financial independence legacy is to love my work. If I can manage that, financial independence will always happily be plan B.

Example Is The Best Teacher

You may not believe it, but my parents really never taught me about finances. They didn’t instruct me about investing. Instead, they led by example.

More than any lecture about financial savviness, I watched for eighteen years as my parents deftly maneuvered through careers, real estate holdings, and investing. I watched them create businesses. I watched their successes and failures, hopes and dreams.

By living through their shining example, I learned how to negotiate the business world. If they had tried to teach these lessons more formally, they would have fallen on deaf ears. My adolescent brain had settled on doctoring as my future path, I was oblivious to finances or investing. Yet, I was learning the whole time. I just didn’t know it.

We Always Had Enough, But Never Too much

The financial independence legacy from my parents that I especially hope to pass down to my own children is the notion of extravagance. We never grew up with extravagance as children. Although my parents were generous enough to pay for the basics as well as education, we didn’t live the high life. All of us children had jobs as soon as we were old enough.

There is a fine line between comfortable and spoiled. I believe that the fact that my parents knew the difference was critical for the long-term well-being of my siblings and I.

In Conclusion

My financial independence legacy from my parents is one of the main reasons I am successful today. This legacy was taught over many years, and often without me even realizing. I grew up with the idea that one should love their job, that extravagance is unnecessary, and that I should teach my children by example.

I hope to provide my kids with the same good habits as they grow and mature.

It’s a much better scaffolding for their long-term wealth than just leaving them a pile of money.