“You can’t take it with you” – how many times have you heard that?

It is an often misused expression used, usually in the context of a person amassing wealth or assets beyond their needs. It’s about intent, and that’s what building multi-generational wealth is all about: growing your wealth to pass it on to future generations.

However, we are not just talking about money and other valuables. There’s a lot more to it than that.

We are currently experiencing deep financial uncertainty in the West and around the world. Especially since the crash of 2008, we have been on an ever faster treadmill of debt.

Most millennials and Generation Z in America called home ownership the most important measure of success. However, they are increasingly being priced out of the housing market altogether. Two-thirds of non-homeowners mentioned affordability the reason they didn’t own a home.

There are, of course, several factors that contributed to this situation. It comes down to a total lack of focus on building generational wealth. Now we could put that at the feet of consumerism; far too much emphasis on immediate gratification, too little on the journey of life and delayed gratification for greater future rewards.

Related: Experts Share Tips on Overcoming Generational Inequality

Sure, that’s true to an extent. We buy on credit now more than ever (I’ll get to why that’s bad…but not why you think soon). We’re looking for shortcuts and results instead of journeys and experiences. But as with everything in life, the answer lies in more than one factor.

Right now we are experiencing the perfect storm of destabilizing geopolitics, recessions, war and cultural norms that are not favorable to multigenerational wealth.

We have cultivated this sense of wealth by going over what you can show to others. It’s all about the “flex” culture (as the kids say). But this belies the true nature of what it means to be rich.

What is wealth?

I’m not going to say something as predictable or demonstrably untrue as, “wealth has nothing to do with money.” That kind of platitudinal sound bite is also part of the problem. We do not hold ourselves responsible for what we say in public. Money is definitely a part of wealth, no doubt about it. But it also doesn’t give the full picture.

A “wealth” of something simply means that you have an abundant supply of it. For example, you may have a wealth of knowledge. It comes down to how good you are as a person and how valuable you can be as an individual to the wider community.

We have done ourselves a cultural disservice by emphasizing money. Not that this is some kind of anti-capitalist diatribe! After all, I’m a serial australiabusinessblog.com. However, we need to steer the conversation toward other forms of wealth to heal the current pain we find ourselves in.

Related: Health Is Wealth: How To Get Away From Busy Culture?

For multi-generational wealth, we need to take a more holistic approach to life

Millions of dollars in the bank won’t serve you if you have to sacrifice your mental wellbeing and time with your family (or any family, for that matter) to achieve it. My vision of multigenerational wealth is not about one generation falling on their proverbial sword to bring it about.

My approach is about breaking these “moulds” in which we are constantly trying to force ourselves. I want us to do away with the “cookie-cutter” approach altogether and really explore what we have to offer future generations beyond just accumulated capital.

Related: Successful Entrepreneurs Don’t Follow Mainstream Money Advice, And You Shouldn’t

Let’s start with money

Thanks to inflation, the money you leave behind for your children will be eroded by time anyway.

Our education systems across the West offer pitifully little education when it comes to money management. We must teach our children how to manage money properly if we are to build generations of wealth.

That starts with understanding the correct use of debt!

We are used to buying things on credit, usually after getting the ridiculous line about how it frees up your capital to make money. Considering the rates most retailers and third-party lenders charge, that’s total nonsense.

You will find me a savings account or investment portfolio that will give you a return equal to or greater than what they charge!

That said, we also need to avoid the trap of thinking that debt is inherently bad. It’s not. It just depends on how you use it.

Consumer debt (that is, buying consumables with debt) is a terrible idea because you are paying off debt on something that is losing value. Therefore, you can use your ability to pay off debt to essentially become a lender yourself, for example. This is how many other successful entrepreneurs and I earn a lot of money.

From an entrepreneurial perspective, educating your kids on how debt works is a huge step toward building generational wealth.

This means educating yourself – not a bad thing. I would encourage you to break for yourself the old habits and stigmas surrounding debt. Learn to identify the difference between consumer debt and debt you can leverage.

The most important advice I can give you as an australiabusinessblog.com to help you build a multi-generational wealth is to…

Find your ‘why’!

“He who has a why to live for can endure almost any how” – Friedrich Nietzsche

This is always the first point of contact for everyone I coach in business. Teaching your children is the most important thing if you want them to build on your legacy.

you should understand what drives you and why. That takes serious introspection and hard work. You will have to remove all programs that you have been given since you were a child that keeps you motivated by the desires of others.

We think that so much of what drives us comes from us. More often than not, however, we are driven by what someone else expects of us. If we don’t tackle this proactively, it leads to midlife crises.

The stark realization that we have less time left than we had makes all the things we’ve valued and how little we’ve actually done for ourselves come to a huge relief!

Don’t let that be the legacy you leave behind.

Get your head around the life you want to lead. Be an example for future generations and build up your resources (money, knowledge, health, energy, etc.) to serve you to the maximum.

Service to others ultimately builds up WHERE wealth, after all.