Young Millionaires credit inheritance as a major factor in their wealth creation.
Young Millionaires reached that level of wealth through a variety of methods, including the good fortune of being born to the right family.
A Spectrem’s Millionaire Corner report – 2013 Millionaire Investor: Changing Investor Attitudes and Behaviors – studied investors with a net worth between $1 million and $5 million not including primary residence. It showed that more so than older Millionaires, young Millionaires credited inheritance and family connections as major factors in their wealth position.
Forty-four percent of Millionaires under the age of 45 said “inheritance’’ was a major wealth creation factor in their lives, a much higher ratio than the 31 percent of all Millionaires. Thirty-five percent said “family connections’’ was a factor, and the average was only 8 percent.
The young Millionaires also reported the highest percentage crediting “luck’’, at 41 percent. Forty-one percent of Millionaires aged 55 to 64 also said “luck’’ was a factor.
Young Millionaires were significantly less likely than older Millionaires to choose other wealth factors, including “hard work” (85 percent to 94 percent overall) and “frugality” (67 percent to 80 percent overall).
Young Millionaires were more pleased with the events of the last year in regards to personal finances. Seventy-two percent of Millionaires under the age of 45 said “my financial situation is better today than it was one year ago. Only 60 percent of all Americans reported an improved financial outlook over the last year.
The optimism of youth was indicated in the report when Millionaires were asked about their national concerns. In every category, the young Millionaires expressed the least amount of concern: prolonged economic downturn (69 percent to 83 percent of all Millionaires), political environment (57 percent to 85 percent), national debt (58 percent to 80 percent) and terrorism (39 percent to 59 percent).
Asked to select their No. 1 national concern, 22 percent of young Millionaires chose an increase in interest rates as their biggest concern, far more than the average of 6 percent among all Millionaires.
Kent McDill is a staff writer for Millionaire Corner. McDill spent 30 years as a sports writer, working for United Press International and the Daily Herald of Arlington Heights, Ill. From 1988-1999, he covered the Chicago Bulls for the Daily Herald, traveling with them every day through the nine-month season. He also covered the Bulls for UPI from 1985-88, and currently covers the team for www.nba.com. He has written two books on the Bulls, including the new title “100 Things Bulls Fans Should Know And Do Before They Die’, published by Triumph Books. In August 2013, his new book “100 Things Bears Fans Should Know And Do Before They Die” gets published.
In 2008, he resigned from the Herald and became a freelance writer. The Herald hired him to write business features and speeches for the Daily Herald Business Conferences and Awards presentations.
McDill also writes a monthly parenting column for the Herald’s Suburban Parent magazine.
McDill is the father of four children, and an active fan of soccer, Jimmy Buffett and all things Disney.