Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Your friend seems more "new money" than "old money", at least in lifestyle. Most old money find it in bad taste to flaunt their wealth, likely would not live in a McMansion, and would probably drive something more understated like a Lincoln. They might pay for house cleaning, though. Being fairly well connected because of their family history and name, they probably wouldn't have to pay for a lot of things that others might and would probably have a nice summer home somewhere that was long paid off and has remained in the family (along with a legacy private club membership).
Most of the "old money" friends that I have had over the years do NOT spend ridiculous amounts of money on trivial purchases. They have more respect for money than that.
They also do NOT focus a great deal on frugality.
They Do focus on activities that will make them more money "down the road" like education, developing relationships with people of similar values and the like.
One of my closest friend come from "old money" family. They came from abroad and used to be very wealthy. How wealthy? With their own plane and pilot kind of wealthy. Due to political reason, the money was long gone. Both parents passed away now. No inheritance.
Anyway, he's in his early 40 now. With a huge McMansion, 1 part time maid, 2 fancy cars. Never anything worse than BMW. He owned a porsche too. Worked on similar management position as me(make about the same money). We sometimes talk about cars, financial stuff, our kids etc.. He don't cook, like to eat out, 2 big vacations every year with the whole family (Europe, Far East, cruise etc). Oh, he recently got a lease of a brand new BMW too. "Return the car when the lease is done, no need to worry about car breaking down.." He said. He told me he don't save a lot for retirement, $200-300k maybe.
He doesn't know my net worth and he always think I am poorer because the way I save and never seem to buy a newer car all these years. He rather enjoy it now than delaying until retirement 'cos "God knows if I'll still be around to spend it". I don't blame him. He witness the ups and downs from super rich to being average joe like me. He likes to talk to me a lot. Deep down, I think he want to see how average people save without his necessary luxuries. I feel like he asked because he wants to see if he can live that way too. Once I said I never have a maid, do my own laundry, no house cleaning lady, driving the same car for 14-15 years kind of scary him away.. He's a good friend and the only friend coming from true "old money" family. I am trying to dial him down a bit to more or less like us average joe, save a little more for the future. We'll see.
With a "huge McMansion" a maid, and his fancy cars and eating out, it doesn't seem to me that "the money was long gone".
I agree with him about enjoying his money now instead of later, and for the same reasons. Are you sure that "true old money"s not still alive and active?
He doesn't sound like he even cares to know how the "average joe" lives.
Sometime drop the comment about how much you have put away for retirement, and discuss some of the nightmares you have seen from folks who haven't put away enough.
Excellent point. Those stories are all over the place. I know of several in my small circle of friends.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Are you sure that "true old money"s not still alive and active?
Those stories are all over the place. I know of several in my small circle of friends.
