Many
wealthy people worry about the potentially corrosive effect of making their
children superrich. Not Larry Ellison. The Oracle founder and CEO, the third
richest man in the United States — worth $43 billion, according to FORBES’
latest estimates — has never pretended that his son David, 30, and daughter
Megan, 27, were anything but trust fund babies.
What comes to mind when you hear
the phrase “trust fund baby”? Over privileged, lazy, easy-breezy life? Trust
fund babies get a bad rap from pop culture. Many people think these kids are
spared character-building inconveniences. Nevertheless, character is neither a
function of personal wealth, nor is it necessarily deterred by it. In fact, an
inheritance just may give your heirs the tools to do great things.
A recent article in Forbes is a case in point. The article
titled “Larry Ellison's Trust Fund Babies”
considers the family of Larry Ellison, the third richest man in the United
States and longtime rival of Bill Gates for those top few spots. It seems the
Ellison children, Megan and David are doing quite wonderful things as trust
fund babies. Both film producers and financiers of some note these days.
“The sooner my kids get experience dealing
with the pluses and minuses of having a lot of money, the better” Ellison is
quoted to have said.
So what does this mean to you
and your heirs?
With the Ellison family we find
one more example of denying extravagant inheritance for purposes of
dissipation. Bill Gates is yet another example.
What about you? Do you believe
giving money helps provide tools to grow or does it stunt growth? What lessons
or tools will you leave to your loved ones and what will those mean to them? #EstatePlanningTorrance #Inheritance #Trusts
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Reference: Forbes (June
5, 2013) “Larry Ellison's Trust Fund Babies”