The only thing harder than becoming wealthy and rich is keeping all of your wealth and not losing. There have been many people who have become rich only to dwindle all of their money and lose it within a matter of a few years. Read on to learn how to protect your wealth and assets from people looking to take it away from you and how to make your assets last.
Avoid sharing with a lot of people that you are wealthy. This is hard to do and some people tip others off that they are sitting on a nice nest egg by flaunting their wealth. You can become the target of a conspiracy to get your money, or have people you don't want contacting you about getting some money out of you. Be careful. The smart millionaire is the one who keeps their wealth a secret and lives a low profile type of life.
Avoid making uneccessary purchases unless you absolutely need to. You don't wan't to dwindle all that money you worked for, on fancy cars, jewelry, and large houses. If you have enough money to do these types of things, then by all means go for it. But if you want to protect your money and not spend it foolishly, then avoid buying a lot of these types of luxuries. Its okay to buy some of these luxuries, just don't spend all of your money doing so.
Keep your money working hard for you. Money cannot grow at faster rates for you if it is in the bank or under your bed, but if it is invested in something like real estate or the stock market, it can potentially make you more money and double or triple or quadruple your wealth. You just have to be careful and be willing to take on risk when dealing with these types of investments because there's no guarantee your money will increase.
Another way to protect your wealth, is by buying commodities. The best commodity you could buy is gold. When the economy starts going south and there is economic turmoil, some investors start to stock up on gold as this is what backs most currencies around the world in general. You should make it a goal to have some of your wealth invested in gold. Gold has been around for thousands of years. A merchant around the world may not take your dollar or yen but he will accept your gold!
Teach your kids to be financially smart with their money and learn the power of money. Chances are, you probably going to pass your wealth on to your kids someday and you don't want them to blow all of it foolishly. Therefore, you should educate them on the importance of financial education and being smart with money.
Make it a point to get things that will protect your wealth like insurance, a lawyer, setting up a LLC or other types of entities, and making sure you have a good lawyer. This can help protect your wealth from creditors, scammers, or people who are looking to get a piece of your money.
These tips will help you protect your wealth if you apply them to your personal finances.