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Old 02-16-2014, 08:15 PM
 
Location: southern california
61,306 posts, read 79,536,424 times
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They never post about the dating scene ever
bek they are focused on earning money
They don t talk much about vacation bek they r working
If u see them here its bek they r retired
They are very focused on making money most people are not

Last edited by Huckleberry3911948; 02-16-2014 at 08:31 PM..
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Old 02-16-2014, 08:16 PM
 
140 posts, read 195,721 times
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Quote:
Originally Posted by markg91359 View Post
There is nothing wrong with scrutinizing how and why someone became wealthy.

First, you might learn from it and emulate the example in some way.

Second, some people derive wealth through illegal means (drug dealing, etc.) and that is everyone's business.

Third, it helps us evaluate our tax structure. If someone like Romney is paying 14% of their income as tax, its a clue that we need to revamp our system, so that he and those like him pay more.

Fourth, I will concede there are some people out there who may be guilty of "class envy" as you put it. However, many others aren't envious at all. We'd just like a full picture of what is going on in this country. Some things aren't right and eventually the pressure will build to fix them.

You want to know what is going on in this country?

The rich not paying enough is not the biggest problems or causes.

Job opportunities are globalized. The workforce is also globalized. This means a smaller fraction of Americans can find work or good paying work. The rich becoming wealthier is actually a RESULT of this, not the cause. It's easy to just look at the rich and say they are the problem. Envy or jealousy itself would do. But one must look beyond the superficial. The real reasons for such economic disparity must include globalization and automation. Without those two, the rich would be less wealthy and the disparity would be much smaller even if the rich don't pay much tax.

Of course, most people respond by blaming the rich and making them pay more. But as you will see, opportunities aren't here anymore. Taxation isn't magic.
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Old 02-16-2014, 08:23 PM
 
Location: Temporarily, in Limerick
2,898 posts, read 5,620,653 times
Reputation: 3424
I've known a handful (1/2-dozen or more) uber-wealthy people in my lifetime. I began thinking about this q & found most of them had a bit in common:

2/3 didn't graduate college. 1/3 dropped out after 1-2 yrs as they'd decided what they wanted/needed to do for work & just got on with it, not feeling as if a degree would matter in their chosen profession. Interestingly, those were the ones who had to pay for their own college.
1/3 couldn't afford college in their youth & had to work to support a poorer or father-absent family.
1/3 grew up very wealthy & although their fathers paid for their college in full, they did not help them financially afterwards. None of them went into the family biz, much to the fathers' dismay... perhaps why the dads wouldn't help them financially afterwards.
All of them worked for themselves, had their own biz's (most multiple & all catering to people with upscale incomes) & built their own careers, mostly 'blue collar' type careers... general contractor or real estate something or other being prevalent.
None of them got along with their fathers or siblings & all cut contact in adulthood.
All of them came from smaller families. 1/3 had 3 or less siblings. 2/3 were only children.

As younger adults, all married early, most had no kids, 1 had 1 child, all had a content stay-at-home wife who never worked, all were relatively content in their marriages. All eventually divorced... most are on their 3rd marriage with content stay-at-home wives, who've never worked & no, not trophy wives... all same-age spouses.
All are couple oriented & content to stay at home... the hopping mad night life wasn't for any of them... going out was once/wk & limited to high-end restaurants & theatre.
All of them took many vacations throughout the year, with no concern for expense.
Most drove modest cars. Only 1 was into high end cars & had multiples... he made lots of money by selling off his mint vintage cars when he tired of them.

Most made money by flipping houses (modestly at first, then $1M+ SFHs) or buying multi-family properties, upgrading to high end condos & renting them for $$$. All owned 3+ tenant buildings or SFHs... most more. All but 1 began buying properties in iffy 'hoods they thought would become gentrified... they were all right in their assumptions. None stopped that 'til the housing drop a few years ago & all but 1 ferried through... 1 lost most of his fortune but that was due to a nasty divorce & vindictive wife who spent everything before the divorce. He's still getting back on his feet & the only 1 who's lost multi-millionaire status at this point.
All made lots of money in annuities. Two were day traders & made millions on the side doing just that.
1/3 lost all their money in stupid over-spending (the ones who grew up uber-poor) & amazingly, built it all back up again in 6-12 mo's time. They never lost it again.

Personality-wise... all were fairly content people, dedicated athletes (mainly runners, but several were semi-pro in their 30s) & utilized every second of their time to the nth degree... I knew them all personally... I never saw 1 of them ever hang around the house brooding, waste time or act bored.
All had passionate interests... all had an important hobby they were dedicated to... playing instruments in a band, painting, amassing some sort of collection, acting. In fact, all were trained musicians (some earned livings at it in their youth), whether they still practiced or not.
None ever donated to any charity or volunteered time, ever.
None wasted unnecessarily... food, clothing, although all decorated their homes opulently & all dressed to the nines when going out.
All were non-religious in their adulthood, although all came from very, very strict religious households (Jewish, So. Baptist, Catholic).
All, save 1 were voracious readers, interestingly, mainly history or bios.

I personally think their personalities (striving achievers, go-getters, charismatic networkers), good marketing/sales skills & their relative contentedness in life in general contributed as much to their financial success as did making the right real estate decisions & investments. But, that's my assessment from afar.

Oh, & not one of them inherited anything... at least not before they'd made their multi-millions. They were all self made.
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Old 02-16-2014, 08:25 PM
 
3,325 posts, read 3,102,093 times
Reputation: 6383
Quote:
Originally Posted by james777
One should also remember that after Mitt Romney graduated from Brigham Young University, he entered a joint program of Harvard Law School and Harvard University Business School, studying toward a law degree and an MBA. He was able to take both programs and do well in them, which is very rare even for an Ivy League student. Those who graduate from such programs do not end up living in poverty.


Quote:
Originally Posted by simetime View Post
Also take into consideration that he did not have the burden of worrying about paying for his education either. For anyone who had to work their way through college knows that can have a great affect on your GPA


Yes, you are right. those who work their way through school almost always do better than those that get financial help from Mom and Dad. So Romney had that against him, which makes his accomplishments even more admirable.
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Old 02-16-2014, 08:43 PM
 
1,858 posts, read 3,218,182 times
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Specious reasoning, bordering on asinine. The children of the super-wealthy do far better coming out of college than those of more humble origins. Romney had nothing 'against him'.

Quote:
Originally Posted by james777 View Post
Quote:
Originally Posted by james777
One should also remember that after Mitt Romney graduated from Brigham Young University, he entered a joint program of Harvard Law School and Harvard University Business School, studying toward a law degree and an MBA. He was able to take both programs and do well in them, which is very rare even for an Ivy League student. Those who graduate from such programs do not end up living in poverty.






Yes, you are right. those who work their way through school almost always do better than those that get financial help from Mom and Dad. So Romney had that against him, which makes his accomplishments even more admirable.
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Old 02-16-2014, 10:00 PM
 
Location: The Land of Reason
13,241 posts, read 11,122,662 times
Reputation: 3549
Quote:
Originally Posted by james777 View Post
Quote:
Originally Posted by james777
One should also remember that after Mitt Romney graduated from Brigham Young University, he entered a joint program of Harvard Law School and Harvard University Business School, studying toward a law degree and an MBA. He was able to take both programs and do well in them, which is very rare even for an Ivy League student. Those who graduate from such programs do not end up living in poverty.






Yes, you are right. those who work their way through school almost always do better than those that get financial help from Mom and Dad. So Romney had that against him, which makes his accomplishments even more admirable.

Why because he did not have to work through school and even had the gall to suggest that regular Americans who want to go to school should just "ask their parents for the money". Please explain to me what makes him so admirable? Was it because instead of serving this country during the war he was able to go to Europe for religious purposes? Was it the fact through his religious beliefs that blacks were not quite human? Perhaps his wealth that amazes you and because of it he and his wife are so out of touch with the common man that she felt that it was "their turn" to live in the white house?
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Old 02-16-2014, 10:07 PM
 
Location: moved
10,422 posts, read 6,356,345 times
Reputation: 17557
Quote:
Originally Posted by PatanjaliTwist View Post
...
All of them worked for themselves, had their own biz's (most multiple & all catering to people with upscale incomes) & built their own careers, mostly 'blue collar' type careers... general contractor or real estate something or other being prevalent.

... All eventually divorced... most are on their 3rd marriage with content stay-at-home wives, who've never worked ...

...Most made money by flipping houses (modestly at first, then $1M+ SFHs) or buying multi-family properties, upgrading to high end condos & renting them for $$$. ...
With all due respect to the labor and ingenuity of the persons cited in the quoted post, these are not wealthy people. They are not corporate raiders, masters of quantitative finance, tech billionaires. The behaviors described in the quoted post are those of middle-class people who persevere (despite occasionally making unwise life-choices) and who attain a solidly successful outcome. But they're far from the genuine elite. For example, the genuine elite would not themselves flip individual houses. They would be partners in a discrete enterprise that owns or otherwise controls vast real estate holdings, from millions of rural acres to some of the toniest skyscrapers in midtown Manhattan, or Hong Kong, or Tokyo. They would neither know, nor care, which house or condo or rental-unit produces what income, or sells for what price; this is all handled by armies of intermediaries.
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Old 02-16-2014, 10:25 PM
 
Location: NE Mississippi
18,668 posts, read 10,988,876 times
Reputation: 26202
Quote:
Originally Posted by Pinkmani View Post
The inspiration for this thread started because I was curious on how Mitt Romney became so wealthy, so I looked it up and ran across this video on how private equities work (Bain Capital). From what I understand, a lot of his income is "investment income" and it came from capital gains. Since he had a lot of investment income, he could use the corporate tax write-offs, which is why he paid 14%. Compared to people like my parents who made $115k, and paid 22%.

So, if I'm understanding this correctly, is this how the 1% became so rich?
Kind of.
He got rich the same way we did. He put his money into retirement accounts and into appreciating real estate and growing companies (some of which he owned).

Most people act like he was paid in cash and then hid it in some mysterious way available only to the uber-rich. Horse pooky.
A lot of his income is, indeed, investment income. So? He bought stock back when it was cheap and never sold it. So now he gets paid dividends. That's the way it works for him, and the way it works for me, and the way it would work for you.

Back in 1980 I bought 3M stock in an IRA. I kept it until 2012 when I sold it. When I sold it I was getting a dividend equal to the amount of my original investment. Every year. When I sold it I got 16 times my original investment. Now I have found an investment where I believe I will get a 10 fold return in about 5-6 years, so I will have 160 times my original investment.
That's the way it works.

We still haven't paid taxes on most of our assets. Probably never will. We're not wealthy on the order of Mitt Romney, but we didn't have any trouble affording a nice vacation to Bermuda last year, either.

Think long term. Learn about money. You'll get there....
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Old 02-16-2014, 10:37 PM
 
Location: East Coast of the United States
20,858 posts, read 22,166,049 times
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Quote:
Originally Posted by ohio_peasant View Post
When I think of "wealthy", I think of $100M+.
Well, if some young person invested just $5 million in the S&P 500 in 1960 and left it alone, then it would have turned it into $150 million+ by today.

Looks pretty easy to me, at least conceptually. ;-)
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Old 02-16-2014, 10:44 PM
 
1,858 posts, read 3,218,182 times
Reputation: 2121
Quote:
Originally Posted by BigCityDreamer View Post
Well, if some young person invested just $5 million in the S&P 500 in 1960 and left it alone, then it would have turned it into $150 million+ by today.

Looks pretty easy to me, at least conceptually. ;-)
Considering that $5 mil in 1960 is the mere equivalent of $38.8 million in today's dollars, no reason you couldn't get started now. Chump change.
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