There’s a big difference between getting rich and building wealth.Â Many people who aspire to become rich are fixated on living a life of luxury, buying expensive things, and takingÂ lavish vacations. Despite the perks, this type of lifestyleÂ can easily leave someone in debt if they live beyond their means in anÂ effort to “keep up with the Joneses.”
Building wealth, on the other hand, has the opposite effect. By investing in stocks and real estate, you can generate residual income that can then be passed down to your children.
In aÂ short video presented by New York Life,Â financial education specialist and Black Enterprise contributor Ashley M. FoxÂ shares five simple ways that one can build wealth.
“It’s very important for us to pass down generational wealth, not generational debt. The easiest way to do that is to do it through life insurance,” says Fox. “Most people don’t even want to talk about life insurance, but that money you’re paying for is tax-free money, which can be given to your kids’ kids.”
Ashley M. Fox is a former Wall Street analyst, a Howard University grad, and she is now an expert in her field as a Financial Education Specialist. She is the founder of Empify (merging of the words EMPower and modIFY), an education- based organization created to help both adults and children understand financial literacy.Â Â Since leaving her Wall Street career, AshleyÂ has becomeÂ an award-winning financial coach who has helped her clients collectively save and invest over $1.4mm. She is a highly-sought after speaker who has been featured on empowerment tours, college campuses, and keynote speaking platforms. She has been featured on Jim Cramer’s “The Streetâ€, Yahoo Finance, AOL, Philly.com, Huffington Post, and Glamour Magazine.