4 ms·

From what I've seen, amassing riches is either a weird game to people, the means to a lifestyle they truly crave (status, luxury, ...), or an unhealthy obsessio

by fhd2 3y ago

From what I've seen, amassing riches is either a weird game to people, the means to a lifestyle they truly crave (status, luxury, ...), or an unhealthy obsession with security (both for themselves and their offspring). I was, maybe still am, in the last bucket. But I'm starting to realise that security is a quite mythical thing - you can always think of more risks and counter measures, at least at the point I got to. Now I'm thinking the thing I truly need, and want to pass on to my children, is the ability to adapt to changing circumstances and stay resilient.

InCacheOnly 3y ago
I've had a very similar realisation recently. A lot of what I spent the last 5 years doing has largely been to reach a state of security where I feel I 'no longer need to worry'. Due to a death in the family, an unfounded health scare and a rather paranoid money scare it's been made quite clear that this utopia of 'secure' does not exist no matter what I do. It has lead to a reduction in stress in some ways since the pressure to maintain everything and keep it safe is less if 100% confidence can never be reached so chasing it is pointless. I don't know if you've had a similar experience but I'm currently at the stage of re-evaluating what I value since if some things (like wealth and health) are unavoidably temporary then the sacrifices I'm willing to make to maintain them are less than if they were assured or permanant. I'd be curious to know how this has effected your outlook on life as I'm just starting with this now and it has certainly left me a bit lost. Although I don't think that's a bad thing. Sorry for the slight ramble, just been very much on my mind at them moment.
- fhd2 3y ago
  Sorry to hear that! I have a positive outlook. I deal with the problems I encounter and enjoy the little things. This year was pretty good, I pulled off some stuff I didn't know I could do. Now I feel more confident that I can deal with lots of things life'll throw at me (not everything of course). Happy to chat some more outside a public comment thread :D There's an email address in my profile.
lotsofpulp 3y ago
Security is not mythical, at least in the near to short term, enough time for your kids to grow up. Passive income from $10M would secure access for 99% of food, water, heat, shelter, education, transportation, healthcare, retirement, and legal costs. $5M will get you most of the way there too.
- InCacheOnly 3y ago
  But what if you are sued due to something completely out of your control and lose your wealth? Or face a medical problem that requires expensive treatment not covered by your insurance or government healthcare? Or your investments fail, the USSR fell very quickly risking pensions people relied on, the roman empire fell. US investments could too; I mean they kinda did in the early 1900's, recovery from that took time. I'm not saying any of these things are likely to happen (they really aren't and I'd be supprised if any did in the next 100 years). But they could so any amount of security money offers is limited and not certain. I suppose it depends if you would equate security and certainty to the same thing? I certainly did but wouldn't now. I wager you don't since you said 99% not 100%.
  - lotsofpulp 3y ago
    > But what if you are sued due to something completely out of your control and lose your wealth? You will be able to afford lawyers, and the US justice system is not so corrupt that you would lose millions of dollars for no reason. Don’t drive drunk, don’t operate a business, and buy umbrella insurance and you should be fine. Biggest risk would probably be divorce, or accusations of abuse from within the family. > Or face a medical problem that requires expensive treatment not covered by your insurance or government healthcare? This also sounds super rare as health insurers are legally required to cover all evidence based healthcare, and there is an appeals process for denied coverage. As long as you can afford the premiums and annual out of pocket maximum, which are legally at most $40k to $50k per year for a family, you should be okay. Of course, you might have to pony up an additional $10k to $20k to buy concierge care/direct primary care to buy timely access to actual doctors rather than see a Nurse Practitioner or Physician’s Assistant, but your passive income from $10M should suffice. > Or your investments fail, the USSR fell very quickly risking pensions people relied on, the roman empire fell. US investments could too; I mean they kinda did in the early 1900's, recovery from that took time. If $10M in the US invested in broad market low cost index funds backstopped by the federal US government is not secure enough for you to relax, then it might be impossible to help you feel sufficiently secure because this world does not offer many better guarantees. > I suppose it depends if you would equate security and certainty to the same thing? I certainly did but wouldn't now. I wager you don't since you said 99% not 100%. I do not know what the purpose of distinguishing security and certainty would be in this context, they seem interchangeable. And since nothing in life is 100%, 99% is a way to convey “all the security that is realistically obtainable”.

by fhd2 3y ago

InCacheOnly 3y ago

I've had a very similar realisation recently. A lot of what I spent the last 5 years doing has largely been to reach a state of security where I feel I 'no longer need to worry'. Due to a death in the family, an unfounded health scare and a rather paranoid money scare it's been made quite clear that this utopia of 'secure' does not exist no matter what I do. It has lead to a reduction in stress in some ways since the pressure to maintain everything and keep it safe is less if 100% confidence can never be reached so chasing it is pointless. I don't know if you've had a similar experience but I'm currently at the stage of re-evaluating what I value since if some things (like wealth and health) are unavoidably temporary then the sacrifices I'm willing to make to maintain them are less than if they were assured or permanant. I'd be curious to know how this has effected your outlook on life as I'm just starting with this now and it has certainly left me a bit lost. Although I don't think that's a bad thing. Sorry for the slight ramble, just been very much on my mind at them moment.

fhd2 3y ago
Sorry to hear that! I have a positive outlook. I deal with the problems I encounter and enjoy the little things. This year was pretty good, I pulled off some stuff I didn't know I could do. Now I feel more confident that I can deal with lots of things life'll throw at me (not everything of course). Happy to chat some more outside a public comment thread :D There's an email address in my profile.

lotsofpulp 3y ago

Security is not mythical, at least in the near to short term, enough time for your kids to grow up. Passive income from $10M would secure access for 99% of food, water, heat, shelter, education, transportation, healthcare, retirement, and legal costs. $5M will get you most of the way there too.

InCacheOnly 3y ago
But what if you are sued due to something completely out of your control and lose your wealth? Or face a medical problem that requires expensive treatment not covered by your insurance or government healthcare? Or your investments fail, the USSR fell very quickly risking pensions people relied on, the roman empire fell. US investments could too; I mean they kinda did in the early 1900's, recovery from that took time. I'm not saying any of these things are likely to happen (they really aren't and I'd be supprised if any did in the next 100 years). But they could so any amount of security money offers is limited and not certain. I suppose it depends if you would equate security and certainty to the same thing? I certainly did but wouldn't now. I wager you don't since you said 99% not 100%.
- lotsofpulp 3y ago
  > But what if you are sued due to something completely out of your control and lose your wealth? You will be able to afford lawyers, and the US justice system is not so corrupt that you would lose millions of dollars for no reason. Don’t drive drunk, don’t operate a business, and buy umbrella insurance and you should be fine. Biggest risk would probably be divorce, or accusations of abuse from within the family. > Or face a medical problem that requires expensive treatment not covered by your insurance or government healthcare? This also sounds super rare as health insurers are legally required to cover all evidence based healthcare, and there is an appeals process for denied coverage. As long as you can afford the premiums and annual out of pocket maximum, which are legally at most $40k to $50k per year for a family, you should be okay. Of course, you might have to pony up an additional $10k to $20k to buy concierge care/direct primary care to buy timely access to actual doctors rather than see a Nurse Practitioner or Physician’s Assistant, but your passive income from $10M should suffice. > Or your investments fail, the USSR fell very quickly risking pensions people relied on, the roman empire fell. US investments could too; I mean they kinda did in the early 1900's, recovery from that took time. If $10M in the US invested in broad market low cost index funds backstopped by the federal US government is not secure enough for you to relax, then it might be impossible to help you feel sufficiently secure because this world does not offer many better guarantees. > I suppose it depends if you would equate security and certainty to the same thing? I certainly did but wouldn't now. I wager you don't since you said 99% not 100%. I do not know what the purpose of distinguishing security and certainty would be in this context, they seem interchangeable. And since nothing in life is 100%, 99% is a way to convey “all the security that is realistically obtainable”.