Personal finance gurus will preach from the high heavens that you can be a Millionaire at any income level. This statement should come with an asterisk. The reality is most minorities lack the same opportunity/access to generate the income levels needed to become a Millionaire based on income alone. Nor is it common to have a safety net of grandparents and parents who are financially well off and can provide financial security in the setting of an emergency. As minorities we are often our predecessors financial security. Our reality is that we can become millionaires, but it’s going to take a lot of f*****g work.
There are two components to the wealth equation: assets and liabilities.
Everyone loves assets. This is your income, the stuff you own that doesn’t lose value, and the stuff that makes you money. Who doesn’t love money?
However this part of the equation is rigged. If you don’t believe me, look at the percentage of minorities in the professions which earn the highest salaries in the US.
| Profession | Percentage of Underrepresented Minorities |
| Lawyer/Attorney | 15.2% |
| Dentist | 10.1% |
| Pharmacist | 12.1% |
| Physician/Surgeon | 11.3% |
| Software Engineer | 6.82% |
These numbers are terrible but guess what, we are still going to succeed. WE need a good plan of attack.
OUR REALITY and OUR PATH to creating generational wealth, is plain and simple: We CANT KEEP UP WITH THE JONESES.
Your neighbor has a new Range Rover? Who cares?
You don’t need to justify being neighbors with them or try to impress/one up them by obtaining a depreciating asset. Real money doesn’t flaunt it and our goal is real money (aka Generational Wealth).
Our plan to obtain generational wealth is going to focus on limiting our liabilities and avoid purchasing depreciate assets which don’t bring a priceless joy to our lives.
To do this, we have to aggressively attack debt, save generously, invest wisely, and live comfortably. This is a delicate balance. If your chosen profession has a max salary of 50K, it’s time to level up my friend or find other sources of income. If this isn’t possible it’s time to get smart about your money.
First question to ask: where can you save? You should have an idea of these areas based upon the budget you developed( Don’t have a budget?). Once you’ve identified those areas, cut back and start saving and investing aggressively.
Think about it this way. If you spend an average of $30.00 per week at a restaurant for lunch, that equates to $1440.00 per year which could be saved/invested. We are not telling you to cut back 100% on the things you enjoy. We understand some folks are able to do that. Rapid change is not comfortable for anyone and learning to live on a budget takes time. Ultimately it’s okay to occasionally eat at a restaurant for lunch, especially if those lunches provide much needed stress relief in your day. Just know cutting the trips in half, saves you $720 per year. That’s a significant amount of money for just one budget item. Now imagine if you find multiple items which you could cut back on?
As always if you have questions or concerns regarding creating an emergency fund, investing, real estate, insurance, or planning for the future, don’t be afraid to speak with qualified financial advisor. Smart Asset has a great tool to find an advisor in your area or feel free to email me (contact@surgifi.com) to help you on your path to financial independence.
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