In the realm of personal finance, discussions often revolve around immediate financial goals: saving for retirement, paying off debt, or investing for the future. While these objectives are undoubtedly crucial, there's another dimension of financial planning that often gets overlooked: generational wealth. Beyond the tangible assets and financial security it provides, focusing on generational wealth can significantly impact mental wellbeing. In this post, we'll explore the psychological benefits of prioritizing generational wealth and how it can help families contribute to a sense of security, purpose, and legacy.

Photo of a black family on the front steps of their house representing an avenue to build generational wealth and wellbeing supported by a certified financial therapist in California who specializes in financial wellbeing.

Building a Legacy

Generational wealth isn't just about accumulating money to pass down to future generations; it's about establishing a lasting legacy. For many individuals, the desire to leave a positive impact on their family's financial future can instill a profound sense of purpose and fulfillment. Knowing that your financial decisions today can create opportunities and security for your children, grandchildren, and beyond can provide a powerful sense of meaning and motivation.

Moreover, focusing on generational wealth encourages individuals to think beyond their immediate needs and consider the long-term implications of their financial choices. This shift in mindset can lead to more intentional decision-making, fostering a sense of control and empowerment over one's financial future.

Security and Stability

One of the most significant mental health benefits of generational wealth is the sense of security and stability it provides. Financial stability is closely linked to overall wellbeing, as it reduces stress and anxiety about the future. Knowing that there are resources available to weather unexpected challenges or emergencies can alleviate a significant source of worry.

Moreover, generational wealth can serve as a safety net for future generations, offering them a sense of security and opportunity. This assurance can translate into improved mental health outcomes, as individuals feel more optimistic about their prospects.

breaking the cycle

Focusing on generational wealth also presents an opportunity to break the cycle of financial instability and insecurity that may have plagued previous generations. By prioritizing financial education, responsible stewardship, and long-term planning, families can set future generations on a path to greater prosperity and wellbeing.

Breaking free from the constraints of intergenerational poverty or financial hardship can have profound psychological effects, boosting self-esteem, confidence, and resilience. It empowers individuals to rewrite their family's financial narrative and create a brighter future for themselves and their descendants.

strengthening family bonds

Generational wealth isn't just about money—it's also about the values, traditions, and relationships that are passed down through generations. By engaging in discussions about financial goals, values, and responsibilities, families can strengthen their bonds and cultivate a sense of unity and shared purpose.

Open communication about money can help foster understanding, empathy, and trust within families, leading to healthier relationships and reduced conflict. Moreover, involving family members in financial planning processes can provide a sense of ownership and accountability, fostering a collaborative approach to building and preserving wealth.

A photo of a mother and child choosing fruit at a store represents aligning their spending with their values and teaching those messages daily.

Father holding son up to the mirror to brush teeth supporting good habits from financial therapy. A financial therapist in California can build good financial habits leading to financial wellbeing.

A photo of a Mom and daughter connected and looking at a computer looking at online shopping teaching needs vs wants.

A couples view of tennis shoes looking out on the horizon represents the potential and choices that building generational wealth brings to couples and families.

Learn how working with Koru Financial Therapy in California can help families navigate generational wealth and strengthen family bonds.

Facilitating Family Communication
Managing Expectations
Addressing Family Dynamics
Educating Heirs
Preparing Heirs for Stewardship
Promoting Financial Mindfulness
Conflict Resolution

Additionally, there are many aspects to building generational wealth. Read additional lifestyle BLOG posts from Next Gen Wealth and Wellbeing to learn practices today that you can apply to start building generational wealth with your family and your kids.

Building Generational Wealth: Practicing Financial Skills at Home

Building Generational Wealth: Learning Financial Skills to Build Wealth

Building Generational Wealth: How to Start Talking about Money with Your Kids

fulfillment and satisfaction

Finally, focusing on generational wealth can contribute to a greater sense of fulfillment and satisfaction in life. Research has shown that individuals who prioritize long-term goals and invest in experiences rather than material possessions tend to report higher levels of happiness and wellbeing.

By shifting the focus from immediate gratification to long-term legacy building, individuals can derive greater satisfaction from their financial choices. Whether funding a grandchild's education, supporting charitable causes, or preserving family heirlooms, generational wealth allows individuals to leave a lasting imprint on the world.

In conclusion, while the pursuit of generational wealth may seem daunting or abstract, its impact on mental wellbeing cannot be overstated. By prioritizing long-term financial planning, establishing a legacy, and fostering open communication within families, individuals can experience greater security, purpose, and fulfillment in life. Generational wealth isn't just about money—it's about building a brighter future for ourselves and those we love.

Want to learn more about getting support for generational wealth with Koru Financial Therapy?

Explore the Koru Financial Therapy BLOG which offers information, support, and tips on how financial to build a healthy relationship with money.

To access Koru Financial Therapy services which include individual, couple, family, or group sessions, follow the steps below:

Reach out to schedule a free 20-minute phone consultation.
Speak with Mariah, a certified financial therapist.
Start your journey to growth, strength, and peace.

Financial Therapy topics can include, building generational wealth, financial infidelity, neuro money, financial PTSD, financial caregiving, or enmeshment, amongst many others.

about the author

Mariah is a passionate advocate for holistic financial well-being, believing that true prosperity extends beyond mere monetary accumulation. Mariah has dedicated her career to helping individuals and families navigate the complexities of personal finance while prioritizing mental health and emotional fulfillment.

As a Certified Financial Therapist at Koru Financial Therapy in California, Mariah specializes in guiding families toward a deeper understanding of generational wealth and its profound impact on mental well-being. Her approach combines practical financial expertise with therapeutic techniques, creating a supportive environment where clients can explore their financial goals, values, and fears with empathy and understanding.

Mariah's commitment to empowering families extends beyond the realm of traditional financial planning. She believes that by fostering open communication, managing expectations, and promoting financial mindfulness, families can build stronger bonds and create a legacy of prosperity that transcends generations.

Mariah also runs a coaching program, Next Gen Wealth and Wellbeing, where she shares her insights and expertise on building generational wealth through practical, actionable strategies. Her engaging writing style and wealth of knowledge make complex financial concepts accessible to readers of all backgrounds, inspiring them to take control of their financial futures and invest in a legacy of fulfillment and satisfaction.

Connect with Mariah on LinkedIn to learn more about how you can navigate generational wealth and strengthen your family's financial legacy.

Photo by Any Lane

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The Mental Wellbeing Benefits of Focusing on Generational Wealth