How the Rich get Richer – Particularly in the Afterlife

How the Rich get Richer – Particularly in the Afterlife

It is said that most people don’t get serious about wealth-building until they are in their ’30s. But this is where most rich people are different. They start early in their ’20s.

I used the term ‘rich’ rather loosely here. I don’t mean ultra-rich like Elon Musk, Mukesh Ambani, or Jeff Bezos, I mean anyone who has created wealth that allows them to be monthly-salary-independent.

So when you are working on your financial plans, you should consider how you can continue building wealth – even after you are six feet under – for your descendants. Many of the richest people in the world, living and dead do this and it just seems like even past their death, they continue to build and give wealth. How?

Today, I am going to share six ways the rich use to keep getting richer – even after they have left this plane of existence. 

1. They diversify their income

It is a known fact that the rich have multiple streams of income.

Passive income, multiple businesses, their hands in the company cookie jars – rich people figure out all the ways they can make money and go after the ones that work best for them.

By diversifying your income now, you can have plenty of time to establish it so that you and your family will just keep making money after you die. 

If you are young and have a good risk appetite, you can trade in stocks and diversified equity mutual funds. If you are risk-averse, invest in an Index-based mutual fund and safer instruments such as PPF and NPS.

The earlier you start and the more you diversify with time, the higher your chances of attaining financial independence and multiplying wealth.

2. They acquire assets

Businesses make acquisitions all the time and you should also follow the same path.

Of course, you don’t have to go around spending billions. Make small acquisitions that can last a long time. Think more in the realm of rental properties or small businesses.

Again, if your risk appetite permits, you can become an angel investor and explore crowdfunding platforms such as Republic or OurCrowd. From investing as little as $100 to as high as $10,000, you may own yourself a piece of a cutting-edge tech company.

A great example of acquiring assets to help your wealth grow is in the case of American entrepreneur Thomas Mellon.

After investing in coal and real estate during the 1860s, he created Mellon Bank and passed his company and fortune to his children. Afterward, his descendants invested in other companies, acquiring their own assets. Mellon Bank and the family that owns it currently has a net worth of $11.5 billion.

The goal is to have your assets build wealth and value over time – so that when you pass, your family can benefit from that wealth when they are eventually sold. 

3. They evade debt

This is one of the most important – anything that is with you financially when you die is left to your survivors. And, this includes debt.

It doesn’t matter if you are giving them passive income and money-making properties if they end up taking over your hundreds of thousands of dollars in debt. 

Getting out of debt in general is a good idea – one way to begin your journey to being debt free is to set up a budget to see how much you can contribute to your debt payback every month. Gotta start somewhere, right? 

4. They play the Stocks Game

One of the most commonly asked questions about personal finance is – “Should I invest in stocks?” And the answer is always yes – you just have to be smart about it. 

Many rich people – if not all of them – have money in stocks. They have advisors that guide them on what to buy and what to sell.

This goes hand-in-hand with diversifying your income – it is a great way to add a parallel income stream to your portfolio. However, let me issue a caveat here. Stocks investing is a serious business, you can lose money as quickly as you can make it.

At the same time, investing with due diligence can help generations with money that would otherwise not even exist. Plus, as a shareholder, you and your family can potentially receive dividends for being invested in certain companies. 

5. They create a plan for money after death

This is the most important step to making money from beyond the grave.

Be sure you have a will in place for who exactly will get what, and who has control over your wealth after you die.

How the Rich get Richer – Particularly in the Afterlife

The most common process of this is called an Estate Plan. In this, you will make a will, consider living trusts, write out your wishes for your health care, claim a financial power of attorney, secure protection over your children’s property, secure life insurance, and other important steps to insure your family has the least amount of financial headaches as possible after death. 

The American surgeon and businessman Homer Stryker took this into consideration when he started his company, Stryker Corporation.

Because of his preplanning and getting his finances in order, his three grandchildren inherited their own stakes in the company in 2017 – a total of $12 billion in sales. The company is currently worth $11.1 billion, and the Stryker family is in the top 25 wealthiest families in the United States. 

So, instead of cursing the wealthy who are no longer with us about how they could possibly still keep accumulating money while you’re left to work to the bone, consider these methods.


There had to be someone just like you who had an idea and a plan at one point in these families. The only difference is that they executed the plan, and now their families can comfortably reap the benefits for generations to come. 

Have you taken steps to build generational wealth? Do you have a family that you’ve started building trusts for or have plans for your finances?

Which way of building generational wealth did you like the most? Let me know in the comments below! 

Published by Amitesh Jasrotia

Dreamer. Bibliophile. I love to read business books and research papers. Taking notes is a habit and self-improvement is an obsession. I love hanging out at bookshops, libraries, and museums.

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