The Power of First-Generation Wealth Builders

When we talk about first-generation wealth builders, we are acknowledging a group too often forgotten and dismissed by traditional financial services. A community that is learning to save and grow money for the first time in their family, changing their family tree and embracing the power of financial independence. To be First Gen comes with the unique strength of understanding the value of a dollar and recognizing the incredible power of changing your life with the right money knowledge and mindset.

Understanding First-Generation Wealth Builders

First-generation wealth builders are individuals who come from families without established wealth. First Gens work or earn money to care for themselves and sometimes to support their families as well. They are not trust fund beneficiaries, ongoing cash gift recipients, large heirs or otherwise financially covered by someone else. It is as simple as that. That is to say, most people are First Generation Wealth Builders. But why do we never hear about them or see offers for effective financial services marketed to First Gens, services that they too very much need?

Still today, to receive financial planning services at many firms there are often high-barrier requirements such as $250,000 in personal invested assets. Sometimes the minimums are even as high as in the millions. For the firms that do not have investment minimums, there may be minimum fees of $10,000+/year. This fee may genuinely be appropriate for very complex, time-consuming planning cases, but that does not apply to most people. These sorts of high-barrier practices put crucial financial planning services out of reach for most people, effectively maintaining the status quo and ever-increasing economic inequities in today's society.

For First Gens, there are usually needs for extensive cash flow support, debt management and retirement planning. They may also be strong feelings associated with money and past experiences with it, including shame, guilt, and anxiety, especially when making financial decisions. These people need effective financial planning. Then there are those who live rather comfortably, can consistently save, and have goals that they are trying their best to achieve but without a family wealth advisor automatically connected to them. These people also need effective financial planning. I started Sage Financial because I firmly believe that everyone deserves access to effective financial planning and a fair shot at upward mobility.

Why Planning Early is Key

Here’s why early action is crucial:

1. Time is Your Best Asset: The earlier you start managing your money, the more interest you can save on paying down debt, and the more time your savings and investments have to grow. Compound interest is a powerful tool, but it works best when you give it time. Every dollar you save or invest now has the potential to multiply over the years.

2. Establishing Healthy Financial Habits: Building wealth is as much about mindset as it is about money. Starting early allows you to cultivate good financial habits—budgeting, saving, and investing—long before life’s complexities pile on. These habits become second nature, creating a solid foundation for your financial future.

3. Empowerment Through Knowledge: Engaging with your finances early on gives you the chance to learn and grow. Whether it’s understanding how to create a budget, navigating investments, or simply knowing when to consult a financial planner, being proactive builds your financial literacy. This empowerment is vital, especially for those breaking generational cycles of financial struggle.

4. Creating a Legacy: As a first-generation wealth builder, you’re not just thinking about your own financial future; you’re laying the groundwork for the next generation. By establishing wealth and financial literacy you are creating a path that can benefit your children and their children (if you want them). It can also positively impact your loved ones and community at large if you openly discuss and share what you learn. This legacy is about more than money—it’s about instilling values, resilience, and knowledge.

Taking the Leap

I understand that it can be intimidating to step into the world of finance. Many people feel they should wait until they’re making a “lot” of money or until life feels more stable. But waiting can lead to missed opportunities. The reality is that no amount of financial knowledge or planning is wasted, regardless of where you currently stand financially.

So, how do you take that leap? Start by setting small, achievable goals. Create a budget, set up an emergency fund, or begin investing—even if it’s just a small amount. As you gain confidence, you can tackle bigger financial challenges.

You do not have to wait for a big paycheck or a windfall to start your financial journey. The time to take control is now.

Remember, you are not alone in this journey. Many resources are available and an expert can help you sort through the information overload out there and understand the right moves for your unique situation. Sage Financial specializes in serving First-Generation Wealth Builders and we are here to help you know, feel and do better with your money from here on out.

This Is All To Say

First-generation wealth building is not just about making money; it’s about forging a new path. This can feel daunting, especially when societal norms and expectations often lead us to believe that wealth is reserved for those who’ve inherited it or those who’ve reached a certain level of financial success. But by taking control of your finances early, you’re not only setting yourself up for success but also changing the narrative for those who come after you.

Embrace the power of planning early and make your money work for you. The journey may be challenging, but the rewards—both financial and personal—are more than worth it. Your future self will thank you for the actions you take today!

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📌 Sage Financial Planning LLC helps first generation wealth builders know, feel and do better with their finances to help them achieve their life goals and, eventually, enjoy financial freedom.

For more information on our holistic financial planning offerings, please visit our Service Options page