This week we had the opportunity to interview Kelvin Harris, a business and financial consultant of KelStar consulting services. Below, we asked Mr. Harris a series of questions on his understanding of generational wealth and how to obtain it.
What is generational wealth? Why is there such a disparity in the wealth gap between different Ethnic communities?
Generational wealth is when a group of people make, keep, grow and protect assets and resources and pass them to the next generation to keep, maintain and increase and then pass them down to the generation after them
The purpose of racism and systemic racism was to prevent money, assets, and resources to be accumulated in the black community. The disparity has persisted because our community has not focused on group economics and wealth creation strategies to sufficiently reverse that condition
Why is it so valuable?
It’s important because it literally equates to our economic survival. Any group of people who are not economically viable in a society is at the mercy of the dominant societal group.
What are practical ways you can start building generational wealth?
By learning and leveraging financial strategies used by the wealthiest 1% in our families and community. But it requires discipline.
What do statistics show about individual races and their spending habits and the funneling of wealth back into their communities?
One statistic that is very depressing is the following:
White-owned businesses create 55.9 million jobs. Enough to employ 44% of working-age white people. With an annual revenue of 12.9 trillion dollars, they could give every working-age White American a check for $102,000 every year.
Asian-owned businesses create 3.8 million jobs. Enough to employ 33% of working-age Asian people. With an annual revenue of $793.5 billion dollars, they could give every working-age Asian American a check for $67,000 every year.
Hispanic-owned businesses create 2.5 million jobs. Enough to employ 8% of working-age Hispanic people. With an annual revenue of $473.6 billion dollars, they could give every working-age Hispanic American a check for $14,000 every year.
Black-owned businesses create 1 million jobs. Enough to employ 4% of working-age Black people. With an annual revenue of $187.6 billion dollars, they could give every working-age Black American a check for $7,000 every year
What can be done to even the playing field and the thought process required to do so?
We must learn how money works in this country and then make it work for us! We also need to change how we think about money (our mindset). Money is like energy, it is never lost, just transferred.
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