Shop Class VS College...some interesting long term findings

Financial educaton like that should be part of a high school course requirement.
I've been saying that for a long time. Some sort of course that teaches about bank accounts, loans, interest rates, the cost of borrowing money, etc.

They can call it “Life Lessons” or “Stuff You’re Gonna Wanna Know” or “Keeping and Growing the Money You Make”… But in reality, I believe its my job as a parent to teach my kids this stuff… As soon as I learn it! :shocked :biggrin :rolleyes

In most households the parents don’t know it either, this is why we need classes for it. If the average parent knew this stuff our country would be dramatically different.

Phlemboy is 100% right.

And…College is worth every CENT…IF you DO SOMETHING with what you’ve learned. I don’t want to come across as anti-college here.
I think college is worth it’s weight in gold. It gives you options, and it’s a FACT that the majority of College grads end up making MORE than people that didn’t attend.

My next comment is in NO WAY meant to be racist or offend anyone. It simply ties in with what has been mentioned in previous posts concerning financial education.

Jewish families seem to be very good at educating their children about money (or wealth) I almost hate to even write that sentance because it could be taken the wrong way. It is not meant as a stereotype.
But if you look at WHY this may or may not happen, some interesting things emerge.

First off…We all know the Jewish people have been persecuted for centuries in places all over the planet. Understanding HOW money or wealth is created and knowing how to accomplish that, was in some cases, the ONLY thing these people had. That knowledge was created out of NEED. When you can’t find someone that will hire you, you end up working for yourself! The lessons these hard working, smart, and brave people learned were passed down to their children. THEY LEARNED from people who EARNED that knowledge through back breaking hard work and scarifice.

Phlemboy mentions that most Amercian families can’t teach their own kids these lessons because THEY never learned themselves. He’s 100% right. How could these people teach their children about money when they’ve never made a single investment??? Buying ahouse to LIVE in is NOT an investment. We’re TOLD it is…But WE all know that’s BS. These people buy a home and jump onto a 30 YEAR TREADMILL. That’s IT…They pay off the house and then DIE.

I know that my son will be light years ahead of me when he is 18 years old. The knowledge that I have spent decades learning and spending tens of thousands to obtain will be his for free. This is the building blocks of real wealth. YOU CAN NOT CREATE TIME…YOU CAN NOT BUY TIME…You can only pass on what you’ve learned to another genration and with guidance, hope they run with the ball.\

This Ford investment you guys have been reading about for more than a YEAR know is a slice of this thinking. It’s not about how much I make…It’s about SHARING SOME INSIGHT…It’s about LEARNING to read economic cycles and KNOW what companies do in those cycles…Then using that knowledge to make a PILE OF $$$$$

Pass along what YOU’VE learned so others can pass along what THEY’VE learned.

I’ve never met a broke Jew in all my life. They are indoctrinated from birth about how to manage their money and it pays off. I know Jewish families that have amassed great wealth, manage it properly and put it to use accumulating more wealth that is passed on from generation to generation. Call it a stereotype if you will but there is something in their culture that is much more greatly enforced regarding smart money management. Everyone has heard a joke about a cheap Jew and while they are funny jokes it is not accurate to say they are cheap, fiscally responsible is a better term I think. They are smart with money and you won’t see them doing stupid things like racking up credit cards or being reckless. Hopefully this is not offensive to anyone…I just know a ton of Jewish people and they certainly have their ways. Smart lot they are.

Ps- Hear about the new Jewish car? Not only does it stop on a dime it also picks it up! (sorry, was funny so I had to share)

Going to college is not about money. If you want to make money you are wasting your time in college. You go to college to make something out of yourself. I say that because if you want to be a doctor, lawyer, engineer, accountant, teacher, nurse, etc. You can’t become that unless you go to college. My wife is a corporate manager for a large retail company (like Walmart, Target, Home Depot) If you are smart enough to get a college degree then you are smart enough to be a store manager at one of these big box stores. If you start working right our of high school they will notice that you are bright and in 2 years you would be a department manager, 2 more years and you would be an assistant store manager, 2 to 3 more years you are now 26 – 30 years old with 7 or 8 years of retail management experience. That means that you are up for a store manager. Pay attention to some of the managers at your local Lowe’s. Those guys could be 50 years old but you do find them as young as 30. These store managers make $80k in the small stores and they get bonuses from 100% to 150%. That means on a good year they can make $160k and they almost always bonus to make six figures. You run a good store for a few years and get to be a regional manager and that is real money. That is the level they recruit vice presidents from (not just your company but every other big box company is trying to hire regional people from each other for vice presidents)

These guys make more than most of the professionals listed above. I have a buddy that is a dentist. He hated being a dentist and decided to buy some real estate to make enough money so that he could quit. He bought enough real estate that he didn’t have to work anymore. But he realized that he enjoyed being a dentist. He just didn’t like being a dentist for the money. He loves it now that he can practice like he wants to.

I make enough money for us to live on. My wife makes enough money for us to live on, my real estate makes enough money for us to live on. I enjoy being an engineer. I don’t want to quit. But if I had not gone to college no matter how much money I made I would not be an engineer. That is what college is good for.

That’s my point…

College will NOT guarantee you a good income…YOU are the only one that can guarantee that.

The post was a look into the mindset of most Americans…

You are 100% correct about Home Depot managers making that kind of $$$$

BUT…What you didn’t mention was the 8 different stores that the manager had to work at before getting promoted…The 8 different school systems his kids had to enter…The 8 different homes he had to move in and out of…

That’s MY point…I know a Porsche mechanic that has NEVER made LESS than $200K/year and he has a 10 minute ride to work every morning. He also has a thriving side business repairing old Porsches. His kids have been in the same school system since 1st grade and they live in a custiom built Lake front home. And he has OVER $1,000,000 in real estate and stock investments. His neighbors are ME…2 Doctors, 1 retired Navy Commander, and a Honda Dealer.

There’s more than one way to get there…And I would CERTAINLY say this guy has MADE SOMETHING OF HIMSELF!!!

And the biggest point I can make…

College or not if you are lazy you will be poor, if you work hard you can be rich.

While I agree that hard work is essential, that hard work has to be properly focused. I busted my hump working fabricating and erecting structural steel back in the 80’s for about $8/hr. I was fresh out of high school. THAT was the time I needed financial education. With nothing to spend my money on but my girlfriend and beer :beer. I should point point out that I was 18 and knew everything :banghead. I doubt I would have been receptive to it. I know I’ll have to prove it my son when he gets older. I’ll have to show him how he can get short term and long term gains. Right now he’s 6 yrs. old and want to be helicopter pilot. :shocked That should be cheap enough. The armed forces teach that stuff for free!.. sort of. Seriously thogh. I think teaching hime will be pretty difficult if if he’s not receptive. Perhaps I’ll have to buy a porche in order get his attention :shocked.

Worth quoting

Phelmboy,

I have a 9 year old son…I thought he could care less about the houses I buy. BUT…I always EXPLAIN what I’m doing, so he can understand it.

I’ve been doing this since he was about 6…The other night I got the PAY OFF…

I get a phone call from a woman with a 3 bed Cape on 3 acres. She’s 70 years old and the house needs work…PLUS…The house is on a 3 acre LOT that can be sub-divided… this is a HOME RUN deal. I just sold a LOT in this area for $110K and it went in 13 days…The house alone is worth about $220,000 rehabbed, and the extra 2 acre lot is just $100,000 in gravy.

So…I telling my wife about the house and I get to the price the lady wants…$85,000

My son YELLS out from the living room (where he’s watching his favorite show) “85,000???..DAD…THAT’S A STEAL!!!”

HE WAS RIGHT!!! It WAS a steal…My wife and I cracked up. He’s obviously “GETTING IT.”

Here’s something I learned from a Jewish firend of mine (again I HATE having to identify him like that but you’ll get why in in minute)
So…This guy is VERY WEALTHY, a smart guy, doesn’t act like either…
Great person…He gives most of the credit for his success to his father.
This is exactly what he told me about their relationship when he was a kid…

“My dad would ask ME what I thought about the properties he was buying. He’d ASK me WHY I thought a person might do this or that. He’d ASK what colors I thought might look good in a certain room (after giving me a few choices) He’d ALWAYS follow my advice…Then he’d tell me something like this…Yea, They said the house was beautiful, they LOVED the living room paint color (the one I had picked out) Now I have NO IDEA if any of this was even said…But I do know that it got my attention and built my confidence. Once I got old enough my father would let me handle the projects, we’d lay out a strategy together and he’d actually LISTEN to my ideas. We’d have great conversations about what this guy might do or that guy might do. And he’d ALWAYS brag about what a great job I did.
It all accomplished his goal…It drew me in, and TAUGHT me at the same time. By the time I was in my early 20’s I had it down to a science. I never wanted to let him down because he had so much confidence in me.”

That my friends is probably THE BEST business advice ANYONE has EVER received!!!

I’ll keep that in mind fdjake. Great post. What’s great about kids is that they think ANYTHING is possible. Most adults get bogged with what they think is/ isn’t possible. They say things like " I can’t do that." or “I can’t afford that.” It’seasy to get sucked into that way of thinking sometimes. I like to say things like “How can I do that?” or “How can I afford that?” To me it’s about problem solving. I’m sure kids pay attention more than we think. I’ll have to remember that and get him involved.

There’s another great story I just remembered…It’s about kids and family business.

A very BIG local Ford dealer named Bob Tasca was in the process of selling a local Ford dealership a few decades ago. Bob Tasca is a LEGEND in Ford circles. He ran the most successful Ford dealership in the country (and STILL does a great business). Bob took pride in his young son’s who were in their teens at the time of the sale and who worked at the dealership. This guy also raised champion German Shepards. He wouldn’t sell these dogs to just anyone. He hand picked the owners. He use to say that “You can’t get mad at a dog for jumping up on visitors that come to your home if you place the dog in the basement everytime someone shows up. You’re TRAINING your dog to DISLIKE visitors.”

I thought that was a very interesting observation…Now back to the story and the TIE IN…

So…Ford Motor Company is very concerned about the sale of this dealership…SO concerned they send a Vice President to the closing…
All the parties are present and the bank is about to start handing out documents…Bob is there with his young teenaged sons.

The Ford VP speaks up and says…“OK…Let’s get these KIDS out of here and get started.” (sort of like putting your dogs in the basement)

Bob gets up from the table and says…“Forget it, the deals off. If my kids go out that door…I go with them” The Ford VP almost sh*ts himself then apologizes to Bob and his son’s…But here’s the BEST PART…

Once the closing was complete…The bank hands Bob a check for $10 million. Bob takes the check, gives it to his TEENAGED SON and says…“Bobby, you take care of this.”

He said they all had their mouths open as the Tasca family left the bank!! The old man never asked his son what he did with the check because he KNEW he’d take it straight to their banker and depsoit it that day. That’s confidence that you raised you kids right.

That KID…Bob Tasca Jr, is now one of the biggest Ford dealers in the country today. They STILL run a great operation and HIS kids are in it too.

FDjake… here is where you shine, IMHO…

You have alot to offer other people… thanks for sharing both those stories…

You’re right on that fdjake. I suppose the problem comes along when you’re so used to taking care of your kids that you can’t see they what they know until you give thema chance to show what they know. I plan to keep that in mind and have my kids at least show me what they can do before I prejudge their abilities.

Thanks for the kind words Positive…