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Half of parents with a child over 18 provide them with at least some financial support, according to a report from saving.com. So how can parents of younger kids set them up to be independent and build wealth from an early age? Joining me now on this, we've got the CEO and founder of Hello 7, a company that teaches people just how to build a seven-figure business and create generational wealth here in studio. She's also the author, we should mention, of Future Millionaire, a young person's step-by-step guide to making wealth inevitable. Rachel Rogers, great to have you here in studio.

Thank you for having me.

Absolutely. So let's dive into this because as we're thinking about creating that generational wealth, where do parents need to start in teaching some of the early foundations?

Yes. Well, one, you have to, first of all, teach them that wealth is accessible. I think we use that we can't afford it language a little too often. So instead, really showing them that like wealth is something that they can reach for and teach them to dream for it, right? And then talk about money in front of them. You know, there was a generation where it was don't talk about money in front of your kids. Now we need to talk about money in front of them so they know how to make good financial decisions.

Also, part of those decisions are what to spend on, how much to spend on it, and how you are getting perhaps return on that spend as well. And that puts a lot of families in this conversation, especially when they're thinking about higher education and college.

Yes.

What are the steps that they should be thinking about even as they make one of those larger family financial decisions?

Yes. So I think college is no longer compulsory. I think we have to think about it as an intentional plan, like what is this stepping stone and how are we going to do it? So I think there are two key things that families have to plan for their kids to walk away from college from. One is a professional network, and the other one is marketable skills. So, you know, 18th century English lit, listen, I love English lit, but maybe that's not the one, okay? So choosing something where you're leaving with writing skills or accounting skills or something you can sell even as a freelancer, right? So that way you know even if you graduate during a recession, you're good because you can sell those skills.

And so with that in mind, the keys to building a million dollar career. Once you've got the education, you've got the marketable skills as well, how do you take the steps towards building out that million dollar, hopefully more career?

Yes. Well, first of all, that network that I mentioned is incredibly important because so many of jobs, 80% of jobs are not advertised. So making sure you're working that network and having informational interviews is key. And then the second thing is making sure that you understand that looking for a job is a job. You know, people think sending a couple of resumes is going to do it. That ain't it, okay? You've got to send cover letters, resumes, and like be very, very intentional about finding that job. And then once you get an opportunity, make sure you negotiate. 87% of young professionals that ask for more in their initial salary conversations get it, but 60% of them do not ask. So you've got to ask, and that literally immediately you get a jump start on your wealth building journey because now your salary floor is higher than it could have been.

What are some of the successful early steps you see people who are just getting into their career? We have a lot of new college graduates that are going to be crossing the stage and you know, pulling the tassel to the other side who are in a couple weeks going to try and figure out how to navigate an environment where there are hiring freezes that are being put in place where they're still going to have to try and use that network, but at the same time positions are going to be harder to come by as well.

Yes.

Yes.

So I think it's very important that they see the job as a stepping stone. It is not the whole story. It used to be the whole story. It's not anymore. So now how can you use some of the money from that job and start a side hustle so you have a second revenue stream? Could be a fun hobby kind of thing that brings in extra money, and then you use some of that extra money both to enjoy some of the pleasures of life, like to pay for those vacations, and also to invest so that you can start to separate your labor from your earnings, right? And start building on that journey. So I think that's how the approach has to be. The job is not the end all. It's the beginning of your wealth building journey, and you need these other pieces, the side hustle and investing, to fully realize the quote unquote American dream these days.

You started to touch on the last points that I wanted to discuss with you, growing the money once you start making it and how you can kind of scale that over time.

Yes.

Yes.

So you've got to start becoming an owner, right? Either owning stocks, owning a business. 50% of Americans are not investing because they say they don't have enough. And why do they not have enough? Because they're relying on jobs that are not keeping up with inflation. So having the side hustle to give you that extra sum of money that you can then invest long term, that's the play.

And so how risky should they be early on?

Index funds all the way. Keep it very boring. Like invest and forget about it. You know what I mean? And don't touch it. So no matter what's going up and down, listen, leave it right where it is and let it watch it grow and then put as much as you can in there consistently.