Building Your Family Legacy: Using Today's Information to Create a Better Tomorrow

Who says you have to follow the traditional path to success? Buckle up as we share our insights on equipping our children with real-world knowledge beyond the confines of an outdated school system. As parents, we can't help but feel immense gratitude for the upbringing we had, but we also recognize the world has evolved drastically. Technology has made information more accessible than ever, and with this privilege, we believe it's our duty to present our children with diverse paths to success. 

We dive deep into the art of building an empire for our kids, touching on the importance of job creation, setting up trusts, Roth IRAs, and savvy investments. Our experiences have taught us that it's not just about leaving a legacy but also about preparing our children for a future where they can chase their dreams, with the safety net of financial stability. Beyond just monetary wealth, we stress the value of immersing them in financial wisdom that will help them make informed decisions. So, join us for an insightful conversation about estate planning, the magic of compound interest, and the journey of raising the entrepreneurs of tomorrow.

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Expanding Your Vision and Educating Entrepreneurs

Raya 0:02

I'm Raya .

Trae 0:03

And I'm Trae .

Raya 0:04

We'll share our own experience building and selling a seven figure business , owning multiple successful brands , and share the stories of other entrepreneurs who are incredibly successful in business .

Trae 0:16

This is Billion Dollar Vision , the podcast where we educate current and future entrepreneurs to expand your vision , give you strategy and help you take your business far beyond what you thought was even possible .

Raya 0:28

Your future is limitless and it begins right here , right now .

Trae 0:32

Let's go . Hello everybody , this is Trae and I'm joined by Raya , and this is the Billion Dollar Vision podcast , and on this episode , we would like to ask you a question how many of you all have ever used the excuse or heard people use the excuse Well , my parents did this or that , so I didn't do this or that . Or well , this is what my parents did , my parents taught me this , or their parents taught them that , or , like most people say , you typically do what the people came before you did . Well , on this episode , we want to talk to you about the fact that it is our duty and our responsibility to lay a better future , regardless of what our parents did for our kids , and not just our kids before ourselves .

Raya 1:26

Yeah , absolutely . We had this really great discussion about this the other day because this is what we're really trying to do for our kids is different than you know we had growing up and I can't speak for Trae , I can only speak for myself that I'm very grateful for the way that I was raised and I truly think our parents do the best that they can with the information that they have at the time . Right , like no one teaches you how to be a parent , but we live in such an incredible time right now that information is so readily available which , looking back , like our parents didn't really have that so readily available . But you said that like your dad actually listened to audio tapes , right ?

Trae 2:17

Well , yeah , I mean , it's not . It's . It's much different now than it was back then . So when I was a kid , I would , I would be with my dad and I had . I have two older brothers , one younger brother , but typically my older brothers always wanted to listen to rap music , right . Then I was going to listen to whatever the latest song was . So if we're all in the car together , that's what he would typically put on the radio . But if it was just me by myself , it would always be somebody is some type of .

Trae 2:49

It was a cassette tape back then and then eventually upgraded to like a CD , but it was always a tape and I would always wonder , like , why is he listening to this or why is he listening to that ? And I can't tell you , tell you specifically who it was . But now that I've gotten older I find myself listening to podcasts and things . That that is not just music , right and . But back then , like now we have it at the tip of our fingertips on a cell phone or we have a laptop or . But back then you had it literally go somewhere and ask for these cassette tapes . It wasn't as easy to get them . It wasn't as easy to get them back then as it is now .

Raya 3:35

Yeah , which is really cool that your dad did that in a time where it was a lot harder to find this information . But , like Trace said , there's literally no excuse from anyone . I mean , people will have excuses , but we don't have an excuse . We have the information . There's not just paid information , there's free information everywhere . And so if you're not consciously educating yourself right like outside of the school system which we can talk about in a little bit but if you're not consciously choosing to do better , consciously choosing to learn , then I hate to say it , but like with the way that the world and economy is evolving , like you're almost like , if you don't choose to consciously do better , you're almost like choosing to let your kids fail in this world . Like the school system is an outdated system . We talk about this all the time , and so it's our job as parents to teach them like the new way of the world , essentially .

Trae 4:40

Yeah , and I want to just go back . So some people say , oh well , there is an excuse if you don't know what to look up , right . Or there is an excuse if you come from a certain environment and all you hear is certain ways of being right . And I just want to say , even if you don't know what to research or what to look up , if you have access to Google , you can type in something , right . And I , yeah , you can type in something . And I'm just . I just want to make sure we're not speaking from like some Alita standpoint , where it's like you have an old excuse but to do good .

Trae 5:28

But , like Rea said , like in this era of time , there's never been more information and access to more information than now . Right , and it's only going to get better as far as having access to information . But it's on us as adults to educate the younger generation , to make sure they take advantage of these opportunities sooner and sooner and sooner , rather than wait . We podcasts were introduced , what probably the last 10 years , right , and I look back at my life now and I can only imagine what it would be like to grow up in this era where you can make money using the internet as a kid , whether that's selling shoes , selling clothes .

Raya 6:26

YouTube kid billionaires .

Trae 6:27

YouTube , kid billionaires , right ? You can make so much money so many different ways now using the internet , and it's on us to make sure that the younger generation knows that there's more than one way to skin a cat , so to speak . So she brought up homeschooling or the school system . It is outdated . Most schools I went to , and it was just for a brief period of time , but I went to a school where there are one enough textbooks for everyone to go home with a book , so you had to get the work done there at school , right ? So what that meant was the teachers could only teach half of the time , so they had to give you time to do your homework before the class period ended . So the education at that school was not up to par , right , it wasn't compared to other schools in the city , and I only went there .

Trae 7:36

I was in a transition period . I came back from Florida to Kentucky and it was the end of the school year . It was the school closest to my house , so that's where I went , right . And so I say that to say like some of the schooling right now is so far outdated , like some schools don't have enough textbooks . Students are learning things that they simply just won't use social studies right . They just won't use these things in everyday life . Geometry , geometry Unless you become a scientist , right Unless you , unless it's specific .

Trae 8:15

Specific doctor , scientist , those type of things , engineer , you're not really gonna use some of these things , right , and so it's on us as parents to make sure we give our kids the opportunity to take advantage and live in the current times , right . Live in the current times . Make sure that they're comfortable speaking on camera as they get older , make sure that they understand they can use the internet , they can use YouTube , they can learn from YouTube . They can learn pretty much anything they want right now on YouTube . Now , I would say that some of the information you have to double check and make sure that it's coming from credible sources and things of that nature , but there's no reason that we should not be using these things that are at our disposal .

Raya 9:06

Yeah , and I think I understand , like introducing it in school , right , like you introduce science , you introduce these different studies to see if the kid is interested in it , and they wanna pursue that right For like their life . But they go so far into things that they forget and leave out things that would actually help like kids growing up , like personal development , emotional intelligence , taxes , investing things that , like you actually need to know in real life , right , and so we talk about it a lot . Like , if you don't know us , we have two daughters who are one year old and two years old . So it's a big decision like to either send them to a school or to home school , and we are definitely leaning more towards the home school route because , I mean , how incredible is it that ? Like ? Well , a couple of things . One is that we went to visit a home school teacher , right , like so she sets up in a house and , like the home schoolers go to this like house , so it's kind of like a mini school , but she had a seven year old in her class doing seventh grade work . Seven years old doing seventh grade work that's a big difference , and so it makes you think , like what is the wasted time in school , if she has a seven year old doing seventh grade work , and on the other side of it , too , is that I think of some of the books like you have to read in school and take home .

Raya 10:42

And like what , if we like essentially dictated the books that they read in the curriculum and could give them at an early age , personal development books and maybe , when they're a little bit older , entrepreneur books and like business books . And it's not that they have to be entrepreneurs , it's not that we're forcing them to be that , but to introduce it . If we didn't introduce that to them , it would be a huge disservice . Right ? You introduce everything else in school . Why wouldn't you introduce business in a middle school or high school age ? Like , my thoughts are in middle school , right , like , why wait till high school ? And so , yeah , I don't know . I feel like I'm grateful to have a partner in life and in business that views it the same way , and I guess we help other people do too .

Raya 11:39

But part of it , I think , is like the people we choose to surround ourselves with , and so , if you've ever heard the saying , you become , you know , like the five people that you hang out with the most and you don't actually physically have to hang out with people to learn from them and you know essentially , go on that path . You can listen to them on YouTube and podcasts and read books from these people . But we've been blessed enough from hard work that we're able to be in the rooms with a lot of these people , and it was , you know , last year we were in Mexico at an Eric Thomas event and there was a financial advisor named Rob Wilson who spoke and he blew our minds about how you can set your kids up for life with $100 a month , $500 a month invested . I mean you could literally make them multi-millionaires by just investing a small amount every month , since you know into the right things from when they're babies , but they don't teach you that in school .

Trae 12:46

They don't teach in school and , yes , we just set $100 , with a small amount , but it doesn't . I think the overall point that Rob was teaching is , yes , if you do $100 a month up until the age of 18 , you're going to have a much larger sum to give them , whether they want to go to college or not , which is another topic , right ? But with that being said , even if you did $20 a month , like something is better than nothing , right ? And that's just another . And you can Google this information , right .

Trae 13:26

So it's not just , it's not Rob having some type of secret information . This is all Google-able and there are certain platforms where you can figure out some of this information and do calculations , right . So it's another thing where the more information that you have , the better that you should do , right . So our parents did not know that that information was not in 1988 , was not on the internet , people weren't talking about it as much publicly , so our parents did not do it right . But now that we have the information and that we're meeting people who are willing to share that information willingly , it's on us to make sure we do the right thing so that it can be the new standard for our family .

Raya 14:29

And I think that's like looking

Preparing for the Future

Raya 14:33

. I say a lot that I really respect people that are self-made , and so I was thinking about it this morning , how it's kind of funny that I respect people that are self-made but at the same time , I want to make sure and we want to make sure our children are set up and they have choices in life . And when I think about that it's really because , like looking back at my life , when I moved out to LA after high school , growing up in a small town in New Mexico , and when I moved out there , it was a shock . It was a shock of how hard life is , how expensive life is , and I was working at a spa for $9 an hour and a 45-minute drive and gas was $5 . I literally took cash advances out to go to work . I was really struggling out there and I was 18 years old and I put myself in some really scary situations being out there because I would like this is when Craigslist was more popular and I guess I don't know if it was ever trusted , but that's where you go to look for jobs .

Raya 15:41

At the time this was like 15 years ago , and so I would go to Craigslist and look at jobs and I found personal assistant jobs and they said they paid $30 an hour and compared to my minimum wage job at $9 , I was like let me go interview for that . And they turned out to be really sketchy , scary situations . And so I think the biggest thing for our kids that's really important to me is that they never feel so desperate for money that they have to put themselves in a scary situation . And especially , I feel like I got very lucky a lot of the time , because in today's world it's a lot scarier . I mean , it was probably scary back then and I was naive , but today it's like I don't trust anyone and I just hope that my you know , our kids never have to be in that situation . And so it's not that I or we want them to be spoiled , but we just want them to have the choice right . Is that the best way to say it ? Like to ?

Raya 16:48

be set up like a fallback , Like we want them to succeed on their own but we want to be their like cushion if they need it .

Trae 16:55

In business , you're not really wealthy unless you can provide opportunities to other people , right , unless you can hire other people . That's why you know the title self-made is okay , right , it's good , but it's really not . You don't really hear the the most famous business people bragging about being self-made . You hear them talk about how much money they give away to charity . They brag from that perspective . You hear them talk about whether they have 500 employees or more . You hear them talk about opportunities that they provided for their kids right , that's what real wealth is , right .

Trae 17:46

So , for being self-made is okay , but it doesn't matter if you're self-made , if you're not providing opportunities for others , including your kids . It doesn't mean that they have to do whatever you tell them to do , but it says something about your preparation and your planning as a parent If , whether you're alive or not , if you were able to still provide for your children , your grandchildren , so forth and so on . Other people on your team have a great succession plan and everything still runs smoothly , whether you're here or not . So that's when , when I hear self-made , that's one level right and that's good .

Trae 18:34

But whether it's billionaire Robert Smith , whether it's Allie Webb , whether it's Jamie Kern Lima , all of those people talk about their team and the bigger the team , that just means that truly shows how much money you're making and it really shows your wealth . So yeah , it's , I wanna make sure our kids and our grandkids and their kids are all set up , whether that's us having a trust , whether that's us having set up Roth IRAs for them , providing job opportunities for them . There are so many different ways to lay the groundwork for them that we gotta make sure we do it and that'll be the true , our true legacy in life . It's not about necessarily what we did 10 years ago or five years ago or yesterday . It's about what are we doing to create a better future for other people that work for us , that are on our team , and also our children and their children .

Raya 19:49

Yeah , should we give everyone . We're not advisors , but let people know what we are doing to set up our kids and this is just our . This is what we're personally doing . We're not financial advisors .

Trae 20:04

I'm gonna let y'all know now I'm not a financial advisor . You don't have to follow anything that I say . You don't have to follow anything that Reyes says .

Raya 20:12

Yeah , this is just what we're personally doing , do your own thing and you can double check . We are not financial advisors , yeah , but some of it was like information that I had no idea , and I'd love to start with this because this was huge to me . So I'm a big believer in manifestation , like I do believe in it , and so part of manifestation is like your thoughts become reality , right , if you think about it enough . And so , personally , I never wanted to get life insurance . I never wanted to set up a will .

Raya 20:45

I never wanted to do those things because I thought if I did that it would equal death . Like why would I set up a will ?

Trae 20:52

You'd be attracting .

Raya 20:53

I'd be attracting it .

Raya 20:57

But the eye-opening thing that I took away from Rob was that I think it was Rob that first introduces maybe I don't know , but it was that by not doing it , if something happens to you God forbid , or both of us if you don't set up protection for your kids by having a will in place , by having life insurance and then other investments that we're doing , you're literally leaving your kids' futures in the hands of the state , of the government , to decide what to do with them .

Raya 21:36

Your family could fight over them , but they don't . Essentially , it's not like Trae's mom could actually just take the kids , like it's the state's decision , which is terrifying , and so that was really eye-opening for me personally , because that's never something I thought I would do , but it's just irresponsible being parents not to do that . And so it's also looking at your belief system and saying , okay , I believe in manifestation , but I can also believe in this and believe that this will not be causing manifesting death necessarily . It's just for protection , and so I think the meaning matters behind it . But so that's one thing that we're doing is we contacted and found an estate attorney to help us with our will and family planning if something were to happen .

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Trae 23:04

If something were to happen , but yeah , that's the best way to put it if something were to happen ,

(Cont.) Preparing for the Future

Trae 23:13

but yeah , if you don't intentionally . Ray believes in manifestation and I believe in manifestation too , but I also believe in preparation , right ? So if you don't properly prepare , then ultimately you're not in control of , like . You're only hurting your kids , right ? You're only hurting the legacy that you're building , because the state will be very intentional about what they do with your money , your assets , who they place your kids with . They'll be very intentional about it . If you're not intentional and it's so simple , we having a state attorney that we've hired but once again , I wanna make this as easy and simple when we're talking about it . I don't want it to be like some people say , well , I don't have enough money to hire an attorney , you can write your wishes on a sheet of paper , sign that dated , right , and if you die , that can be used .

Raya 24:25

Make a couple copies and give one to someone you trust you can make a copy or not make a copy .

Trae 24:30

There was someone famous who passed away and I don't wanna say the wrong name because I can't remember specifically who it was , but apparently

Estate Planning and Building Generational Wealth

Trae 24:38

they found when she died . They found , I guess two of the sons were saying , well , I know what my mom's wishes were . Another son was saying , no , that can't be true . And then they were going through the couch cushions and found the note that she wrote right , it was folded , bent up , it was dated , signed by her , her actual wishes , and the judge actually used that in court . So she didn't have an estate attorney , but she wrote her wishes out . So you can , even today , right now , you can write down whatever your assets are , whatever you own . You can literally write those out on a piece of paper and that can be used in the event of your untimely death . So it doesn't have to be as specific as an attorney , right , it can be as yeah .

Raya 25:40

For people to make it easy .

Trae 25:42

Yeah , you can make it a lot easier , but depending on how many assets you actually have and if you own businesses and all these things , you may wanna get an attorney because it can .

Raya 25:52

More complicated .

Trae 25:53

Yeah , it can become more complicated .

Raya 25:56

All right . So we're doing estate planning . What else are we doing ? We started a Roth IRA for both babies . Yeah , roth .

Trae 26:03

IRA for both our kids . Some people will say well , how much can you put in ? I'll Google it .

Raya 26:12

The max is 6,000 per year .

Trae 26:15

The max is 6,000 , but , once again , you can put as much as you want , google it and make sure that it's you're justifying the payments to them right . Our kids will get paid for every time they're posting on social media as a modeling payment , but you wanna make sure that you're able to justify that and even that you're audited , okay . So we have IRAs . We have our own investment account that we're investing into . Our kids are the beneficiaries of that . What else ?

Raya 26:55

We just started , so we only have a few things in place , but the goal is to essentially build them an empire .

Trae 27:02

We wanna do properties in their names right , yeah , we'll do properties in their names . We also , if you own a business , you might wanna look at trademarking your business name . We have a LLC that owns our trademarks and that's something we can pass on to our kids as well . That's something that we own . Even if we were to sell businesses , we can still own the trademark and license those out if we would like to , or sell it separately if we would like to . Right , so we have that , what else ?

Raya 27:40

Yeah , well , that's a start of what we've done , which I feel like is good for that . We just learned about this last year and we just started really implementing it this year . It just took us a little time because we're moving and pregnant .

Trae 27:54

Yeah , we do have life insurance .

Raya 27:56

Life insurance .

Trae 27:57

Yeah .

Raya 27:59

And really quickly . I'd love to touch on how the Roth IRA for a second , because that was really eye-opening too , and these numbers might not be totally exact , but they're very close to exact of what he said in his presentation .

Trae 28:17

So if you invest $500 a month or $6,000 a year , I just want to let you know Raya gets a little off with her numbers sometimes .

Raya 28:27

Sounds insane . It might not be perfect , but it was something around this which was it was mind-blowing Just adjusted up and down a couple thousand here .

Raya 28:34

So you put $500 a month away from the time your kid is . You know , start whenever , but if you start from when they're a baby all the way till 18 , I think you have invested around 100,000 . And in a Roth IRA , the return with compound interest should be around the 300,000s . So you essentially tripled your investment . Your kids don't touch the Roth IRA , right , and you just leave it be . By the time they're 30 , that 300,000 is now a million . They don't touch the million because they're set up in different ways .

Raya 29:14

You taught them personal growth , you taught them business , you taught them all these things when they're younger and so they don't need that million dollars when they're 30 . They leave it in there until they're 55 and they have close to $15 million and I'm pretty sure I remember this almost exactly because we've seen it a couple times , yeah , I think three or four times now in presentations , online and in person . $15 million , like I know , my parents would be ecstatic . Like you know , they're not set up in that way and so it's a really cool opportunity . You don't think like , oh , $500 a month or $100 a month or whatever you can put away will make a difference , but it makes a huge difference , and then that difference compounds over time . If they don't need that money , the longer it can stay in , whatever investment it is , whether it's a Roth IRA or an index fund the more it compounds . So our kids have this really cool opportunity to make more than we ever could because they have time on their side . Yeah .

Trae 30:19

So the longer you leave it , the longer that you leave the money in there , the more that it grows . Right , that's number one . But number two once again , we use the example of $500 . You can do this All right , that's maxing it out .

Trae 30:38

Right , that's if it doesn't have to be maxed out , right , it does not have to be maxed out , right . So , once again , if you're listening and the way your bank account is set up , you can do that , which is totally fine . Even if you were to put $50 a month , $25 , something right , something towards your kids' future and some people may say , well , I don't got it , I can say , for at least probably 90 , 95% of the people who are listening , you can look at your life and look at your spending and find where you can say , all right , for the sake of my kids , I'm not going to spend money on this as much and I'm going to invest right . And that little difference , that little tweak , will circle it back to the very beginning . This whole talk was about doing something different , because you have more information now than your parents did , right , that small tweak of putting $25 a month or $50 a month , or if you can go to $500 , that's even better that small tweak will create a better future for your kids and your grandkids . Right , and set a new standard . So now your kids will know this is what my parents did , my mother or father did , or both right , and it's on me to do the same thing for my kids and that becomes a new standard for the family . So , to just put a bow on this and wrap it up , that's the whole point of utilizing the information that we have available to us now and applying it to our life .

Trae 32:30

Not just listening to it on a podcast and saying , oh , that's a good idea , but no , actually applying it to your life to make a better future for your family . So people will be able to look back one day and say your grandkids will be able to tell their kids and say you know what my grandmother or grandfather was named , whatever right Was named Raya , my grandmother was named Raya , my grandfather was named Trae , and this is what they did for my parents , right ? And this is how we were able to have this and have this and have that . It doesn't have to be $500 a month , but it has to be . We should be doing something . There's you can look at all the subscriptions people are spending on streaming services and on Apple subscriptions here . There there's money somewhere that you can pull from and turn that off and turn this on , and it will be planting a seed for a better future for your family and for your kids there you go , that's a wrap .

Trae 33:35

That's a wrap and we will see you all on the next episode of Billion Dollar Vision with Raya and Trae .

Raya 33:47

Remember it all starts with your big vision .

Trae 33:50

Stay determined and always keep your billion dollar vision alive . Please , wherever you are listening , subscribe and leave us a five star review .

Raya 33:59

It would mean the world to us . See you next time .