User ID



People assume trust-fund babies are spoiled 20-somethings born with silver spoons — but theyre not always who you think
American Shipper
Post Date

• A trust fund is simply a fund that holds assets, like cash or investments, typically set up by a parent.
• Trust-fund babies, the recipients of that windfall, are often stereotyped as over-privileged, spoiled twenty-somethings with no responsibilities.
• While trust-fund babies may have the security of reliable income, some do not live lavishly or have the sense of superiority society assumes.
Trust-fund babies — a group of over-privileged, spoiled, adult-children that people love to hate. At least, thats what society is led to believe.
The trope goes something like this: While the world hunches over their desks grinding away for a steady paycheck, people with trust funds are jetting off to Bali in the middle of the week on a private plane or ping their parents money on a quilted Chanel bag — basically acting like any of the Rich Kids of Instagram.
The clichι of someone with a trust fund as an entitled, lazy, and stuck-up adult-child is an old, yet persisting one.
Look no further than Urban Dictionary, website king of defining all things slang, for a glimpse at the blatant perpetuation of the trust-fund baby stereotype.
"A person who has a lot of money set aside for them and has no responsibilities," describes one Urban Dictionary user. "Most dont even know what it feels like to lift a finger or even have a job. In some cases, they act like spoiled brats for the rest of their lives and dep on their parents too."
Another user writes: "A wealthy, privileged child with no real world ss. These people are pampered beyond limit. Usually, they are an only child. They dont necessarily have a trust fund by their name, but their folks may have enough money [to] one. They are usually a prima donna type."
A trust-fund baby is a "mean girl lady, a pink prom queen," sings boy band Why Dont We in their 2017 single "Trust Fund Baby."
Theres little doubt that trust-fund babies are pigeonholed — but the trust-fund baby demographic may not be as narrow as society deems to it be.
"Most of us trust-funders dont relate to those stereotypes," one trust-fund baby told Refinery 29. "We are ubiquitous, yet rarely flamboyant enough to make ourselves known."
What is a trust fund?
To truly define a trust-fund baby, one must first understand what a trust fund is.
Judy Spalthoff, utive director and head of family and philanthropy advisory at UBS Wealth Management, told Business Insider, "A trust fund is a term used loosely in society for funds held in trust."
Essentially, its when one party, the trustor (for example, a parent or other relative), gives a second party, the trustee (for example, a bank or attorney), assets or property to hold "in trust" for a third party, the beneficiary. That person doesnt have to be a child and it can even be an entity, such as a ity.
Its up to the trustor to decide on the terms or rules for how the trust fund should be managed, which can vary from family to family. However, beneficiaries can often access their trust fund upon an event, such as the trustors death, or once they become a certain age, such as when they turn 18 or 21 — which may explain the reputation of a trust-fund baby as a spoiled 20-something.
There are different types of trust funds, and the assets and property can range from cash and stocks to real estate and a private business — basically anything of value. Though its hard to track down data on trust funds thanks to self-reporting biases and the shame around inheriting money, the most recent Survey of Consumer Finances report shows less than 2% of Americans had inherited money through a trust fund as of 2010.
According to Spalthoff, parents need to figure out their needs as a family and back those needs into the right trust. For most parents, she says, its about "making the wealth helpful and an opportunity versus a burden" for the kids so they can still follow their own path.
The Warren Buffett way
Take, for example, Warren Buffetts philosophy that you should give children "enough to do anything, but not enough to do nothing." The billionaire investor pledged most of his fortune to philanthropy, while his son, Peter Buffett, received $1 billion for nonprofit work and $90,000 in stock for personal use at age 19.
It may seem a large sum, but its pennies compared to Buffetts $85 billion net worth. Instead of leaving his inheritance alone — which would have grown to more than $70 million today — Peter used it as a head start to build a career as a musician.
And while trust-fund babies are often thought of as heirs to massive fortunes, like Buffetts, trust funds arent just for the uber wealthy anymore — more people than ever are faced with making crucial financial decisions for their heirs. Middle-class citizens can set up trust funds too.
So yes, a trust-fund baby is a person whose parents set up a trust fund for them so they dont have to worry about where their rent money is coming from. They often have the security of reliable income to live on, but they may not live an outwardly lavish life or have the sense of superiority you think they do — and many even have jobs.
The allergic-to-work trust-fund baby is a stereotype, and likely not the norm.

Post Date
Maersk looks set to cut out freight forwarders to att.. American Shipper 10/21/2021
Shipping crisis only ebbing slightly: market experts.. American Shipper 10/21/2021
Containers: how long will the boom last?.. American Shipper 10/21/2021
China – US West Coast transit more than doubles to 36.. American Shipper 10/21/2021
Ports of Los Angeles and Long Beach Moving to 24/7 Op.. American Shipper 10/20/2021
Are the Long Beach and Los Angeles ports operating 24.. American Shipper 10/20/2021
ZIM opts to buy rather than ter for latest expansion.. American Shipper 10/20/2021
Congestion: Savannah temporarily loses three loops.. American Shipper 10/20/2021
Arranging Transportation of Counterfeit Goods Doesn’t.. American Shipper 10/14/2021
OTI License Revocations.. American Shipper 10/14/2021
Page : 1   2   3   4   5        [Next 5 Page]  Last Page : 58 ( 1 of 58  Total Pages )




Brilliant Group Logistics INC.
159 N. Central Ave. Valley stream, NY 11580
Tel : (516) 599-2406 Fax : (516) 599-0528