How do you hide your wealth?

Question

I've been trying to figure out how to ask this for a while...I recently started my own business and as my capital has increased I've wondered if at some point I will need to hide the fact I am well off. How would one conceal that from family and friends? or isn't really necessary?

Answer 1

Invest your money, buy quality things rather than flashy, blow your money on vacations that don't require buying souvenirs. Do you really need to tell your friends and family where you bought that oak coffee table or how much is in your bank account? Enjoy life without being showy.

Answer 2

Just keep your mouth shut and ask your accountant to do the same. Sounds as if you want to scream that you are successful but don't want any moochers. Your good fortune is no one's business but your own. Make sure you enjoy it unless you are the type who loves large bank balances.

Answer 3

Why would you want to hide it?  I understand not wanting them to mooch, but they will be happy for you and congratulate your success.

Answer 4

Why would you want to hide your wealth from your family and friends.  I wouldn't brag about it, but hiding it might be overkill.  Anyway if you want to hide your wealth live an average lifestyle.  Drive an average car, not a junker but not a Porsche either, own an average house etc.  If all your money is all in the bank/investments then they won't know.  If you drive a Porsche and live in a huge mansion taking month long vacations to England every year people will probably know you have money.

Answer 5

Live like Carl.

Carl was one of my father's customers.  When we first ran a credit check on him we got nothing useful.  He paid his bills on time.  He lived in a modest 4 bedroom home with a one car garage.  His kids went to public schools.  He drove a Chevrolet.  He and his brother-in-law were partners in a small store.  

Since he wanted to finance $25,000 (this was in 1960 when you could buy a new top of the line Chevrolet for under $3,000) this wasn't enough information.  So we contacted Carl and asked "What's the story?"  He asked us to wait until the following afternoon and then call the President of the bank he used and the Branch Manger for the local Merrill Lynch office.

The next afternoon we were quite surprised to learn that Carl had a net worth in excess of 20 million dollars.

After I got to know him I asked why so secretive.  He told me that one of his parent's sisters had been kidnapped when a young child and that his parents got married they moved to a different state, lived a modest life and impressed on Carl that this was the safest and most trouble free way to live.

If you want you could let your friends and family know that if they really need money you are good for up to, say $1,000, and if they don't pay it back they aren't going to get anymore -- ever!

Hope this helps

Jerry-the-bookkeeper

Answer 6

You shouldn't have to hide the fact that you are doing good with your life, you should be proud of it

Answer 7

Very little change in our life style.  We do not care or worry about this.  Our adult children are aware we are in good shape but not our total worth.  

Answer 8

The most obvious is how others see you spend your money and the 'toys' you get for yourself or family.  Always keep a low profile, drive a decent car but not a flashy one...etc.  You can't project a 'poor' image, so you should reasonably expect others to know you are doing quite OK, getting by and living a "fairly" good life.

As far as hiding the fact that you are flipping houses, you can't.  But it gives you a good excuse that all your capital is tied up in houses.  My brother flip houses (with all cash), but he always tell people he needs to see a banker for a loan for his next purchase cuz he doesn't have enough cash.... a little deceiving, but it works... it gives others an impression that he's cash tight.  Of course, he drives a VW Jetta and wears a $9.99 watch.  That helps.  He spends his money mostly on get-aways to other places, where he can spend what ever he wants with his wife and kids and nobody sees it.  The rest he invests in stocks and long term investments.

Answer 9

Just keep living like you are. Don't buy an expensive car or designer clothes. Look into offshore accounts if you need to.

Depending on the type of family and friends you have, you may wish to hide new wealth from them.