The three pillars of wealth-building

Think of wealth as a building with three pillars. Click on each pillar to learn more.

Real Property Assets, Investments, Entrepreneurship
The first pillar of wealth building is Real Property Assets (your personal residence and investment real estate) because in general, real estate appreciates in value. You can also gain financial flexibility if you're able to borrow money using your home as security. For more about real property assets, see the topic "Buying a Home" in the Hands on Banking Adults course. The second pillar is investments – for example, a retirement account where you have stocks and bonds. For more about investing, see "Investing Basics" and "Get Started With Investing" in this topic. And the third pillar, for many people, is entrepreneurship – owning a business of your own. For more about starting, managing, and growing your own small business, see the Hands on Banking Adults course and the topic "Earning $" in the Young Adults course.
For most people, 2/3 of family wealth is in the family home. Home equity can be a source of capital for all your wealth-building goals, and a home can be a significant legacy for the next generation.
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What is wealth-building? The wealth building pyramid Three pillars of wealth building Buying a home: Benefits & realities Buying a home: Are you ready? Retirement planning: Start early! The 4% Rule Protect yourself with insurance The big picture: Your financial plan