Beating the Midas Curse

by Perry L. Cochell, Rod Zeeb

Only 1 out of 10 families successfully pass their unity and prosperity from one generation to the next. For as long as historical records have been kept, the three-generation cycle of boom to bust has been the painful reality for nine out of ten families. Two thousand years ago in China the saying was 'wealth never survives three generations.' A century ago in Brazil it was 'from the stables to the stars to the stables' in three generations. Many cultures, one sad tradition of loss and failure.Watching your family's material assets fade away is bad enough; even worse is witnessing the damage done to individual family member achievement and family unity, in large part because traditional inheritance planning fails to address the Midas Curse.Perry Cochell and Rod Zeeb knew why so many families were failing. For them, the more important question was: what were the 10% of families who continue to thrive and prosper generation after generation doing differently? Beating the Midas Curse is the product of decades of research and practical experience with hundreds of families at all income levels, from average income earners to billionaires. It details the practical, proven methods identified by Cochell and Zeeb that have been used for centuries by the 'successful 10%' to beat the Midas Curse.Start with the information in this book, and then begin your family's own multi-generational journey to greater unity, strength and prosperity-right now.

274 pages, Paperback

First published November 9, 2005

Reviews

[Betsy Schwarzentraub · Rating 5 out of 5]

Remember the story of King Midas? He wished that everything he touched would turn to gold. It was a blessing – until his daughter greeted him with a hug and turned to gold as well. In Beating the Midas Curse, two planned-giving professionals say that the most important legacy people want to leave their loved ones is not their “gold” (money and assets), but “a clear vision for the future” powered by their values. If planned giving makes our children and grandchildren wealthy but fractures the family, it has defeated its purpose.

Historically, estate planning has focused almost exclusively on financial inheritances, say the authors, but that misses a far more meaningful inheritance than money – the emotional inheritance we receive over our lifetime from family members, friends, teachers, leaders, and others who’ve been significant in our lives. “Money is still important,” they say, “but only in its function as a resource to help perpetuate the values that will keep the family strong and prosperous for generations.”

This book proposes a specific, dynamic process that develops both an emotional side as well as a financial one. It includes the older generation sharing how made their money (including their work ethic, family history, and sacrifice), and developing a transition plan to get the kids on board about how to use money wisely. It includes values assessment for the intended beneficiaries, establishing a family bank, making decisions together as a family, and participating together in philanthropy. Planning ends up being more than just creating a will and trust, final instructions, and powers of attorney.

This is a refreshing book written in an engaging, accessible style. It takes a new angle on how planned giving can be a significant family affair, building good stewards in the process.
Betsy Schwarzentraub

[CM Witty · Rating 4 out of 5]

Very easy read with plenty of anecdotes and entertaining stories to support the main message of the book. Though there are some timeless take-away(s) to be gleaned from this offering, it is, unfortunately, hard to ignore how dated it is. A revised edition, and an audio-book, are strongly recommended. Maybe even a podcast? The beginning was a drawn out, and somewhat repetitive, effort to convince the reader of the merits in heritage planning. Eventually it picked up when the author(s) get to the nuts and bolts of the concept. Overall, I will keep this book in my library as a reference, and, I certainly marked it up a bit!

[Elizabeth Thorley]

I highly recommend to anyone interested in improving outcomes with transferring wealth and leaving a lasting legacy. Its about the QUALITATIVE aspects of planning that are often ignored in traditional estate planning. This is a book is not just for professionals, but more importantly, for thier clients.

[Randy Friedlander · Rating 4 out of 5]

Describes a methodology of keeping families successful, and avoiding the curse of "shirtsleeves to shirtsleeves in three generations". A good read for anyone concerned about their legacy, financial an otherwise. I met the co-author, Rod Zeeb in 2017 and was inspired to reach the book.

[Brian · Rating 4 out of 5]

Excellent...For those looking to leave more of themselves than their assets to their kids!

[Donna · Rating 4 out of 5]

Good read. Illustrates and defines the often overlooked aspects of estate planning: a transfer of values, not just wealth, maintaining family unity, keeping heirs well balanced, the many benefits of philanthropic giving. An important work as evidently 90-96% of inheritors still tend to blow their inheritance rather than manage it well and use it for good.

Two favorite quotes from the work:
"In fact, your estate is not a 'thing in itself.' Instead, it is an intertwining set of relationships between you, your ancestors, your children, and generations of your children yet unborn." (p.32)

"… emerging consensus among advisors, counselors, non-profit organizations and affluent families … that a family-based program of philanthropy is the most powerful tool there is for encouraging personal responsibility, accountability and family unity." (p. 149)

[Ryan · Rating 2 out of 5]

This book described a very interesting problem: 9 out of 10 inheritances are squandered. While many families take care of their estate plan, insurance, beneficiaries, etc., most will fail at what the authors call heritage planning.

I liked the premise of the book. It talks about a very real problem. However, the book is short on answers. The "solution" entails raising your children properly, to respect hard work, and a hard-earned dollar. I guess 9 out of 10 families fail at this? While I appreciate the articulation of the need for good parenting in relation to the successful transfer of wealth, there is not much insight regarding how to do this. The authors do offer a few guidelines, but it left me wanting.

My humble opinion, skip this book and go straight to Millionaire Next Door.

[Purple Wimple · Rating 2 out of 5]

I read this on assignment; it's an interesting idea-- engaging the whole family in formulating one's estate plan.

The authors (one of whom we know) seem to be writing for a stage performance; I find that annoying.

I also think it's silly to suggest that this is somehow a new idea. Isn't that what good parents have done since time out of mind?

They say no; I have my doubts.