'Leave money for kids but in secret'
By Teh Jen Lee and Shree Ann Mathavan
HIS father told him not to expect a cent from him, and to make it on his own. He did.
So the words of renowned musician Andrew Llyod Webber and one of the world's richest men, Mr Warren Buffett, resonate with him. They both recently announced that they would not leave their huge wealth to their children.
Mr Adam Khoo, a success coach and author who also runs an enrichment centre, came from a wealthy background as his father owned a successful advertising agency.
He grew up in a large bungalow in Changi but knew his father expected him to make it on his own.
'He told me if I don't make it to university, don't expect him to bail me out. This gave me motivation,' said Mr Khoo, 34, who is married with two daughters aged 3 and 5.
'I think it's good to leave something but don't tell your kids.'
His father would spend on books and food, but when it came to toys and games, he had to buy them with his own money.
So at age 15, he started selling corporate stationery door-to-door. He has had a variety of part-time jobs, including being a deejay and a technician.
'I am a firm believer that kids should work during school holidays. It teaches them the value of money. They'll know how hard it is to make money and think twice about asking for new computer games or a handphone. It also keeps them occupied,' said Mr Khoo, who became a self-made millionaire at 26.
He said his friends who succeeded at a young age did so because they had a level of maturity that came from their work experience which started in their teens.
In contrast, he knows of children who were spoilt rotten and turned out horribly.
'One of my father's friends gave his kid a personal driver and $1,000 in monthly allowance. He also had a supplementary credit card in JC. He went out drinking all the time and got into fights,' Mr Khoo said.
'He is over 30 now but is still asking money from his parents - he feels that the whole world owes him a living.'
He agrees with the 'leave enough but not too much quote' from Mr Buffett.
Mr James Aitken, managing director of HSBC Trustees Singapore, said this phrase resonates with many families and is often the starting point for a discussion on how much, and when, the next generation should benefit from the wealth of the family.
He said: 'We spend a lot of time discussing with families the need to balance the desire to provide for their children and the desire to ensure that their children have an opportunity to find their own way in the world.
'Philanthropy is an alternative that many families now consider. It is a way that a family legacy can be continued which can involve family members over succeeding generations without removing the incentives for family members to succeed in their own right.'
A slightly different view comes from Mr Yung Ong, 28, the director of operations for Proof Living, an upmarket furniture store on Stamford Road.
He said the question of inheritance was never brought up by him or his parents.
Mr Ong's family owns the Peranakan Place complex while his sister, Ms Ying Ong, 23, is the director of Novus bar and restaurant at the National Museum.
Said Mr Ong: 'We're not working in the family business because of inheritance but because we wanted to see if there's a way in which we could contribute to the business after we graduated.
'We don't rely on the thought that there will be a windfall or not.'
Extreme
Mr Ong thinks Mr Webber's stand on not leaving an inheritance to his five children is 'quite extreme'.
He said: 'I think he should at least leave something behind for them.
'But he shouldn't leave them everything either. He could perhaps donate some of his wealth to charity. That's something I'm sure my parents would do.'
But he pointed out that his scenario is quite different from Mr Webber's.
Said Mr Ong: 'We have our parents' legacy to carry on. For him, it's different because he can't exactly pass on his creative genius to his kids, it's not so much a business.'
One might easily assume that the Nottingham University graduate was born with a silver spoon in his mouth.
But that's something that Mr Ong is quick to dispute. When he was born, he said his family wasn't so well off.
As a child, he recalled living in a one-room HDB flat in Farrer Park. Because finances were tight, he said his family lived frugally, dining most of the time at home and only occasionally venturing out for hawker fare.
His very first pair of Nike shoes was a gift when he was 13 years old. These were so treasured that he repeatedly mended the soles after they fell apart.
It was only in the last decade or so that the family's fortunes rose, said Mr Ong. The family now lives in a bungalow on Belmont Road.
Because of the way he grew up, he said he doesn't take his privileged lifestyle today for granted.
Mr Ong said: 'I know that money doesn't grow on trees, you have to work for it and it can disappear in an instant. My parents always taught me to treasure everything no matter how much it costs.'
But having money has undeniably helped in some aspects, Mr Ong noted.
He said: 'A lot of options and opportunities were available to us and it has also allowed for us to be in the positions we are in today.'
When it comes to his own family, someday, Mr Ong believes he will 'definitely leave something behind' for his children.
By Teh Jen Lee and Shree Ann Mathavan
HIS father told him not to expect a cent from him, and to make it on his own. He did.
So the words of renowned musician Andrew Llyod Webber and one of the world's richest men, Mr Warren Buffett, resonate with him. They both recently announced that they would not leave their huge wealth to their children.
Mr Adam Khoo, a success coach and author who also runs an enrichment centre, came from a wealthy background as his father owned a successful advertising agency.
He grew up in a large bungalow in Changi but knew his father expected him to make it on his own.
'He told me if I don't make it to university, don't expect him to bail me out. This gave me motivation,' said Mr Khoo, 34, who is married with two daughters aged 3 and 5.
'I think it's good to leave something but don't tell your kids.'
His father would spend on books and food, but when it came to toys and games, he had to buy them with his own money.
So at age 15, he started selling corporate stationery door-to-door. He has had a variety of part-time jobs, including being a deejay and a technician.
'I am a firm believer that kids should work during school holidays. It teaches them the value of money. They'll know how hard it is to make money and think twice about asking for new computer games or a handphone. It also keeps them occupied,' said Mr Khoo, who became a self-made millionaire at 26.
He said his friends who succeeded at a young age did so because they had a level of maturity that came from their work experience which started in their teens.
In contrast, he knows of children who were spoilt rotten and turned out horribly.
'One of my father's friends gave his kid a personal driver and $1,000 in monthly allowance. He also had a supplementary credit card in JC. He went out drinking all the time and got into fights,' Mr Khoo said.
'He is over 30 now but is still asking money from his parents - he feels that the whole world owes him a living.'
He agrees with the 'leave enough but not too much quote' from Mr Buffett.
Mr James Aitken, managing director of HSBC Trustees Singapore, said this phrase resonates with many families and is often the starting point for a discussion on how much, and when, the next generation should benefit from the wealth of the family.
He said: 'We spend a lot of time discussing with families the need to balance the desire to provide for their children and the desire to ensure that their children have an opportunity to find their own way in the world.
'Philanthropy is an alternative that many families now consider. It is a way that a family legacy can be continued which can involve family members over succeeding generations without removing the incentives for family members to succeed in their own right.'
A slightly different view comes from Mr Yung Ong, 28, the director of operations for Proof Living, an upmarket furniture store on Stamford Road.
He said the question of inheritance was never brought up by him or his parents.
Mr Ong's family owns the Peranakan Place complex while his sister, Ms Ying Ong, 23, is the director of Novus bar and restaurant at the National Museum.
Said Mr Ong: 'We're not working in the family business because of inheritance but because we wanted to see if there's a way in which we could contribute to the business after we graduated.
'We don't rely on the thought that there will be a windfall or not.'
Extreme
Mr Ong thinks Mr Webber's stand on not leaving an inheritance to his five children is 'quite extreme'.
He said: 'I think he should at least leave something behind for them.
'But he shouldn't leave them everything either. He could perhaps donate some of his wealth to charity. That's something I'm sure my parents would do.'
But he pointed out that his scenario is quite different from Mr Webber's.
Said Mr Ong: 'We have our parents' legacy to carry on. For him, it's different because he can't exactly pass on his creative genius to his kids, it's not so much a business.'
One might easily assume that the Nottingham University graduate was born with a silver spoon in his mouth.
But that's something that Mr Ong is quick to dispute. When he was born, he said his family wasn't so well off.
As a child, he recalled living in a one-room HDB flat in Farrer Park. Because finances were tight, he said his family lived frugally, dining most of the time at home and only occasionally venturing out for hawker fare.
His very first pair of Nike shoes was a gift when he was 13 years old. These were so treasured that he repeatedly mended the soles after they fell apart.
It was only in the last decade or so that the family's fortunes rose, said Mr Ong. The family now lives in a bungalow on Belmont Road.
Because of the way he grew up, he said he doesn't take his privileged lifestyle today for granted.
Mr Ong said: 'I know that money doesn't grow on trees, you have to work for it and it can disappear in an instant. My parents always taught me to treasure everything no matter how much it costs.'
But having money has undeniably helped in some aspects, Mr Ong noted.
He said: 'A lot of options and opportunities were available to us and it has also allowed for us to be in the positions we are in today.'
When it comes to his own family, someday, Mr Ong believes he will 'definitely leave something behind' for his children.
