[dirtdobber]

Spend no more than 1% of their investment per year and invest the rest. This means that if you inherit $10m (after taxes), you should really only be withdrawing about 100K (before taxes). On the remaining wealth, you hope to earn 7+% year over year to beat inflation and grow your *real* net worth over time.

Inflation is necessary, and a low, predictable inflation rate is good for the economy. But it's still a wealth tax of the worst kind -- it's essentially a flat tax on everyone regardless of their level of wealth.

Remember, a government with $35T in debt can't possibly raise that much money from taxes; 3 out of every 4 dollars we pay in income taxes already goes to interest payments on that debt alone. The government will instead inflate the debt away by paying it back with future dollars that are worth less.

Many high net worth individuals are aware of this fact, but blindly giving heirs millions of dollars and not educating them about the money system will inevitably lead to poor outcomes.