Business Insider | January, 2016

The 2 Biggest Financial Planning Mistakes Rich People Make Are the Same Ones That Plague Us All

It can be hard to relate to rich people.

However, some of the biggest financial mistakes rich people make are all too familiar.

"There are two things I see every high net worth person has not planned for adequately, to their measure: their child's education, and their retirement," says Steven M. Piascik, CPA, MT, founder and president of boutique CPA firmPIASCIK.

Piascik, who specializes in tax minimization and complex tax strategies for high net worth individuals and corporations, clarifies that adequate planning means something different depending on an individual's circumstances.

He says clients come to see him who are focused on growing multimillion-dollar companies, and when he asks them how much they have saved for retirement now that they're in their 50s, they say figures like $100,000 — not nearly enough.

He encourages clients to estimate how much money they'll spend per year in retirement, and finds that to afford the figures they suggest, they often need to be saving tenfold, or even 20-fold, the money they are now.

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