Of course Asian-Americans are discriminated against. It's a sad reality that Asian-Americans are enough of a minority to fight for. Because Asian-Americans outperform on grades and test scores, Asian-Americans are discriminated against and have higher standards when it comes to college admissions. We found this out during the Harvard Asian-American discrimination lawsuit.
Despite Asian-Americans being discriminated against in college admissions, Asian-Americans must move on. Control what you can control. Nobody is born on an equal playing field. There people who are born rich who end up broke. And then there are people who are born into poverty who end up earning a top 0.1% income due to hard work and lots of help along the way.
How Discrimination Against Asian-Americans Can Help
Discrimination against Asians will actually end up SAVING a lot of Asian-Americans a lot of money in the long run. Why? Because people who go to Ivy League schools and other elite universities end up doing what most people do after college anyway. See: What If You Go To Harvard And End Up A Nobody?
In this day and age when the internet has made education free for all, spending a fortune to go to an expensive private university is more for status and prestige. It is not for actually learning more. In a YOLO economy, the seeking status and prestige is low priority.
Just look at this chart on how much private school tuition costs in the modern era. Ridiculous I say!
Higher Expectations If You Attend A Prestigious University
Yet, because they went to an Ivy League school, they may end up DISAPPOINTED with their lives because they aren’t doing anything more special than those who did not go to Ivy League schools sitting right next to them.
When I worked at Goldman Sachs from 1999-2001, we rejected Ivy League graduates all the time for lower ranked schools due to personality and fit. If you lack emotional intelligence and can't get along with people, then you are screwed.
It’s no secret that Asian American students far outperform students of other races academically. Yet, they comprise e only about 20% of students enrolled at Ivy League schools. Top schools like CalTech and Berkley on the other hand, have Asian enrollment closer to 40%. Why? Because California universities do not practice affirmative action.
If the Ivy League was actually admitting students based on academic achievement, the proportion of Asian students would be much higher. See chart below at the obvious discrepancy.
Asian-Americans Have The Highest Income
Despite persistent discrimination in college admissions and in the workforce, Asian-Americans have the highest income in America. Take a look at the income by race data below. The post also shares with you the reasons WHY Asian-Americans tend to earn more and have higher net worths than other races.
Discrimination Won't Stop You From Reaching Your Goals
Once you realize that nobody will save you, not affirmative action, not a company with a diversity quota, not the government, and not a connection who looks like you, you tend to work your butt off to try and make it on your own.
It is incredibly empowering and often times easier to move forward when your back is against the wall.
I figured long ago that I was never going to get promoted to the highest levels of my firm, so I negotiated a severance and decided to make my own money as an entrepreneur. Succeed or fail, there was nobody to blame but myself.
I’m thankful every day that I wasn’t given preferential treatment because it feels incredibly satisfying to create something on your own. Making $1 with my own too hands feels way better than making $1,000 for a firm as an employee!
Now, I have all the freedom in the world as my own boss. With a baby boy to take care of now, my wife and I feel so thankful to be stay at home parents because we took matters into our own hands.
Discrimination Against Asian-Americans Keeps Me Motivated
Without discrimination, I'm certain my wife and I would still be working mindless jobs, 50+ hours a week. Instead, thanks to discrimination against Asian-Americans, we are free!
Thanks to discrimination, I have endless motivation to keep Financial Samurai going until my kids graduate from college. This site was founded in 2009 and I will publish 3X a week for the next 20 years. Why? Because this site is a great small business that can teach my kids about business and employ my kids if they get discriminated down the road.
Further, I've been building a rental property portfolio so that my kids have a place to live if needed. And if they get discriminated in the workplace and want to do something else, they can earn a living managing the family's real estate portfolio in the meantime.
See: Three White Tenants, One Asian Landlord
Discrimination against Asian-Americans has helped our family build more wealth than we could have ever imagined. Therefore, I'm thankful for the hardship and the opportunity America has provided our family so far.
Achieve Financial Freedom Through Real Estate
Real estate is my favorite way to achieving financial freedom. It is a tangible asset that is less volatile, provides utility, and generates income. By the time I was 30, I had bought two properties in San Francisco and one property in Lake Tahoe. These properties now generate a significant amount of mostly passive income.
In 2016, I started diversifying into heartland real estate to take advantage of lower valuations and higher cap rates. I did so by investing $810,000 with real estate crowdfunding platforms. With interest rates down, the value of cash flow is up. Further, the pandemic has made working from home more common.
Take a look at my two favorite real estate crowdfunding platforms. They are free to sign up and explore.
Fundrise: A way for accredited and non-accredited investors to diversify into real estate through private eFunds. Fundrise has been around since 2012 and has consistently generated steady returns, no matter what the stock market is doing. For most people, investing in a diversified eREIT is the way to go.
CrowdStreet: A way for accredited investors to invest in individual real estate opportunities mostly in 18-hour cities. 18-hour cities are secondary cities with lower valuations, higher rental yields, and potentially higher growth due to job growth and demographic trends. If you have a lot more capital, you can build you own diversified real estate portfolio.
Recommendation To Build Wealth
Nobody will care more about your money than you. Sign up for Personal Capital, the web’s #1 free wealth management tool to get a better handle on your finances. In addition to better money oversight, run your investments through their award-winning Investment Checkup tool. It will show you exactly how much you are paying in fees. I was paying $1,700 a year in fees I had no idea I was paying.
After you link all your accounts, use their Retirement Planning calculator. It pulls your real data to give you as pure an estimation of your financial future as possible. Definitely run your numbers to see how you’re doing. I’ve been using Personal Capital since 2012. Since then, I have seen my net worth skyrocket during this time thanks to better money management.
FinancialSamurai.com was started in 2009. It is one of the most trusted personal finance sites today with over 1.5 million organic pageviews a month. Financial Samurai has been featured in top publications such as the LA Times and more.