What strategies can be learned from Commodore's approach to family budgeting?

The Vanderbilt family's handling of their fortune offers several lessons. First, it's important to heed the advice of those who have successfully managed wealth before, as Billy did when he doubled the family fortune. Second, maintaining control over wealth-generating assets, like Billy's 87% share of New York Central, is crucial. Third, succession planning is key to preserving wealth across generations. The fortune dwindled when it was split and divided between two sons, one of whom died early and the other retired. Lastly, the story underscores the importance of financial education and management skills in preserving and growing wealth.

After William '2' Vanderbilt retired, the Vanderbilt fortune started to decline. The wealth was divided among many heirs over generations, and they made lavish expenditures that depleted the family fortune. Additionally, some of the investments they made did not yield the expected returns. Over time, the Vanderbilt fortune, which was once one of the largest in the world, dwindled significantly.

The New York Central played a significant role in the Vanderbilt family's wealth. William "Billy" Vanderbilt inherited the bulk of the estate at $95 million from his father, Commodore. He took his father's advice seriously about maintaining the fortune and managed to double the family fortune to over $200 million. This was largely due to his 87% controlling share of New York Central. Thus, the New York Central was instrumental in the growth of the Vanderbilt family's wealth.