Ash ExantusChief Financial Educator, Ash Cash Enterprises · Financial Empowerment Leader | Public Affairs Strategist | Media Executive | Advocate for Economic Equity & Financial Literacy | Champion for Formerly Incarcerated Communities

Ash Cash discusses the Black vs. White Wealth Gap w/ BET.com

25 Jun 2016 · 2 min

Watch on YouTube

2:22

In a BET.com on‑camera report hosted by Sampson Styles, the stark income and wealth gap between Black and white Americans is examined. The segment opens with striking statistics: for every dollar a Black person earns, a white person earns twice as much, and for every dollar of wealth a Black person holds, a white person holds six dollars. The crew conducts man‑on‑the‑street interviews in New York City, asking respondents how they would spend a $100,000 windfall. Answers range from paying off debt, saving, investing in a nonprofit, buying luxury items, to traveling. The majority of responses are practical, highlighting debt repayment and savings. The report then turns to personal‑finance expert Ash Cash, who explains that the wealth gap is driven largely by structural factors: white families often start with inherited assets, while Black families are more likely to rent and lack generational wealth. Even among Black homeowners, properties are frequently located in neighborhoods with slower appreciation compared to those of white homeowners, further widening the gap. Cash emphasizes that homeownership, inheritance, and neighborhood appreciation are key wealth‑building mechanisms that are unevenly distributed, perpetuating the disparity.

Chapters

What's poppin'? I'm Sampson Styles reporting to you for BET.com. The income and wealth gap that exists between blacks and whites has been a topic of many discussions. For every dollar a black person earns, a white person earns double. And for every dollar of wealth a black person has, which is the money left over after all the bills are paid, a white person has 6. It can be argued that the income gap is caused by flawed policies and discriminatory practices, but is there a difference between how white and black people spend money? We hit the streets of New York City to find out.
If you could give me $100,000 right now, I would definitely pay down a good amount of debt that I have. First thing I would do is pay off all my student loans.
Right now, I would pay off some debt.
I would just invest it in a nonprofit.
First, book a trip to the South Pacific.
Get all the Jordans I ain't got yet.
I would take it and put it in the bank, and when it grew to about $400,000, I would probably give $100,000 to charity and keep the other $300,000. I'll probably save it and make more money with it.
For the most part, people had some sensible answers. So I asked myself, what are some of the major factors that contribute to the wealth gap between blacks and whites? We caught up with Ash Cash, a personal finance expert, author, and business consultant, and asked his opinion on this matter.
The reason for that is because, one, white families usually come in with some type of investment already. Black folks don't necessarily have, you know, inheritance or wealth. They're probably renting, so they're giving money away to a landlord. Wealth is usually driven by homeownership. And even if you look at someone who is Black who owns a home and somebody who's white who owns a home, most of the times on average, the white family usually lives in neighborhoods where the property appreciates more and the Black family lives in a place where the property value doesn't appreciate as much, which increases the wealth gap.
The wealth gap won't be narrowed overnight. However, on the next installment of this money series, Ash Cash will give 5 tips to help anyone attain wealth. For more news, stay logged on to BET.com.