For over 5,000 years, a Kraal—a traditional enclosure or settlement design commonly found in Sub-Saharan African cultures—has served as a central place for housing livestock, organizing villages, or performing communal activities. Typically circular in shape, the Kraal is designed to protect animals using walls made of sticks, mud, or stone. For many African cultures, it became a symbol of wealth, with the size, condition, and number of livestock reflecting a family’s prosperity. Today, Kraals remain a symbol of resilience, community, and the sustainable use of natural resources in some African societies.

In the United States, a modern version of this concept is emerging: the “Family Village.” This arrangement involves related family members living in individual dwellings within close proximity to provide mutual support, camaraderie, and care for both the young and the elderly. Such villages can range from a cluster of condos in a single building to a sprawling 10,000-acre ranch.

Since the onset of COVID-19, and even earlier, families have begun rediscovering their roots in collective living. Regardless of where their ancestors immigrated from, many are embracing the autonomy and community of a “family Kraal.” This approach allows them to preserve historical and institutional family knowledge that often dissipates after immigration.

Living in a Family Village requires families to relearn and adapt in areas such as communication and finances. Transitioning from a four-member nuclear family to a group of 12 or more family members in a Family Village exponentially increases the complexity of relationships. Miscommunication, misunderstandings, and diminished trust can arise if communication and finances are not managed effectively, potentially jeopardizing the purchase and ongoing support of the Family Village.

There are three common approaches to funding and operating a Family Village:

1. One family member fully supports the village.

2. All members contribute equally.

3. A combination of shared and individual contributions.

There is no universally correct approach, as each family’s circumstances and values differ. However, attempting to equalize financial commitments among family units often proves impractical. Aristotle’s philosophy of distributive justice can offer guidance, suggesting that resources should be allocated based on factors like need, merit, or contribution rather than equally among all members. In this context, treating everyone identically, despite differing circumstances, can lead to inequity.

Numbers matter, especially when managing individual finances. Each family unit should conduct a financial stress test to identify their basic expenses and determine their capacity to contribute to the Family Village. This process involves evaluating current cash flow, including income, taxes, and expenses, to understand the cost of living as an autonomous unit. Families then subtract property expenses (e.g., mortgage, real estate taxes, homeowner fees, and maintenance) to calculate their share of the village’s expenses.

The financial planning does not stop there. Families must also perform an estate stress test to integrate each unit’s finances. This step assesses the financial depth (operational expenses), breadth (unexpected new costs), and capital needs for long-term sustainability. These tests help narrow the price range for purchasing the Family Village property and estimating monthly operating costs.

While the process may seem overwhelming, understanding the financial realities of this lifestyle upfront is critical to avoiding financial strain or interpersonal conflicts. Establishing a Family Village is a deliberate and collaborative decision that isn’t suitable for everyone. A common misconception is that significant wealth is required for this lifestyle. However, interviews with 20 families living in Family Villages reveal that many middle-class families can thrive financially in such an environment. The stress tests provide a framework to ensure families can live comfortably without risking financial instability or family harmony.

Gary Klaben conducts workshops for families considering the formation of a Family Village, offering guidance and strategies for navigating this unique and rewarding lifestyle.

‍

‍