Quote:
Originally Posted by toy71camaro
Well, I started fairly early, an old store manager that i worked at when i was 19 suggested i start a 401k ASAP (they'd just changed the laws so i would be eligible). His quote stuck in my mind (every 7 years it doubles, if you start now, think about those extra last 2 doubles you'll get!!). Anyhow... If i'm so lucky as to save $5k a year going forward, investing that and earning 7% rate of return, by the time i'm 65 i "could" have upwards 1.5MM. BUT, I hope to be earning MORE than a measly 7% and contributing MORE than the $5k/yr.  |
Just know that I'm bowing to you!!!
'Cause that right there is awesomeness!
The reason for setting the bar LOW (the 5% I always use) is so that there is an upside surprise rather than a fudge it factor that is just plain BS. The AVERAGE market is around 9 to 11% -- which at that rate - doubles money every 5 years rather than 7…. but if you count on that and save that way - you'll end up short. Better to end up way better than way short!!