How many 55yo that you know in DMV have $3M+ NW?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We're 52 and 54 with a NW of over $10M saved all on our own (no family money). Not rich by any means but we do have a high HHI. We've saved aggressively since we started working and don't spend a ton.

What do you mean you’re not rich?!

I think people say these sorts of things because it gives them comfort that they’re still humble people and true to their roots. Any objective person would say they’re rich. These people just can’t bear the thought of it because to them, when they were growing up, rich people were cheats or dishonest in some way.

Interesting. I think it shows the opposite of humility and shows that they're never going to be satisfied.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Having 3M by age 55 is like going to high school and getting straight As. How many kids do you know graduated with a 4.0? Not many right? But it wasn't rocket science. Some kids just studied while others didn't.

I think this is a really good analogy!

It’s not a good analogy, more often that not getting rich is a function of timing and luck rather than working hard, it’s just a plain hard fact. For example, you are able to get that high paying job for which there were 300 applicants, sure you were qualified but so were at least 30 others but you lucked out and now you can earn and save. Anyone of us who doesn’t credit luck with our success is being disingenuous. Even Jamie Dimon recognized it as a huge factor in his success ( His Harvard commencement address).

yes luck is part of it. But let's say you take 10 kids from the same HS, with the same economic background (MC to UMC), where education is valued in their homes. The kids who graduate with a 4.0 versus those who graduate with only a 3.2 is because the one person put in more work (99% of the time). That same 4.0 kid will go to college and strive and work equally hard to do well, find internships by applying to 200+, not just 1-2 of them and being done. The drive they had in HS continues into college and beyond.

So yes, a bit of it is luck, but a lot of it is hard work. Being motivated to do well in school, and build the skills you need to do well in a career is at least 75-80%+ of succeeding in life. And creating the path you want---if you dont get the job 300 people applied for, it's asking questions and figuring out what you can do to improve you so next time time you might get it

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Having 3M by age 55 is like going to high school and getting straight As. How many kids do you know graduated with a 4.0? Not many right? But it wasn't rocket science. Some kids just studied while others didn't.

I think this is a really good analogy!

It’s not a good analogy, more often that not getting rich is a function of timing and luck rather than working hard, it’s just a plain hard fact. For example, you are able to get that high paying job for which there were 300 applicants, sure you were qualified but so were at least 30 others but you lucked out and now you can earn and save. Anyone of us who doesn’t credit luck with our success is being disingenuous. Even Jamie Dimon recognized it as a huge factor in his success ( His Harvard commencement address).

I guess I don't think it requires working all that hard, or at least not in the way DCUM talks about (aka making a huge salary at a top job). I think it's more about discipline and habits, which is also what leads many people to straight A's. You don't get to have or do everything you want all the time. You sometimes choose to stay home to study or plan for studying in advance.

To save and invest, you need to choose to consume less, especially at the beginning so you can get compounding started. I'm not 55 yet and not quite at this level yet, but so many people I know upgraded cars in their 20's because they "had to" for some reason. Then same for houses. People don't need 99% of what they say they need. 55 is 30+ years after college graduation, and those little sacrifices can add up to a lot, especially if you're a couple.

+1000

Being willing to live frugally in your 20s, to pay off student loans, build a downpayment and get a home is huge. We took our lunches to work 9 out of 10 days while 95% of the people around us were paying $10+ (30 years ago) for lunch in a cafeteria, or going out to spend $20+ on lunch. We brought our snacks from home, not from the vending machine for 8X the cost. We lived in a 1 bedroom for 3 years to save up for a downpayment and pay off the loans. Sure a 2 bed would have been nicer, so would nicer cars (I drove a Geo Metro without AC until I was 28), but we Waited. The payoff is the early savings/paying off debt allows it to grow and then you can save more once debt is paid off. We upgraded to a house, but well below what the bank said "you can afford this". And we waited until 28 and 32 to upgrade our vehicles

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I feel like the real question is what percentage of these people got here actually on their own. Meaning their parents or other family member didn't pay for their college, didn't give annual gifts, didn't buy them a car, didn't inherit. I bet it is just a handful.

You want to see people whose parents weren't able to contribute a single cent to them post-18? At this point, just ask for people who were grew up in an orphanage.

+1

Most people posting on DCUM had their parents help some with college, as should be expected if you are MC+. Even my own LMC parents "helped" some with college. I paid as much as them plus took the Fed loans (came out with ~$12K for my 5 years of undergrad---2 degrees) But they "helped"

I don't think that's true.

Well you can "think whatever you want". It is true. I split the bills with my parents, after federal loans and my work study. I was responsible for all extras/spending money. My college years were filled with telling my friends "I can do X (go to the movies on campus) or Y (Grab dinner out on Sat) this weekend but not both, because I have no money to do both. And some weeks I coudlnt' do either

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I feel like the real question is what percentage of these people got here actually on their own. Meaning their parents or other family member didn't pay for their college, didn't give annual gifts, didn't buy them a car, didn't inherit. I bet it is just a handful.

You want to see people whose parents weren't able to contribute a single cent to them post-18? At this point, just ask for people who were grew up in an orphanage.

+1

Most people posting on DCUM had their parents help some with college, as should be expected if you are MC+. Even my own LMC parents "helped" some with college. I paid as much as them plus took the Fed loans (came out with ~$12K for my 5 years of undergrad---2 degrees) But they "helped"

I don't think that's true.

I do. My parents paid for my undergrad. DH's parents didn't help him, but they were poor enough that he got a full ride between need, sports, and merit aid. If think if your income is high enough to disqualify your kids' from need-based aid, then you have an obligation to fund their college.

I'm the PP, PP, our income was low. So I received a lot of Financial Aid. So I took the $2625 fed loans each year (dating myself there), and the $1500 or 1600 work-study as well. After that my parents and I each paid approximately $4K/year for a T10 university. But minimum wage was $3.35 most of my college time. So I had to bust my a$$ to earn enough money each year (hard to do at 3.40/hour pay) And my parents didn't have much saved, my dad just worked a 2nd job to help with college.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Having 3M by age 55 is like going to high school and getting straight As. How many kids do you know graduated with a 4.0? Not many right? But it wasn't rocket science. Some kids just studied while others didn't.

I think this is a really good analogy!

It’s not a good analogy, more often that not getting rich is a function of timing and luck rather than working hard, it’s just a plain hard fact. For example, you are able to get that high paying job for which there were 300 applicants, sure you were qualified but so were at least 30 others but you lucked out and now you can earn and save. Anyone of us who doesn’t credit luck with our success is being disingenuous. Even Jamie Dimon recognized it as a huge factor in his success ( His Harvard commencement address).

To become truly rich, which is beyond $10m by my definition, you have to have luck and, in most cases, work ethic, perseverance, some intelligence, and risk-taking. The wealthiest people I know did not get straight As, go to Ivy, then work in big law or consulting. They started businesses, worked 24/7, and got lucky.

Sounds right, but if you get straight As, go to an Ivy, and work in Big Law, at least as a partner, it's hard NOT to have over $10M by the time you are 55 or 60. You'd probably need to have spent a lot of money on private schools, expensive vacations, and fancy cars not to have invested in other assets that have appreciated.

[Anonymous]

Anonymous wrote:

Anonymous wrote:If you have 5-10M net worth and are in your 50’s. Can you describe how you got there? Just curious. And only if it’s self made. No parent money to start you off.

I suggest reading the Millionaire Next Door.

Everyone has read it.

[Anonymous]

Anonymous wrote:Read the millionaire next door, OP. Those who are spending for show generally are not the ones with a high NW. It’s the ones living in a modest home driving non-flashy older cars who have/are building wealth.

That’s my father-in-law. He cracked me up with his silver Honda . He died recently and left a very generous generation skipping trust. That’s after giving millions during his lifetime. My husband and I live the same way. I think the women with the loud Gucci bags and LV with initials all over it don’t have the money they like to pretend they have.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Read the millionaire next door, OP. Those who are spending for show generally are not the ones with a high NW. It’s the ones living in a modest home driving non-flashy older cars who have/are building wealth.

That’s my father-in-law. He cracked me up with his silver Honda . He died recently and left a very generous generation skipping trust. That’s after giving millions during his lifetime. My husband and I live the same way. I think the women with the loud Gucci bags and LV with initials all over it don’t have the money they like to pretend they have.

Done so many don’t. Not everyone wants to drive a crappy Honda and leave millions to grandkids.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We're 52 and 54 with a NW of over $10M saved all on our own (no family money). Not rich by any means but we do have a high HHI. We've saved aggressively since we started working and don't spend a ton.

What do you mean you’re not rich?!

I think people say these sorts of things because it gives them comfort that they’re still humble people and true to their roots. Any objective person would say they’re rich. These people just can’t bear the thought of it because to them, when they were growing up, rich people were cheats or dishonest in some way.

+100

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We're 52 and 54 with a NW of over $10M saved all on our own (no family money). Not rich by any means but we do have a high HHI. We've saved aggressively since we started working and don't spend a ton.

What do you mean you’re not rich?!

I think people say these sorts of things because it gives them comfort that they’re still humble people and true to their roots. Any objective person would say they’re rich. These people just can’t bear the thought of it because to them, when they were growing up, rich people were cheats or dishonest in some way.

Interesting. I think it shows the opposite of humility and shows that they're never going to be satisfied.

It may be both.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Having 3M by age 55 is like going to high school and getting straight As. How many kids do you know graduated with a 4.0? Not many right? But it wasn't rocket science. Some kids just studied while others didn't.

I think this is a really good analogy!

It’s not a good analogy, more often that not getting rich is a function of timing and luck rather than working hard, it’s just a plain hard fact. For example, you are able to get that high paying job for which there were 300 applicants, sure you were qualified but so were at least 30 others but you lucked out and now you can earn and save. Anyone of us who doesn’t credit luck with our success is being disingenuous. Even Jamie Dimon recognized it as a huge factor in his success ( His Harvard commencement address).

yes luck is part of it. But let's say you take 10 kids from the same HS, with the same economic background (MC to UMC), where education is valued in their homes. The kids who graduate with a 4.0 versus those who graduate with only a 3.2 is because the one person put in more work (99% of the time). That same 4.0 kid will go to college and strive and work equally hard to do well, find internships by applying to 200+, not just 1-2 of them and being done. The drive they had in HS continues into college and beyond.

So yes, a bit of it is luck, but a lot of it is hard work. Being motivated to do well in school, and build the skills you need to do well in a career is at least 75-80%+ of succeeding in life. And creating the path you want---if you dont get the job 300 people applied for, it's asking questions and figuring out what you can do to improve you so next time time you might get it

OMG. You’re so full of sh!t that you think doesn’t stink.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Having 3M by age 55 is like going to high school and getting straight As. How many kids do you know graduated with a 4.0? Not many right? But it wasn't rocket science. Some kids just studied while others didn't.

I think this is a really good analogy!

It’s not a good analogy, more often that not getting rich is a function of timing and luck rather than working hard, it’s just a plain hard fact. For example, you are able to get that high paying job for which there were 300 applicants, sure you were qualified but so were at least 30 others but you lucked out and now you can earn and save. Anyone of us who doesn’t credit luck with our success is being disingenuous. Even Jamie Dimon recognized it as a huge factor in his success ( His Harvard commencement address).

yes luck is part of it. But let's say you take 10 kids from the same HS, with the same economic background (MC to UMC), where education is valued in their homes. The kids who graduate with a 4.0 versus those who graduate with only a 3.2 is because the one person put in more work (99% of the time). That same 4.0 kid will go to college and strive and work equally hard to do well, find internships by applying to 200+, not just 1-2 of them and being done. The drive they had in HS continues into college and beyond.

So yes, a bit of it is luck, but a lot of it is hard work. Being motivated to do well in school, and build the skills you need to do well in a career is at least 75-80%+ of succeeding in life. And creating the path you want---if you dont get the job 300 people applied for, it's asking questions and figuring out what you can do to improve you so next time time you might get it

OMG. You’re so full of sh!t that you think doesn’t stink.

I'm going to guess you are one of the 50+ who don't have $3M to their name?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We're 52 and 54 with a NW of over $10M saved all on our own (no family money). Not rich by any means but we do have a high HHI. We've saved aggressively since we started working and don't spend a ton.

What do you mean you’re not rich?!

I think people say these sorts of things because it gives them comfort that they’re still humble people and true to their roots. Any objective person would say they’re rich. These people just can’t bear the thought of it because to them, when they were growing up, rich people were cheats or dishonest in some way.

Interesting. I think it shows the opposite of humility and shows that they're never going to be satisfied.

No it’s neither. We know that we are rich, but if we actually say that, DCUM tells us we are broke and don’t know what we are talking about because Bezos still has more money than we do.

I’ve actually tested this out. One post saying how hard it was to live on $300k and a differed post saying how great it was. I was attacked either way. It’s the same with NW posts. If I say I feel totally great about our $4M a tok of people will chime in they would NEVER retire on such a stupidly low amount of money. That’s DCUM for you.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Having 3M by age 55 is like going to high school and getting straight As. How many kids do you know graduated with a 4.0? Not many right? But it wasn't rocket science. Some kids just studied while others didn't.

I think this is a really good analogy!

It’s not a good analogy, more often that not getting rich is a function of timing and luck rather than working hard, it’s just a plain hard fact. For example, you are able to get that high paying job for which there were 300 applicants, sure you were qualified but so were at least 30 others but you lucked out and now you can earn and save. Anyone of us who doesn’t credit luck with our success is being disingenuous. Even Jamie Dimon recognized it as a huge factor in his success ( His Harvard commencement address).

yes luck is part of it. But let's say you take 10 kids from the same HS, with the same economic background (MC to UMC), where education is valued in their homes. The kids who graduate with a 4.0 versus those who graduate with only a 3.2 is because the one person put in more work (99% of the time). That same 4.0 kid will go to college and strive and work equally hard to do well, find internships by applying to 200+, not just 1-2 of them and being done. The drive they had in HS continues into college and beyond.

So yes, a bit of it is luck, but a lot of it is hard work. Being motivated to do well in school, and build the skills you need to do well in a career is at least 75-80%+ of succeeding in life. And creating the path you want---if you dont get the job 300 people applied for, it's asking questions and figuring out what you can do to improve you so next time time you might get it

OMG. You’re so full of sh!t that you think doesn’t stink.

I'm going to guess you are one of the 50+ who don't have $3M to their name?

Just under that and took the same steps as many here. We are frugal. We have bought 1 car in our 20 year marriage. Have a modest house (less than 2000 sanctioned) that we can afford on one salary. We haven’t taken a vacation in six years even then it was a road trip to the Indiana Dunes. We have no debt except mortgage. And so on. The money just doesn’t come as easily for everyone including many of us in IT and STEM and keeping skills up to date. Some of us have gotten promotions without or with modest pay raises. There is more to just do A, B, C and you’ll have $10M+ easy.

There just a lot of bunk going on here.

Fidelity suggests the goal is 10x your salary by 67.