Reply to What is your HHI and how much do you save?

Forum Index » Money and Finances

Reply to "What is your HHI and how much do you save?"

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]I don't understand how people are say, in their 40s, with roughly a $200k income (assume didn't earn that the whole time) and have multiple millions of dollars in investments....? Were you able to max 401ks or something from day 1 at age 21?

Even if you max your 401k from age 21, it would take 20+ years to get to "multiple millions" with compounded interest[/quote]

We have less income than that (170K) and probably 2 million net worth.  But it's not all in our retirement accounts.  Some of that is buying a house and the house going up in value and also paying down the mortgage.  [b]Some of that is inheritance.[/b]  700K is in retirement funds.  Which is the right number for us at this point since there will be a federal government pension.  We max TSP contributions and the non-full-time spouse does gig work and puts 6K in retirement every year.  500K came from an inheritance but came when the stock market was about to tank so it's only gone down.

Basically if you start saving a lot early, buy a home early, (marry early, obviously) and earn 120K at least before you're out of your 30s, the money really adds up.[/quote]

I wish people would just lead with this. People in their 40s with relatively low incomes who have millions in the bank have family money. They often didn't pay student loans, had help with down payments, access to family funds and/or trusts. You need to have money to make money. It's as simple as that.

There are VERY FEW people who actually come from nothing and make something of themselves. [/quote]

+1000[/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics