Comments on: How to Save a Million Dollars at Any Age: 25 Years Old http://www.consumerismcommentary.com/2008/02/01/how-to-save-a-million-dollars-at-any-age-25-years-old/ A premiere personal finance blog, established 2003. Within, Flexo discusses his own experiences with money, and he and other authors comment on a wide range of personal finance topics. Fri, 06 Nov 2009 05:34:21 -0500 http://wordpress.org/?v=2.8.5 hourly 1 By: Adfecto http://www.consumerismcommentary.com/2008/02/01/how-to-save-a-million-dollars-at-any-age-25-years-old/#comment-136127 Adfecto Wed, 06 Feb 2008 23:09:31 +0000 http://www.consumerismcommentary.com/2008/02/01/how-to-save-a-million-dollars-at-any-age-25-years-old/#comment-136127 It is important to realize that as you get older and progress through your career (and as your salary grows with inflation) the amount you are able to save goes up drastically. Each year take at least half of any raise you get and use it to increase your retirement savings until you get to at least 10% (my goal is 20%). Then each successive year increase the dollar amount you save to maintain that percentage. I ran the numbers for this scenario and they are pretty compelling. If you are interested I made a full post about it on my blog. It is important to realize that as you get older and progress through your career (and as your salary grows with inflation) the amount you are able to save goes up drastically. Each year take at least half of any raise you get and use it to increase your retirement savings until you get to at least 10% (my goal is 20%). Then each successive year increase the dollar amount you save to maintain that percentage.

I ran the numbers for this scenario and they are pretty compelling. If you are interested I made a full post about it on my blog.

]]> By: Dan http://www.consumerismcommentary.com/2008/02/01/how-to-save-a-million-dollars-at-any-age-25-years-old/#comment-135699 Dan Sun, 03 Feb 2008 19:04:07 +0000 http://www.consumerismcommentary.com/2008/02/01/how-to-save-a-million-dollars-at-any-age-25-years-old/#comment-135699 $1M in 40 years is equivalent to $259,500 in today's dollars. Not rich, but better than many retirees. Jason, if you continue to save $1,500 per month, you will have over $5.2M when you turn 64, if you earn Kiplinger's 8% APY. That's the equivalent of $1.3M in today's dollars. $1M in 40 years is equivalent to $259,500 in today’s dollars. Not rich, but better than many retirees.

Jason, if you continue to save $1,500 per month, you will have over $5.2M when you turn 64, if you earn Kiplinger’s 8% APY. That’s the equivalent of $1.3M in today’s dollars.

]]> By: Jason Unger http://www.consumerismcommentary.com/2008/02/01/how-to-save-a-million-dollars-at-any-age-25-years-old/#comment-135685 Jason Unger Sun, 03 Feb 2008 15:48:31 +0000 http://www.consumerismcommentary.com/2008/02/01/how-to-save-a-million-dollars-at-any-age-25-years-old/#comment-135685 I hate these kind of articles (not from you, Flexo, but from pf media). Of course if you start doing the right things earlier, you'll have more money down the road. The story isn't able "How to Make a Million at 25" -- it's about starting to save when you're young. And doing the right things with it. I'm 24 and my wife and I save around $1500/month. We're on the right track. But, like Lily said, $1m in 40 years isn't going to mean anything to us. I hate these kind of articles (not from you, Flexo, but from pf media).

Of course if you start doing the right things earlier, you’ll have more money down the road.

The story isn’t able “How to Make a Million at 25″ — it’s about starting to save when you’re young. And doing the right things with it.

I’m 24 and my wife and I save around $1500/month. We’re on the right track. But, like Lily said, $1m in 40 years isn’t going to mean anything to us.

]]> By: Flexo http://www.consumerismcommentary.com/2008/02/01/how-to-save-a-million-dollars-at-any-age-25-years-old/#comment-135373 Flexo Fri, 01 Feb 2008 16:16:50 +0000 http://www.consumerismcommentary.com/2008/02/01/how-to-save-a-million-dollars-at-any-age-25-years-old/#comment-135373 Great point, Lily. I bring that up all the time. $1,000,000 won't do as much for you 40 years from now as it does now. Great point, Lily. I bring that up all the time. $1,000,000 won’t do as much for you 40 years from now as it does now.

]]> By: Lily http://www.consumerismcommentary.com/2008/02/01/how-to-save-a-million-dollars-at-any-age-25-years-old/#comment-135371 Lily Fri, 01 Feb 2008 16:03:05 +0000 http://www.consumerismcommentary.com/2008/02/01/how-to-save-a-million-dollars-at-any-age-25-years-old/#comment-135371 But assuming 3% inflation, you'll have to save more than $900 per month to get to $1 million in purchasing power at age 65. But assuming 3% inflation, you’ll have to save more than $900 per month to get to $1 million in purchasing power at age 65.

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