{ "media_type": "text", "post_content": "How much did you have invested at 30? And how much do you now?\n\nI am 25 and from what I can tell… If I get to $100k in investments by the time I’m 30 and just let it sit for 35 years, that will almost be enough to retire on in itself ($3.2M assuming 10% growth, $1.4M assuming 7.5% growth).\n\nAny flaws in that strategy?", "post_id": "610a7167cd33e700210425be", "reply_count": 15, "vote_count": 2, "bowl_id": "59064a3cb12379001006592c", "bowl_name": "Personal Investment Chatter" }

How much did you have invested at 30? And how much do you now? I am 25 and from what I can tell… If I get to $100k in investments by the time I’m 30 and just let it sit for 35 years, that will almost be enough to retire on in itself ($3.2M assuming 10% growth, $1.4M assuming 7.5% growth). Any flaws in that strategy?

like
Posting as :
works at
You are currently posting as works at

At 30, I had near zero invested, but had bought my first condo, had bought a slightly used car without taking on debt, and had paid off my student loans. Now I’m 42 with $650k invested, another $650k in property equity (one rental, one primary), and no debt outside of the two mortgages. If I did it again I probably could have invested more earlier, but I also don’t regret getting rid of debt and prioritizing home ownership either. I think it’s important to just keep the perspective that everyone’s life scenario is going to be different so comparing yourself to others is tricky. We all just try to make the best decisions we can with the information we have and the situations we’re in.

like

I typically use 5 percent growth to understand the value in today's dollars, and even that seems ambitious with new inflation concerns. A real analysis might want to use 4-4.5 percent. We are not living in the golden age of the empire any longer. There was a lot of real economic growth in the post-war period and mostly scavenging since then via consolidation and tax plays. It's going to get harder and harder to get those types of returns with limited population growth and urbanization seemingly tapped out due to price of land. All I'm saying is history is a nice guide, but 75 years is the blink of an eye in the history of the world and what worked for two generations is not assured for the next. Counting on it for 35 more years is not sufficiently conservative. But as you can see, I'm simply not optimistic about the fundamentals of our economy. Doesn't mean it will be true but you will want to account for in your planning.

like

To answer your question, 27 and 200k. Will probably be a bit shy of 300k at 30 or the market could take a tumble and I'd be way shy.

like

I would let say flaws but things to think about. Inflation. Just remember that in 40 years 1.4 or 3.2 million will not be worth what it is now. Also there is no guarantee the market will return what it historically has. Not saying it won’t but you never know. Don’t forget about taxes also

like

Agree but my other point about assuming historical returns still applies

At 25, I had nearly zero. But around then is when I decided to really focus on investing with a goal to eventually begin maxing my 401k, HSA, Roth IRA, and mega back door Roth IRA. At 31 I made enough to finally max everything. At 32, I currently have $400k across all accounts. Additionally, I purchased a 1BR Beach Condo rental this year (~40k equity). A lot can happen in a short time.

like

I’m 25, with a little over 100k saved in my 401k. At the end of the day, I make it a goal to max my 401k, Roth IRA up to 6K, 10% in ESPP and then a 529 plan for my cousins. Whatever I have left over I use for bills/rent. Rarely have more then 1k in my account. Heavily invested in my future. The compound effect is a great book if you want to learn a bit more. Really helped me jump start and appreciate the value of compound interest. I like the strategy a lot, but don’t get too comfortable! 🙃

like

You just made my day. Means a lot, thank you for your kind words.

like

Dream bigger friend. Try to get to at least $1M by the time you’re 30.

like

CoastFIRE afterwards

Flaws would be not hitting those growth numbers until 65, especially as you taper down risk close to retirement, and that in 40 years what you can withdraw and live off after higher inflation and higher taxes on that $1-3M will be a hell of a lot less. But overall, yes, continue to invest early and often and let compounding do the work!

like

Also lifestyle inflation. If you’re spending 100% of your salary between 30 and 65, you’ll have a hard time retiring on those numbers.

like

It’s definitely an interesting perspective. And the S&P500 has returned 10% or more over any 30 year period (average return per year) in its history if you just hold. Overall I’d say target the 100k by 30, but don’t stop investing then. You might have a spouse that has student loans, potentially kids that you want to fund to college, or even parents you have to take care of that require drastic measures. And our generation people say will require $3M or so to retire. Don’t plan on social security being there, and consider your tax bracket in retirement may be a bit hard to predict

Related Posts

What is the order in which you Max out your retirement saving accounts? I currently do 401k up to the match, then $19.5k limit towards 401k, Roth 6k limit, and now thinking of HSA.

like

My husband and I (both 27) max out our Roth IRAs each year, have a complete emergency fund, and I’m able to start maxing my 401K this year (he contributes 10% to his 401K - it isn’t possible for him to max his based on his current pay). We contribute 18% extra towards principal on our mortgage each month. We now have about $20k of additional savings we want to figure out what to do with. What would you recommend to someone who is new to stocks/investments?

like

Is today (dec 31) the last day to max out 401k limit of $19.5k for 2020?

like

What’s a good fun purchase on a associate 1 salary. I’m putting my max in 401k but I want to splurge on 1 thing.

like

If you get 10cr as net worth right now, would you leave your job and retire?

like

How much money do you save/put aside each month (not including 401K)

like

My org will be pausing the Employer match to 401k for a few months. What's the best strategy to optimize my investment at this time? Ride along/increase or decrease my percentage?

like

Do you have a personal portfolio on top of your 401k/IRA?

did not invest in 401k first half of year. if I put in the required 6 percent per month for each month till.now, will I get the match on the months of Jan to nov? or only the month of nob!?

like

What should I do? My 401k went from gaining 38% year after year for the past 4 years, now I'm losing money rapidly. I lost over 11k twice this week already. I been down almost every day this week. Please offer some good advice. What should I do? Should I put everything into safer stocks or just sit tight and ride it out?

like

Are MDs at EY pension eligible? What"s the formula?

like

Please talk me out of ordering the new ford bronco for 50k. Background: 26 y/o 2020 grad. After taxes, 401K, and HSA I take home ~6100/month. My current car is 13 years old and on its last leg(s). Current debt is 850/month for income based student loan repayments. I have 6 month emergency fund in savings and 20% of net income goes to brokerage account. Growing up lower middle class my only “I’ve made it” purchase is a bad A double S vehicle I actually want. I also get double steak at chipotle.

likefunnyhelpful

Is getting your CFP worth the investment? I am in my 30s and plan on staying in this industry as an FA until I retire. Lately I’ve been getting asked if I offer any fee-only options and I know you can’t be fee-only unless you’re a CFP... Do we see the industry headed this way?

likehelpful

Wtf is with our 401k "changes". I swear, our executive management is full of idiots.

like

If I have $375k in my 401k at 35, is there any reason to keep contributing? I leave $375k alone for 30 years and that’s going to already be a decent retirement

like

Is $10m enough to retire at 65 in NYC?

like

Is anyone here a foreigner working in the US, and contributing to your 401(k)? Is it worth it if you don’t plan to retire here? Insights appreciated.

like

New to investing, but want to make sure I'm doing this correctly. I've maxed out my 401K and am looking to open an IRA. I know everyone recommends backdooring this into a Roth IRA, but if my plan is to move/retire to a state with no state income tax, wouldn't traditional make more sense? Or am I overthinking this? Also, if I go the backdoor route, how do I make sure I don't get taxed again, when i convert to a Roth? Thanks in advance!

like

401k or Roth ira which is better

like

Is anyone changing their 401k holdings given the current economic situation or sitting tight?

like

Additional Posts

When interviewing for a PM role at a bank should I wear a suit and tie even though it’s on zoom ?

like

Decided that I’m leaving audit today. Trying to understand the full range of opportunities in forensics. Will have my CPA and CFE. So far, I understand that there are client-serving firms like FTI and then the B4 will have forensics arms as well. What are some other forensic accounting roles? Pros and cons? Better than audit? Honestly just looking to learn anything.

like

Is there a bowl for all things MBB (people wanting to transition there, currently interviewing, compensation, etc)?

like

Lied about my salary so I could get more money from a company. Is there any way they could find out my current salary? 🧐

likesmartfunny

What sort of swag did you receive when you joined your firm? (Not talking about signing bonus)

likeuplifting

Monthly rental car for project, drove around this weekend and notice scratches- what next? Will i be in trouble

like

Question for home owners - do you prefer to roll your Homeowners Insurance into escrow and pay over the year? Or do you prefer a 1x payment. My insurance is offering a discount if I pay at once

What's salary slab for D1/D2 Capgemini, managing consultant role ...

like

Is there any consulting companies in the US that sponsor new hires (for example data science consultants) for a H1 visa or GC?

like

Am I the only teacher who doesn’t have family or friends willing to help with their classroom? I’ve moved rooms every year for the last 5 years and I have a large family and lot of friends, but no one is ever willing to help. I told my mom today that it really hurts my feelings, as she declined my request to help as she simultaneously asked ME to help do something for my sister’s house. I explained I’m always there when people need me, but I feel let down when I’m in need. Anyone else?

like

https://www.bloomberg.com/news/articles/2021-03-22/bosses-are-clueless-that-workers-are-miserable-and-looking-to-leave?srnd=premium Wonder what the numbers would be for consulting - naturally higher because the tenure is low to begin with but curious on what it would be above that due to the pandemic and WFH.

like

Is there an Accenture DC holiday party?

like

Does anyone have 120K bonvoy points they’re willing to sell? How much?

like

How long before the final settlement comes through after your final day of notice period? And how is the last month's salary calculated? My last date is 11/19.

like

Fis 15lpa ( includes 10% variable pay ) plus 1lakh joining bonus. ITC Infotech 16 LPA fixed. Ey :14.5 fixed plus 50k joining bonus Which to join ? Considering wlb , career growth. Need quick response guys. My lwd is 29th sep. Yoe : 3.5 yrs. Tech stack: Java and springboot.

like

Any bad or good experiences asking out a co worker from the same home office?

like

Best books to read for acing the interview at the a big 4 consulting firm?

like

Which firms are still letting people expense overtime meals, aka WFH hasn’t changed expense-ability?

like

Has anyone experienced a Lightning Talk/Demo as part of the McKinsey Digital interviewing process? If so, what was that like?

like

How many calls have you had on Teams/Zoom/Skype/Webex etc? I'm wondering how many hours of my life were spent on "can everyone please go on mute" and "let's take it offline" 😬

like

New to Fishbowl?

Download the Fishbowl app to
unlock all discussions on Fishbowl.
Download Fishbowl to see what others are saying
That was just a preview…
Sign Up to see all discussions
  • Discover what it’s like to work at companies from real professionals
  • Get candid advice from people in your field in a safe space
  • Chat and network with other professionals in your field
Sign up in seconds to unlock all discussions on Fishbowl.

Already a user?
Login here

Share

Embed this post

Copy and paste embed code on your site

Preview

Download the Fishbowl app

Get realtime notifications and see
what's happening in your industry
from the palm of your hand.

For account settings, visit Fishbowl on Desktop Browser or

General

Legal