Home Forums Hunting & Shooting Hunter's Campfire Don't look now but stock market is booming

Most folks can't save a nickle. That includes lots of folks I know. They'll spend money like it's going out of style, but when they run out of it, they are the biggest victims you've ever met. Every excuse in the book.

If you invest $300 per month at the average stock market return of 12% from age 22 to age 67, you'll accumulate a $5.5 million retirement stash.

Now, watch, and some of the nay sayers will come on and say that inflation will turn that $5 million into something not worth worrying about, or that it can't be done, or that $300 per month is too much money. Shut up. It's less than half of your stupid car payment. Mow a few lawns every month, and you can retire a millionaire. For the price of basic cable, you can have a million $ retirement nest egg. There is no excuse.

Ron, there are plenty of 70 year old + in the HDO system. If you are curious at all, I would recommend you sign up for the free two-week membership and get on the chat board and talk to all the other investors in your age category.

I ran the numbers about 1 month ago for a 23 yr old kid i worked with. I told him that $10 per day @ 7% gains average for 50 yrs will get you $ 1.8 million dollars. At 12% it will , like Dutch sais will get you $5.5 million dollars. That does not mean a whole lot cause I am 54 yrs old, but my 20 yr old son that has $ 5,500 in his ROTH and $ 1,000 in his taxable account, now you are talking about a kid that might be a millionaire when he is my age. My daughter, she is 25 and has $ 1,000 saved. Still better than many.

All good but what does $1.8 million or, for that matter $5+ million, do for one in 2067? Make no mistake I retired at 53 thanks, in part, to the stock market. But a million dollars is not a lot of money years out.

Seriously? SERIOUSLY? You are going to the inflation boogey man?

Ok, I'll play the game. The average stock market return NET OF INFLATION, over the last 100 years has been just under 7%.

So, as posted above, a $300 investment per month from age 22 to age 67 will net you a million of TODAY'S dollars at 7%. 15% of that will be the money you put in, 85% of that will be returns. That's 300 lousy dollars a month, never increasing your investing as you get older and your income goes up. In today's dollars, that 300 monthly investment is $42 in 2067. Friggen' peanuts.

I think a million of today's dollars would make for a much better retirement than throwing your hands up and counting on the government to provide for you, don't you agree?

Want to try something else? Ok, that 22 year old couple, instead of a $15,000 wedding, you put that $15,000 in two Roth's in an S&P index fund. At age 67, that'll be a coooooool 2.5 MILLION.

Yea, I know, that's only $360,000 in today's dollars. Better blow that in one day on bridezilla's whims.... (please engage sarcasm detector).

24k/year in Vanguard index funds for my 401k (hit the magic 50 two years ago). I'll think I'll be fine at age 70 when I start pulling money out...

We have been putting money in several funds before 911.

We lost over 80,000 in a short period of time after that. . . .

OO, what do you think of 5 mo of decreasing house signings? That forebodes rough times to me.

Agreed, with minor edit.

Anything more "sophisticated" (HA!) than putting money into index funds requires a very high risk tolerance AND a willingness to lose a bunch, even in the long term.

The average stock market return over the last 100 years is right around 12%. All you have to do is put your money in and KEEP IT IN. The only people that get hurt on a roller coaster are the ones that get off before the end of the ride.....

So how do you kno you are at the end of the ride?

How's that Roman market doing?

Did you sell?