The whole goal of all this planning, budgeting and multiple streams of income is to create wealth for retirement (among other things). It’s been said that one would need at least a million dollars to live off in retirement. With inflation in most likely will be more but least get to the first, the first million.
Was reading a favorite new blog of mine, budgets are sexy, where he has the same thoughts. In fact he has started the millionaire club where everyone has laid out on their own sites their path to becoming a millionaire. So I’ll throw my hat into the ring and layout my path here.
Now I am starting later than most in the club, about to celebrate my 14th anniversary of my 30th birthday. I don’t think it’s impossible but it will be difficult. My goal is to reach the mark by my 65th, I mean my 35th anniversary…. Awww you know what I mean.
I encourage the youth that may stumble here to think hard about your future and maybe commit to something like this early, since time is your biggest asset when growing wealth.
I do want to preface that I intend to do this while maintaining a sense of quality. I’m not switching to mac n cheese and we have house project to get our home into shape again. With that said here is my path and what I intend to do.
Move my SIMPLE IRA to a more accessible location and start adding to it again (max if I can)
- Eliminate all existing debt by 2015
- Pay off mortgage 5 years early (or more)
- Continue building multiple streams of passive and semi passive income
- 75% of secondary income will go into savings and investment accounts (only exception is if primary is low for the month and need to cover budget)
- NO NEW DEBTS
- Eat healthy and exercise daily! (cant enjoy the million if Im not around)
- Contribute to savings, investments (yes both) monthly (doest mater how much as long as I contribute)
- Cut back on electric, water and gas.
- Budget and track all spending
- Do all of this while still having a quality and fun life
- Think Positive!
|Savings and Checking||$25,562|
|buy and hold||$4,691|
May make changes and additions to the list over time.
How are you going to make your million?