3 ms·
Okay, so I'll make a spreadsheet where I assume a 50% annual return and then show it's so easy to retire in less than 10 years! For ANYBODY! On only $50 per m
by msandford 11y ago
Okay, so I'll make a spreadsheet where I assume a 50% annual return and then show it's so easy to retire in less than 10 years! For ANYBODY! On only $50 per month of savings! YOU'RE AN IDIOT FOR NOT DOING THIS!
The point is that eventually a quantitative difference becomes a qualitative difference. Few people can make a 10% annual return and many, many fewer still can make a 50% annual return. But if you just buy index funds, it's fairly straightforward for just about anyone to make a 4% annual (real) return.
Given the gigantic difference in how these curves grow over time, it's entirely fair to point this out.
- tunesmith 11y agoEven then... which index funds? At what allocation? And how often to rebalance? It's still way too easy to try and get into timing the market even if you just stick to index funds.
- fmorel 11y agoVanguard's Target Retirement funds are great for this. I make automatic monthly contributions and never worry about rebalancing.
- czbond 11y agoThat wasn't the point of the article, and you can get more than a 10% return. Sitting in the public markets doing what everyone else does wont' get you there. I've been down voted because of everyone's limited thoughts in what it takes to achieve this. Why do I know this? Because I'm in a very similar position as the author.