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So OP was making 300k (roughly standard for a mid-level engineer in the Bay Area at about 20+ different companies here) and dumping 160k of it into index funds
by pembrook 6y ago
So OP was making 300k (roughly standard for a mid-level engineer in the Bay Area at about 20+ different companies here) and dumping 160k of it into index funds every year.
With the market basically doubling over the past 8 years with no inflation, and those returns compounded, it's clear to see how he got to $2m.
This doesn't account for any returns on company stock OP held on to (tech companies have basically doubled the return of the S&P over the past 10 years).
Whether you could replicate OP's experience over the next 10 years, is debatable.
- gnicholas 6y agoThe scenario you describe makes sounds plausible, but it isn’t “I saved $2.2M over my 8 year career”. “Save” ≠ invest in the stock market. The commenter made this seem like the low-risk alternative to taking VC funding, so relying on stock market returns is antithetical to that.