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If you want 7 figures you need to learn how to grow it from 5. Either start your own business (which would come from this side hustle) or invest every penny you

If you want 7 figures you need to learn how to grow it from 5. Either start your own business (which would come from this side hustle) or invest every penny you earn across a diverse portfolio and do that for a couple years. You may get lucky and end up with 7 figures. If you just saved your money, over time, you will absolutely have 7 figures.

pyrrhotech 3y ago
yes but making 7 figures annually is quite a bit different than simply having a 7 figure total net worth. The latter is achievable by most frugal middle class Americans over the course of a career, often much shorter. The former is usually not possible through a day job over a normal career length
- reactordev 3y ago
  With enough income sources it is. All while being a SWE. Passive income is the way to 7 figures annually. You are right that 7 figures annually is different than just 7 figure net worth. However, if you have a 7 figure net worth, you could probably get to 7 figures annually relatively easily.
  - shoo 3y ago
    > However, if you have a 7 figure net worth, you could probably get to 7 figures annually relatively easily. something to reasonably expect, might be be a 4% real return (i.e. net of inflation). that's achievable with discipline and no skill through low fee passive index investment. luck of avoiding catastrophes would also help. at 4% real return, assuming you paid zero tax, your wealth doubles roughly once every 19 years. To throw off a 7 figure income at 4% real return you need $25m invested. That's 4.6 doublings of your initial $1m, so after 80-something years you're across the line. better start early. Another way to accelerate the journey is to cheat and convert your money into a currency that is extremely devalued, then your income can have many additional figures even if your wealth is unchanged.
    - pyrrhotech 3y ago
      yea if you want to go it the investing route, you need much better returns than 4% real. Personally I've been beating the market with algorithmic trading (https://grizzlybulls.com/models/vix-ta-macro-mp-extreme https://grizzlybulls.com/models/vix-ta-macro-mp-extreme) but it's still a long game unless you start with millions
    - reactordev 3y ago
      “How to make $1M, start with $10M” is something I would hear vineyards say.

pyrrhotech 3y ago

yes but making 7 figures annually is quite a bit different than simply having a 7 figure total net worth. The latter is achievable by most frugal middle class Americans over the course of a career, often much shorter. The former is usually not possible through a day job over a normal career length

reactordev 3y ago
With enough income sources it is. All while being a SWE. Passive income is the way to 7 figures annually. You are right that 7 figures annually is different than just 7 figure net worth. However, if you have a 7 figure net worth, you could probably get to 7 figures annually relatively easily.
- shoo 3y ago
  > However, if you have a 7 figure net worth, you could probably get to 7 figures annually relatively easily. something to reasonably expect, might be be a 4% real return (i.e. net of inflation). that's achievable with discipline and no skill through low fee passive index investment. luck of avoiding catastrophes would also help. at 4% real return, assuming you paid zero tax, your wealth doubles roughly once every 19 years. To throw off a 7 figure income at 4% real return you need $25m invested. That's 4.6 doublings of your initial $1m, so after 80-something years you're across the line. better start early. Another way to accelerate the journey is to cheat and convert your money into a currency that is extremely devalued, then your income can have many additional figures even if your wealth is unchanged.
  - pyrrhotech 3y ago
    yea if you want to go it the investing route, you need much better returns than 4% real. Personally I've been beating the market with algorithmic trading (https://grizzlybulls.com/models/vix-ta-macro-mp-extreme https://grizzlybulls.com/models/vix-ta-macro-mp-extreme) but it's still a long game unless you start with millions
  - reactordev 3y ago
    “How to make $1M, start with $10M” is something I would hear vineyards say.