Being
Rich is No Fun! In many cases, we have the option to be rich but many of us
choose to be poor because it is far more fun! Poverty is more fun if it means
spending all your money on everything you want day to day. Being rich often
means foregoing all those great toys and experiences we are offered. What does
it mean to be rich? It varies in opinion but let’s say it’s having $2 million
or more saved. If you power save starting at age 40 and invest $25,000 a year
in the stock market earning 8% annually, by the time you retire at 67 you’ll
have almost $2.2 million. VOILA! You’re rich! But only at the expense of
missing out on that big house, fancy car and awesome vacations your peers may
have had. So why would we want to be rich? So that in retirement you can
maintain your normal standard of living and not have to work until you’re 90
(if you are even able to). Reaching the
age of 60 in a panic and realizing you have nothing saved is a high price to
pay for enjoying decades of self-imposed poverty. Going from lobster today to
Spam in retirement won’t be easy. 30
years of retirement requires a lot of money and a lifetime of saving can get
you through it. And no matter how old you are and how far behind you may be,
now is the time to create a plan to get you to your goals.
Larry Pike, CFA
Client Priority Financial Advisors LLCwww.clientpriority.com
