Quote:
Originally Posted by Packer Fan
6. The reality is that with 401Ks and IRAs it is not that hard to become a millionaire. Just saving $550 a month from 30-65 invested in a stock/bond mix gets you there. That just is not that much. That is not even counting the company match most get.
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I agreed with your post til you came to the above point. It is VERY hard to become a millionaire, if you don't earn enough to cover the bills AND save $550/month at the same time.
In fact, most of the country is unable to save $550/month, and some of the country doesn't even earn $550/month. The latter is definitely the minority.
But if it were that easy to do, then you'd see most people doing it. How to know it's not true: most people aren't millionaires. Most people have modest savings, live in modest homes, can pay their bills with enough left over for a week in Vegas, and put 3% of their modest paychecks into a matching 401k plan at work.
Once the kids are old enough for college, they're strapped for cash, and have to cut back on those Vegas vacations.
When they retire, they will be nowhere near being a millionaire. They'll live on a limited income that will allow them to live comfortably, but not extravagantly. MOST people will never be able to afford a $500,000 home. MOST people won't even be able to afford a $300,000 home, anywhere in the USA.