Quote:
Originally Posted by Rainger99
I asked AI to use the average income (about $66,000) and to invest it for 43 years (age 22 to 65) at various rates of return.
According to AI, investing 15% of the average income annually at a 7% return for 43 years could grow to approximately $2.81 million.
A more conservative return (e.g., 6%) would yield around $2.2 million, while a higher return (e.g., 10%) could push it toward $4.5 million.
If the worker made $33,000 a year, a 7% return for 43 years could grow to approximately $1.39 million.
A more conservative return (e.g., 6%) would yield around $1.09 million, while a higher return (e.g., 10%) could reach about $2.23 million.
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So you know many 17 year olds who make even $33,000?
Looking forward you are putting a lot of trust into AI and the markets to assume 10% every year for the next 40 years to achieve the first multi million.
And if you are right, if the 17 year old starts at $33,000, and if the market increases by 10% for every year from now until 2058 then he will have $2M in the account with the buying power of $700,000. Not bad, but hardly a large nest egg.