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M*: Can You Accumulate $1 Million Saving $14 per Day?
FYI: Saturday's ABC World News aired an investment snippet on how Americans should prepare for retirement. The feature lasted just under a minute and a half.
Consequently, there was no time to explain the numbers. Such are mass communications, and you will find no protest from me. This column skips plenty of details itself. However, I do have enough room to explore the segment's most dramatic claim: That somebody who begins investing at age 23 can retire with $1 million by investing $14 daily into a "low-cost S&P 500 fund." Regards, Ted https://www.morningstar.com/articles/880879/can-you-accumulate-1-million-saving-14-per-day.html
So what you're saying is it's mathematically possible. Thanks for the information...
This reminds me of a Suze Orman segment about life insurance. She told a person who called in (who she presumably knew nothing about) not to buy whole life. Instead, buy a term policy and invest the difference in premiums, which at 8% return would more than replace the insurance when the term ended. The unspecified assumptions baked into that 30 second blurb abound.
My first thought was, "stop talking to me about insurance - tell me how to ensure an 8% return on my savings."
Comments
This reminds me of a Suze Orman segment about life insurance. She told a person who called in (who she presumably knew nothing about) not to buy whole life. Instead, buy a term policy and invest the difference in premiums, which at 8% return would more than replace the insurance when the term ended. The unspecified assumptions baked into that 30 second blurb abound.
My first thought was, "stop talking to me about insurance - tell me how to ensure an 8% return on my savings."