"John A. Weeks III" <john[at]johnweeks.com> wrote:

- quote -

So we are actually talking about a dollar invested in your 20's is worth about
$2.50 invested in your 30's. That I'd believe. The 10x nonsense is likely to
establish some unrealistic expectations.

- quote -

The core point, with which I strongly agree, is "When saving for any goal,
earlier is better than later".

-- Doug

In article <stdui0t2i80iljd1vtosqlneh8ptomo0dj[at]4ax.com> , Douglas
Johnson <johnson[at]classtech.NOTPARTOFADDRESS.com> wrote:

- quote -

This is an illustration intended to get the poster motivated to
start investing while they still have time on their side. We
discussed the mathematics of this a while back, and the discussion
is still up at google groups.

Very basically, the poster is 25 years old. If she gets an
average of 10% return, we get the following results:

At age 25, $1 invested ends up being worth $72.89 at age 70.
At age 35, $1 invested ends up being worth $28.10 at age 70.
At age 45, $1 invested ends up being worth $10.83 at age 70.
At age 55, $1 invested ends up being worth $4.18 at age 70.

I would still rather have the results from age 25 over the
results of age 55 if I had a specific savings goal in mind for
retirement.

-john-

--
================================================== ==================
John A. Weeks III 952-432-2708 john[at]johnweeks.com
Newave Communications http://www.johnweeks.com
================================================== ==================

"John A. Weeks III" <john[at]johnweeks.com> wrote:

- quote -

10x return on investment in 10 years? How do you do that?
-- Doug

In article <cglf1u$o7t[at]odak26.prod.google.com> , Keisa M.
<keisaweisa[at]gmail.com> wrote:

- quote -

At your age, I would do everything possible to max out your 401K,
and any other retirement options that you might have (IRA and
Roth). Every dollar you put way in your 20's is worth $10 put
away in your 30's, worth $100 put away in your 40's, and worth
$1000 put away in your 50's. This is your time to rock'n'roll,
so don't pass up the opportunity.

If your 401K has some kind of upper limit, see if you can go
above it to catch up. For example, I once worked at a place
that limited me to 5% in my 401K. I started putting money away
in July of that year. I was able to put away 10% that year,
since at the end of the year, it only ammounted to 5% of my
income. You may be able to go 15% or 20% this year until you
max out your plan limit.

-john-

--
================================================== ==================
John A. Weeks III 952-432-2708 john[at]johnweeks.com
Newave Communications http://www.johnweeks.com
================================================== ==================

I'm 24 years old, currently unemployed, and 10% of my unemployment
check goes into my savings account. I'll be starting back to work soon,
and it will be 90 days before I can participate in my company's 401k.
My plan is this: for those 90 days, 20% of my paycheck directly into
savings, and after those 90 days 10% into 401k, and 10% into savings.
Does anyone have any different thoughts as to what I should be doing
with my money? I'm have total debt of about 300 dollars. Thanks in
advance.