The SAVINGS PLAN

Saving up $500,000 sounds difficult, yet it’s possible with the leverage of Compound Interest. Boiling down the effect of small expenditures and small amounts of savings is often the turning point away from ignoring savings altogether.  Holding our breath for a better future, a better paycheck, a better opportunity is rarely fruitful.  We CAN create those futures, sure but waiting is not an action.  Instilling great concepts in money management is often the difference between having something, and doing nothing.

Let’s gaze upon some monthly savings brackets, and the outcome these will provide…

FIRST LET’S LOOK AT ONE CRITICAL FACTOR:

The TIME when YOU PUT THE MONEY INTO INVESTMENT

$10/month saved = $120/year = $3600/30 years
{30 year compound interest incrementally added each year} = $10,095
{6% payout for 30 years after that} $605 every year to you
The grand total you receive for $3600 investment is $28,245 total …pretty awesome really

Compare that to putting that $3600 in compound interest today, for the entire 30 years!

after 30 years = 21,681.27
{6% payout for 30 years after that} $1300 payout to you every year
The grand total you receive for $3600 investment is $60,707 total
Outstanding!!!

OBVIOUSLY, the longer Compound Interest works on your money, the better.

We’ve been using the $500,000 savings point for retirement, because it would pay you $30,000 a year for doing nothing! (And you would still have your half-million dollars on top of that)

Let’s look at the exact amount of money you would have to save and invest right now to reach half a million dollars as quickly as possible:

… that number is $85,000

If you could put this much money into investment, right now, at 6%, then in thirty years you would have around $511,000 (remember to account for future tax situations as you invest!!!) When you use that lump of money to pay you 6% every year for the following 30 years, your total payout would be $919,800.  So, during that time, You would be living off $30,660 per year, and in the end you would still have HALF A MILLION DOLLARS IN SAVINGS!!!

This is a very reasonable, yet lofty goal.  Many people could live slim and trim for 2 to 3 years and accomplish this $85,000 savings feat.  If you spread it over a longer period of time, it might seem more manageable, and still VERY worthwhile even if you lose a few potent years of Compound Interest.  There are some people out there who are intelligently racing to get to the $500,000 savings mark as early as possible, because that constitutes EARLY RETIREMENT!!!  As soon as you get to that point, the pressure is relieved, and you can retire, or do whatever work you choose.

Let’s break this down into the monthly savings brackets,

The two ideas of savings are usually split between saving a regular amount of money every month, or trying to save a massive amounts as quickly as possible (which freakishly enhances your investment account A.S.A.P.!!!)  The best advice is: DO EITHER, AND BOTH!!!

Check out these critical brackets of monthly savings plans of $50, $100, $200, $1,000.  This knowledge is vital to choose the necessary route to your own early retirement.

Find your number, and if possible, speed the plan up by saving more!

$50/month saved = $600/year = $18000/30 years
{30 year compound interest incrementally added each year} = $50,476.88   {6% payout for 30 years after that} $3028 every year to you.  The grand total you receive for $18,000 investment is $141,332

$100/month saved = $1200/year = $36,000/30 years
{30 year compound interest incrementally added each year} = $100,953
{6% payout for 30 years after that} $6057 every year to you.  The grand total you receive for $36,000 investment is $282,668

$200/month saved = $2400/year = $72,000/30 years
{30 year compound interest incrementally added each year} = $201,907
{6% payout for 30 years after that} $12,114 every year to you.  The grand total you receive for $72,000 investment is $565,340

$1,000/month saved = $12,000/year = $360,000/30 years
{30 year compound interest incrementally added each year} = $1,009,537
{6% payout for 30 years after that} $60,572 every year to you
The grand total you receive for $360,000 investment is $2,826,697

————-  ——————-

As you can see, there is a sweet spot that begins above $200 a month saved

for 30 years…  at that point $12,000 per year is the 6% payout to yourself every year thereafter, which is more than a full time minimum wage worker, especially if you have secured housing 30 years from now.  This money will enhance Social Security payments dearly… and could be the difference between little freedom, or total freedom.

REACHING THESE GOALS REQUIRES ACHIEVING SMALL GOALS every time, month by month, as you go along. Remember, the banks win by collecting mortgage interest from you every month. YOU WIN by collecting interest payments from your own savings interest.

There are so many ways to reach these savings goals, this website is FILLED WITH THEM!

Get a quality discount cellular plan instead of a ridiculous premium plan
Don’t buy a brand new car, or buy a cheaper car…
Drive a 4 cylinder car instead of a v-8
Shop at discount grocery stores

With just 3 of these considerations you might already reach your first savings goal of $200 a month right now!!!  Just put those saved dollars into your savings/investment account today.

GREAT SAVERS ALL SAY:
I DON’T MISS THE MONEY REALLY:
I ALSO DON’T MISS THE INSECURITY!!!

It’s important that we take advantage of this knowledge which most of our peers are ignoring altogether, the very reason their financial future is questionable.  A few bad decisions coupled with shrugging off the savings idea can be the difference between futile future and a fertile future!!! Wow, that sounded cheesy!

A farmer who doesn’t plant seeds
is just a fool in a field!!!

Faith will never put those seeds in the ground!!! EVER!

Surviving Big Commerce is about using everything you have, every tool, and trying to make very few silly mistakes like having bonfires fueled by cash money!  Big Commerce loves taking people down: big fish just swallow the small fish.  The only way to avoid such a fate, and to avoid living in poverty in middle-age and old-age, is to do these things… RIGHT NOW!!!

We must get our savings plan ACTIVE, TODAY =
Ingrain it into your cash flow system, and never let it go.

As you put money into that account, you are setting fire to the leverage big corporations have against you!  With every dollar saved, you are building  your own leverage!!  Every dollar saved is a miracle in your future, a miracle made by you, utilized by you: It’s like batman’s utility belt, Mario’s Super Power Flower, it’s like a cure for the zombie virus, or the key to the lock that’s been holding you in a cage for your entire life… a life of FORCED-FUTURE-LABOR!!!

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