This week I had a conversation with my son about the choices of young college graduates around investing. I asked him about his friends and if they were putting money away for their retirement. Most have decent jobs. But no, they have other concerns. They have student loans, car payments, rent, very little furniture and want to have fun too. So putting money away for their future is on the back burner…maybe not even out of the pantry.
And we women make a similar mistake. We wait for the time to be better, we wait for that raise, we wait because the market is unsteady, we wait until we talk to our partner about it, we wait until we can focus on it, we wait until we find the time…we’re busy.
So we wait.
And it costs us big time! A quick calculation: IF you are earning $85,000 a year, saving 20% of your salary (401K, IRA, savings), and putting it in the bank instead of investing it, wait 5 years to invest, then that just cost you more than $170,000. Wait another ten years and you’re down over $337,000. The cost of waiting is $100 a day. Can you afford that?
Market return since 1929 with reinvested dividends has been nearly 9%. (https://dqydj.com/dow-jones-return-calculator/). That’s with all the ups and downs; all the market slides, declines and crashes included! In my investing lifetime it’s been 11.75% (1985-2015). That’s quite a return!
It’s time to address that issue. Get started and pay your future self. If you haven’t started, then today is the day. I can help you set up an Automatic Investment Payment Plan to pay the future YOU.
You do deserve it !
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. All performance referenced is historical and is no guarantee of future results. All indices are unmanaged and may not be invested into directly. Investing involves risk, including the risk of loss.