Nine Formulas For Wealth Building

The perfect one/two combo to building wealth

Example: You have the customary 60/40 mix of stocks and bonds, and the funds you are invested in eat up 0.5% a year in fees. Then 5*0.6 + 2*0.4-0.5 = 3.3. Now, 3.3% a year is a decent return, but it may be a bit less than you were hoping for. Its enough to turn the dollar you put into a 401(k) at age 25 into $4.04 at age 68. That is, scrimping today will enable you to buy four times as much stuff in retirement.

All three of these options would be great, but theyre probably hard to make happen. If they work out, wonderful, but how can you grow your income if they dont? Ive always been a big believer in elevation in austin tx managing those things that I have control over. So if my goal is to increase my income, Ill view my familys spending as the first place to look for that extra income. Thats right.