Are the odds in your favor?
In case you have not heard, there is a mega millions drawing happening tonight. Actually, it’s a $2.6 billion dollar drawing. It has created a lot of excitement for many. Everywhere you go, you can hear people talking about what they would do if they won, where they would go, and what they would buy. Many have expressed quitting their jobs right away, buying a new house (or island), or helping family members. It seems people are inspired to dream when they have a chance of “winning big”. I have to admit, it is fun to get lost in the “what would I do with a billion dollars” fantasy. Unfortunately, the odds are certainly not in our favor of winning the lottery. I read somewhere that you have a better chance of “being drafted by the NBA or being killed by a vending machine” then winning the lottery. Yikes! But still, Americans across the country are excitedly buying their tickets in anticipation that this could be the life change they have been waiting for.
What if I told you that you don’t actually need luck to become a millionaire by the time you are 65. All it really takes is some forethought, discipline, and time. In fact, if you are still in your 30s, all it takes is saving $7,000 a year through a retirement account. That works out to about $580 per month before taxes. Which really means you will probably only miss about $460 from your actually net pay check. Friends, that is only about $220 per biweekly pay. Can you find a way to defer that into a 401k or IRA for the future payout of $1,000,000? Can you start with something smaller and build to achieve the ultimate goal? Someone in America might become a billionaire tonight, but it is possible for many more to become millionaires by the time they retire. It all starts with making the choice to save now for the future.
We love helping our clients hit the “retirement jackpot” … no lottery ticket necessary!