one out of six retire a millionaire

[street]

How to retire as a millionaire — just like one out of every 6 people - Business Insider

 

[COcheesehead]

Or to put it another way, 83% of retirees do it without being a millionaire.

 

[cbo111]

The article has the simplistic ring of a Suze Orman lecture.
Also, the article says the "Average wealth for American retirees is $752,000", then in the next paragraph says "Still, the median wealth for retirees is just over $200,000." The reader is left to assume the term "average" equates to the mean?

 

[gerntz]

A M-aire ain't what it used to be. Remember the 50's TV show The Millionaire?

 

[braumeister]

A M-aire ain't what it used to be. Remember the 50's TV show The Millionaire?

Agreed. Based on cumulative inflation (CPI), a million dollars when that show began would be over nine million today.

 

[Another Reader]

Agreed. Based on cumulative inflation (CPI), a million dollars when that show began would be over nine million today.

And some of us are trying to hit that number!

 

[rodi]

And some of us are trying to hit that number!

LOL - and some of us figured out that not working was far better than hitting that number.

 

[street]

I thought it was interesting the methods they recommend that could make you a millionaire seemed reasonable. Not sure their numbers are right or just their opinion.

 

[Dawg52]

LOL - and some of us figured out that not working was far better than hitting that number.

Ain't that the truth. I'm enjoying being a retired pauper.

 

[aaronc879]

That seems much higher than I thought. I'm not aware of anyone around me who retired with a million $ or is planning to reach that number. It's unheard of around here. I'm sure there are some doctors or business owners who reach that number but it's well under 17% of people. Maybe more like 5% at best.

 

[braumeister]

That seems much higher than I thought.

Yes, I think that's what others are saying.
Retirement can be happy at whatever level you feel comfortable.

 

[treeofpain]

The article has the simplistic ring of a Suze Orman lecture.
Also, the article says the "Average wealth for American retirees is $752,000", then in the next paragraph says "Still, the median wealth for retirees is just over $200,000." The reader is left to assume the term "average" equates to the mean?

Mean and average are the same thing. Median is the number that is in the middle of the range, with equal numbers of people on either side. So it makes sense that the average/mean would be $752k and the median (a better measure in this instance IMO) is $200k.

 

[street]

That seems much higher than I thought. I'm not aware of anyone around me who retired with a million $ or is planning to reach that number. It's unheard of around here. I'm sure there are some doctors or business owners who reach that number but it's well under 17% of people. Maybe more like 5% at best.

I could be totally wrong also but I don't believe the numbers are that strong either.

 

[treeofpain]

Maybe they are considering someone who has a $40k/year pension as having $1M (using the 4% rule)?

 

[CRLLS]

Retiring as a millionaire may not be the same as it was years ago, but it is still quite an accomplishment. I sometimes think we here are using our own averages (mean) as the general public's average. Most people do not attain that.

 

[treeofpain]

I do some financial counseling, and I most people I deal with have WAY less than $1M in retirement.

 

[UnrealizedPotential]

I don't know anyone personally who has at least one million. Having a high income would obviously help a lot, but I fear most people just don't have the income to get there even if the saving habits are there.

 

[gstillson]

Agreed. Based on cumulative inflation (CPI), a million dollars when that show began would be over nine million today.

Yes but in the 1950s you could buy a 1957 corvette convertible for like $3500 and a house for around $10,000.

So a million went a lot further than $9 million would go today.

 

[travelover]

Yes but in the 1950s you could buy a 1957 corvette convertible for like $3500 and a house for around $10,000.

So a million went a lot further than $9 million would go today.

Hmmm....interesting. I wonder if anyone else knows about this.

 

[gstillson]

Hmmm....interesting. I wonder if anyone else knows about this.

Well I just mean this:

1957 6,339 production corvette, base $3,176 283ci V8; Optional 4-speed manual and fuel injection added


So in 1957 with $1 million you could buy 285 of these.


Today with $9 million to buy a similar performance and stylish car (compared to current average cars) would cost you about $100,000

Thus you could only buy 90 of them.

 

[COcheesehead]

Well I just mean this:

1957 6,339 production corvette, base $3,176 283ci V8; Optional 4-speed manual and fuel injection added


So in 1957 with $1 million you could buy 285 of these.


Today with $9 million to buy a similar performance and stylish car (compared to current average cars) would cost you about $100,000

Thus you could only buy 90 of them.

But today you can buy 9000 iPhone 10’s and you couldn’t buy even 1 back then.

 

[pb4uski]

..... The reader is left to assume the term "average" equates to the mean?

Mean and average are the same thing. Median is the number that is in the middle of the range, with equal numbers of people on either side. So it makes sense that the average/mean would be $752k and the median (a better measure in this instance IMO) is $200k.

Yup. Math is hard.

 

[street]

Well I just mean this:

1957 6,339 production corvette, base $3,176 283ci V8; Optional 4-speed manual and fuel injection added


So in 1957 with $1 million you could buy 285 of these.


Today with $9 million to buy a similar performance and stylish car (compared to current average cars) would cost you about $100,000

Thus you could only buy 90 of them.

Yes that is a good way to illustrate that money had more power back then compared to today.

 

[Freedom56]

Funny how none of these recommended steps to becoming a millionaire includes real estate. I guess it's too hard for Wall Street to extract fees from rental income. My father-in-law has never invested in the stock market but has invested in rental properties and land for the past 55 years. His net worth is in the high 8 figures and very close to 9 figures. How many so called wealth managers or financial advisers recommend buying real estate for generating rental income? I know many people, myself included, that have made more money from real estate than the stock market. All three properties we own have more than quadrupled since the initial purchase and they have more to run due to low inventory.

 

[USGrant1962]

Well I just mean this:

1957 6,339 production corvette, base $3,176 283ci V8; Optional 4-speed manual and fuel injection added


So in 1957 with $1 million you could buy 285 of these.


Today with $9 million to buy a similar performance and stylish car (compared to current average cars) would cost you about $100,000

Thus you could only buy 90 of them.

Now do that with computers or phones...