The Automatic Millionaire.
– In his internationally acclaimed and best-selling book “The Automatic Millionaire”, David Bach shares the true story of an average American couple – he is a low-level manager, she is a beautician – whose joint income never exceeds $55,000 a year; but yet who are somehow manage to own two homes debt-free, put two kids through college, and retire at 55 with more than $1 million in saving. Jim and Sue McIntyre identified early on the power of saving and compounding that saving over a 30-year period. But forfeiting a single latte (coffee) each day would save $35/week, or $1,885 per year. If one was able to yield a 10% annual return, in 40 years, their savings would be $948,611. Could you save like the McIntyres? If not a latte, perhaps giving up a different habit or luxury such as one less purse, one less round of golf, one less massage, or one less energy drink?
Revisit your findings from the Week Two Assignment paper. Given the Social Security projections, and the impact inflation has on your spending-ability; reevaluate your retirement requirements. Set a retirement savings goal that will complement your future SSI benefits. Click on the Adirondack Bank calculator using the URL https://www.adirondackbank.com/Financial-Calculators.aspx (Links to an external site.)