Quote:
Originally Posted by Shazam
What? Most people, let alone boomers, don't have a million dollars in savings.
Kiddies, look at the median income of the average Canadian. Then figure out how much they need to save to reach a million in savings. Yeah...
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Well according to ING Direct's savings calculator, if you start with $0 and put away $400 a month for 40 years, you'll have just a little over a million (1,056,xxx.xx) if you got a 7% interest rate.
Obviously it depends on your situation but $400 isn't breaking the bank for a lot of people and it doesn't account for any employer matching you may have going on. Maybe $300 is only coming out of your paycheck (before tax) and $100 is from your employer to make up that $400.
That's a whole pile of assumptions built on other assumptions but I don't think the figures look too unrealistic. If you entered the workforce at 18 and did that, by the time you're 58 you have over a million dollar retirement fund ready to go.