Quote:
Originally Posted by bizaro86
I truly believe people would save more if they understood compound interest.
Maybe you don't like 8% as an assumption. If you don't, I had to extend out to age 66 to get to $1MM at 6% returns. However, at 67 your OAS kicks in, and you could start taking CPP as well, so the $1MM would go further.
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I ignored interest because I was being lazy
What you wrote here is more realistic at 6%, having $1MM by 66. That's still a long ways form $1.5MM at 50 and by the time a lot of us are that age, $1MM isn't going to be living high on the hog. It's still an ideal world that you could start saving at 22, not have any unanticipated expenses for that period, student loans, mortgages etc...
That being said, I'm probably close to a good example of someone this works for, as I don't have any kids, live modestly(other than vacations) and do save lots. Though recent pay cuts are not helping...
I do consider myself very fortunate though, and understand why my friends are not in my position.
Sorry for the off topic posts....