Later On

A blog written for those whose interests more or less match mine.

Get rich methodically and somewhat quickly

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Trent Hamm has an interesting post at The Simple Dollar. The basic idea is this: Put 25% of any income (paycheck, bonus, outside income, etc.) into a savings account (e.g., at INGdirect). When the account reaches $5000, invest it. My own choice is one of Vanguard’s funds—Vanguard fees are extremely low—but Hamm suggests some variety.

Start this at 25 and by 53 you can easily retire. As he points out, it sounds tough to put aside 25% of your take-home pay, but:

What you’ll find is that your lifestyle adjusts when your checking account does. The perks of life become actual perks that you appreciate instead of just a static routine of disposable pleasures. You can look forward to a future that involves doing whatever you want instead of working at a job until you’re unable to work any more.

Read the whole post.

Written by LeisureGuy

21 June 2011 at 8:39 am

Posted in Daily life

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