What are you talking about?" Well, that is a good point. Have you ever thought about the other cost of a Coke, meaning what that dollar could have become? The answer is: should you have invested that same dollar at age 18, that Coke cost $406 at age 70.
This is not making great assumptions of hitting that one great big stock, the next Microsoft or Intel. This is at the historical return of the S&P 500, approximately 12% per year. The point is further driven home in recent commercials on television.
The commercial talks about a diamond necklace, and finally posing the question "Is there any other way to show you love for her?" Then a voice says, and I am paraphrasing, "Well, you could just tell her, and save the money for her retirement."
Think about that. Every one dollar you spend today costs you a small fortune when you are retired. I have worse news for you -- and here is the big secret about retirement -- retirement is when you need the money the most. I am sure most of you know elderly people who are saddled with medication costs that take up more than whatever Social Security and Medicare provide. Keep this image in mind, the next time you upgrade to a Super Size meal for just 39 cents. Those 15 extra fries just cost you $89.85 at age 65, about $6 per fry.
How can you make this money work for you? The first think you need to do is see a financial planner. Undoubtedly, there are many in your area. Set up an allotment into a Roth IRA, a certain amount each month that goes directly to whatever mutual fund you choose, and forget about it. Giving up $100 a month starting at age 25 will give you over $1,156,000 at age 65. If you can scrape $2000 a year or $166.66 a month, at age 65 you will have over $1,900,000. IF your IRA is a Roth, you will have this money tax-free. You can't do better than that.
Scrape and skimp, save and save. Pay yourself first, and keep the long-term goal in mind. You can make your own path for the future. Take the time to cut coupons. Decide what you spend money on but never use and get rid of it. For example, if you have cable but only watch local stations, get rid of cable and get some rabbit ears. It will save you $40 a month, or $462,000 at age 65.
Frugality and investment are the path to riches and a comfortable life. Make sure that you make the right choices to ensure you get there.
And no, after learning this, I don't drink Coke anymore.
Kenneth Bateman is a contributing editor of The Family Budgeteer Weekly Online and Newsletter which can be found at www.familybudgeteer.com
SITE DISCLAIMER: The self help books and personal development resources on this site are not intended to be a substitute for therapy or professional advice. While all attempts have been made to verify information provided in this self help book and personal development publication, neither the author nor the publisher assumes any responsibility for errors, omissions or contrary interpretation of the self help books and personal development subject matter herein. There is no guarantee of validity of accuracy of any self help books and articles content. Any perceived slight of specific people or organizations is unintentional. This self help books and personal development articles website and its creators are not responsible for the content of any sites linked to.
The self help book and articles website contents are solely the opinion of the author and should not be considered as a form of therapy, advice, direction and/or diagnosis or treatment of any kind: medical, spiritual, mental or other. If expert advice or counseling is needed, services of a competent professional should be sought. The author and the Publisher assume no responsibility or liability and specifically disclaim any warranty, express or implied for any self help or otherwise products or self help or otherwise services mentioned, or any self help or otherwise techniques or practices described. The purchaser or reader of this self help book and personal development articles website publication assumes responsibility for the use of these self help personal development materials and self help books and personal development articles and information. Neither the self help author nor the self help book Publisher assumes any responsibility or liability whatsoever on the behalf of any purchaser or reader of these self help books and personal development materials.
Self help books for happiness & personal development resources, free self help books and self help articles listed for your convenient self help books for happiness personal development search in the self help books and articles subjects of self image, self help relationships tips, self help book resources for happiness, being happy self help emotion management, panic attack self help, self help for low self esteem, self help famous quotes, anxiety self help resources, stress management self help books, articles, tips and depression self help books, articles and resources.
It's time to join our happy subscribers, like these:
"I wish to express my appreciation and gratitude for this powerful tips you send to me.Thank you so much and may God richly bless all the team working towards this.
Thank you for this. It has been most instructive. Please keep them coming!
With no other words, I simply love these Power Tips - thanks for every email I have received from you - I find there always something that cheers my day up or gives me some more inspiration. Good work, there!
I always read your Power Tips and it has helped me a lot in my life... I would like to thank you a lot for such a nice article at regular intervals.
I am really grateful to you for what you have been doing for me and my growth. I know that I am not alone and hundreds of thousands of people would be feeling the same.
Your Newsletter are always a help. Thanks a tonne.
You are doing so much for the whole mankind and as a matter of fact sometimes even a small thought delivered at the right time can do miracles in someone's life and his whole life can take a turn around.
When the positive seeds through your news letter are falling all over the world, then I am sure some would become tree and bear fruits.