Roughly 7% of US households are millionaires. The average time it takes to become a self made millionaire is 32 years. According to the study:
1% of self mades did so before the age of 40
3% of self mades did so between the ages of 40 ad 45
16% between 46 and 50
28% between 51-55
31% between 56 and 60
and 21% after the age of 60
Overall, 27% of self mades have tried and failed at least once in business.
According to CNBC, the number of household millionaires reached 10.8 million in 2016.
From Money, Maryland has the highest percentage of millionaires. The greatest asset class of millionaires is invested in stocks. Millionaires tend to be white males and married. 83% of millionaires have at least an undergraduate degree and work in professional services, education, or medical and health fields.
5 facts from Daily Worth, most millionaires don’t feel rich, hard work and education are keys to success, they get help from experts, they’re hands on with their money, they enjoy saving more than spending.
Over at Bloomberg, a study shows race plays a role in your chances of hitting a million:
White: 21.5 %
Some interesting facts at factretriever.com, 80% of millionaires still work, the average millionaire goes bankrupt at least 3.5 times. 50% of millionaires are small business owners. Only 18% of millionaires hold a masters degree and 6% have a PhD. On average millionaires are age 61 and have $3.05 million in assets.
And of course how can I forget “The Millionaire Next Door” with this quote “These people cannot be millionaires! They don’t look like millionaires, they don’t dress like millionaires, they don’t eat like millionaires, they don’t act like millionaires–they don’t even have millionaire names. Where are the millionaires who look like millionaires?”
So why all the facts about millionaires? As of October 4th 2017, I have officially joined the club, one day before my 38th birthday ironically. That means it took 13,869 days of being on this earth to hit that status. Really it was something I only started to focus on in 1999 at the age of 20 as I was preparing to finish college.
So here are my stats, millionaire by the age of 37, degrees held BBA Management, minor in Economics, MBA in Finance. Single, never married, no kids. Retired in 2016 at age of 36, went back to work in 2017 at age 37. Worked in the investment world or financial services for 16 years. Race is mixed, white (75%) and Asian (25%) but associate with the Asian culture more. Grew up in a middle class household. Asset mix is almost all stocks (99.5%) and cash (0.50%). I also drive a 14 year old car an own a 34 year old car. Love math (stereotypical I know, see Asian above).
Have been told countless times it’s irresponsible to have all my money invested in stocks (probably by people who aren’t millionaires). I wear blue jeans every day that are a little worn on the legs, prefer eating at home vs eating out, hate shopping, use coupons when convenient, and am a pretty quiet and unassuming person that you would never pick out of a lineup of people as being a millionaire.
Have always lived in less house than I could afford, started maxing out IRAs with my first job at the age of 16, always maxed out my 401(k) since graduating college at age 20. I am debt free (100%) including house and car, use credit cards but always pay them off before the billing cycle even closes. Will never borrow to buy a car or house again in my life and have feared debt for a really long time.
I’m also willing to admit to making several investing mistakes along the way, selling AMZN at $16 back in 2002. Buy and hold investing is my style and I love a good dividend growth stock, especially if the price gets slammed. I track my spending.
I guess a lot about me goes against the odds about the facts about millionaires from above.
It took me 18 years of tracking and work to accumulate my first million just under 38 years of age. I expect to be able to hit my second million in 7 to 8 years.
So here’s the tally that got me to 7 digits and the history of tracking my net worth:
The goal for the last few years has been to grow my net worth by $100,000 per year. That now equates to 10% growth per year and will decrease over time.
To celebrate the occasion, I drove to the grocery store after work and bought a couple gallons of milk.
Interesting fact about the picture of the coffee mug, that is mine. A friend gave that to me when I was 18. Guess I need to get a new coffee mug.
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