How long did it take you to earn your first million and how did you do it?

Answer 1

The first million is the most difficult, obviously. It takes a while. How long it would take you will depend on a number of things. It took me from the time I seriously started saving money at age 17 a total of 34 years; but then I am not more than an average investor though I had a few good breaks along the way. My very best year ever was 1978 followed closely by 1980. If I remember correctly, during the 1978 time period while researching stocks I discovered that the publicly held hospital chains were selling at unbelievably low pe ratios, about 8, and at the same time had unbelievably high growth rates, about 25%. I purchased one that I thought looked the most attractive. I believe it increase four fold in value during that period, perhaps more. I believe I held it through 1980. There were a couple of others that did similarly well. But along the way I also took a few real beatings. World Com was one. If it had been up to me, I would have hung Ebbers from the town square at noon on Saturday. That was the least he deserved.

You will read many times over that if a person had purchased MSFT when it first hit the market or Walmart or some other stock and just held on to it, you would easily become a millionaire. What they neglect to tell you is that for every stock like those there are 1000 that fall by the wayside. There was Lotus. There was DEC. There was Novell. There was Northern Tel.

I am sure some people did buy and hold MSFT, perhaps many. But when a person buys stock and suddenly the stock doubles or triples in price and the pe expands greatly, common sense keep yelling in ones ear, "Bail out!"

There is a lot more to making that first million than just making good investments, a whole lot more unless you are a star athlete or rock singer or a Hilton. The real key besides making sound investments, is to make sure that you are saving as much as you possibly can especially in the beginning. You have to reach a critical investment mass so to speak. I missed the 1974 buying opportunity because I just did not have enough available cash to take advantage of it. What an opportunity that was! That tought me an important lesson though. Always, always have a cash reserve on hand for those once in a life time opportunities.

It appears today that those opportunities might have shifted to India and China and oil.

Answer 2

Are you asking how long (and how) to make a million dollars?

It would take you 12 years.
3 steps and a rule.
1. Buy a house. A cheaper house is fine. I recomend a mortgage called an 80/10/10. That is an 80% loan, a 10% loan and 10% down. Get a fixed rate mortgage at 15 years. Find out the average rental income for the neighborhood and ensure it is higher than what your monthly payment is.
2. Rent the house. Have rent deposited into a savings account and the mortgage deducted from that account. Allow excess $$ to remain in the account (or slid into a CD or mutual fund).
3. Once you have enough money for a down payment repeat the process on a second house.

Those are the 3 steps.

The rule - do not buy a new car. Ever. You can get a nice car, pretty much whatever you want for about $6-8K. (pay cash) - or if you have a car - keep it and pay it off. The money you save in car payments goes a loooooong way.

There is more - but if you follow those basic rules you will be a millionaire in about 12 years.

Answer 3

Lol. You expect that if there is some great secret that someone who actually made money will tell it to you. College is pretty much a sure thing that you'll earn more money. Also saving money in the form of long term steady stocks and CD's can make you money double at the very least if you are patient enough. Einstein did say that compound interest is the most powerful force in the universe, but most people can't really wait that long. There is no easy way. All of the people who got rich the easy way had the one thing that you can never count on, and that is luck. You could also put yourself at the leading edge of an emerging new paradigm(Bill Gates), but that requires foresight that most people lack. Or you could be born into royalty or win the lottery which again is luck.

Answer 4

about 27 years. Zero financial assets or assistance. not self employed, worked through college, worked up corporate ladder, saved regular percentage of income after taxes, invested [not brilliantly, no smart gambles] just diversified quality investments held for accumulation and using maximum legal tax advantaged savings IRA etc. Growth in wealth is easier after first million. Not a recipe to get rich quick, but to do enjoyable work , lead low stress, worry free life, and attain comfortable retirement.

Answer 5

It took me 10 years.Keep buying those value stocks.Buy cheap and hold on to it.Buy most stock when the market is really down.

Answer 6

The only way you can " Self Employed" If you want more info email me at [e-mail]
I cant give info here they will call it spam

Answer 7

HAHAHAHAHAH.... my first million... please...HAHHAAH