2006-09-02 10:58:24 · 15 answers · asked by Anonymous in Business & Finance ➔ Investing
inflation will turn 1 million dollars into minimum wage if you are young
If you are 25 today and you retire at 67 with a million dollar investment portfolio, that will safely generate $60K/year. But when you are 67, that 60K will only have the buying power of a little over $16K/year. This is considering a very light 3% inflation rate. If inflation is higher then the numbers get smaller.
Buy It gets worse though, because at 67, you will still probably have 30 more years to live and that 16K will shrink each year until it’s only worth $8K/year at age 90.
A million dollars isn’t what it used to be… and it will be even less in the future.
If you have already reached full retirement age now and have a $1million portfolio and social security, you should be quite comfortable as long as you are reinvesting a part of the income.
2006-09-02 15:12:55 · answer #1 · answered by yeeooow 4 · 0⤊ 0⤋
Not as much as it used to, largely because of inflation. Once being a millionaire was a big thing. The number of millionaires in the United States surged 14 percent in 2003, to 2.3 million, according to the World-Wide Wealth of High Net Worth Individuals survey released Tuesday by Merrill Lynch and Capgemini. In 2006 it is going be even higher.
If you want to know what rich is, look for billionaires.
2006-09-02 18:06:29 · answer #2 · answered by Anonymous · 0⤊ 0⤋
dude u know how many things you can buy with a million dollars at a dollar store thats having a 50% off sale
2006-09-03 01:33:46 · answer #3 · answered by up_riser 1 · 0⤊ 0⤋
Well if you have a million Japanese dollars it means that you have 10 American dollars
2006-09-02 18:06:46 · answer #4 · answered by Anonymous · 0⤊ 0⤋
No, very little. And, if it's in paper, it's worth nothing until you convert it to material assets; I know, having marched up the hill and sled back down again, just as easily. But, you know that there's no real adrenaline kick and purchasing power has declined. You don't need it to live a comfortable & satisfying life.
2006-09-02 22:55:49 · answer #5 · answered by ElOsoBravo 6 · 0⤊ 0⤋
You asked the question - so if you've got a million, it means it's not enough. For me, a million would be enough right now.
2006-09-02 18:20:09 · answer #6 · answered by Byron W 3 · 0⤊ 0⤋
It would mean the world to me, I know that. It could pay off my house, and cars, buy a boat and a cabin on the lake, and still put a huge chunk away for my kids' college funds. Don't be greedy!
2006-09-02 18:04:25 · answer #7 · answered by baby_girl_1219 4 · 0⤊ 0⤋
having a million dollars just means that you can buy half a studio in south beach. just half
2006-09-02 18:00:45 · answer #8 · answered by lookingforananswer 1 · 0⤊ 0⤋
Hi,,, yes it still counts a lot ,, but not like it did say 20 or so years ago.......
I can remember if you had 100,000 in the bank when you retired you were considered rich,,,,,, lol and that was not 30 yrs ago.....
good luck
2006-09-02 18:05:13 · answer #9 · answered by eejonesaux 6 · 0⤊ 0⤋
No and yes
No becuase you still live your life the same way
yes, because you do not have to worry about pay check to paycheck
2006-09-02 23:43:06 · answer #10 · answered by Hoa N 6 · 0⤊ 0⤋