If I were an 18 year old financially savvy person making $100k a year in California, I would probably take home about $70k. About $1k, maybe $2k at the highest would be set aside for rent with roommates because I'm 18 and there's very little upside to me having my own apartment yet.
Groceries here in Finland are more expensive than I remember them ever being in the United States, and so based on my current budget I would set aside about $300 per month for food for myself. Maybe $400 if I wanted to go to restaurants more often. $500 is reasonable too. Over $1000 and you are deluding yourself or need to buy a rice cooker.
I'm still saving about $40,000 per yer, over half of my take home pay, conservatively. I'd consider that really good! What I do with that is my business, but on one extreme, if I threw all of that directly into my retirement fund, at a 7% real rate of return (reasonable given past index fund performance, already adjusted for inflation), I would have roughly $1 million in today's money by the time I'm 65.
But of course that's ignoring the real elephant in the room, which is that wages are famously sticky, and getting paid $100k by 18 is probably the single most surefire way to get paid $1 million by 30. The kinds of things and the kind of person you have to be to pull that off are where that price signal is coming from, and so I take away from this that, as is often the case in finance, these kids are probably not going to have to worry about that much money-wise even if they don't stick to a strictly calibrated plan.
Isn't the idea that you're not a shitty human being enough in and of itself?
And an incompetent one at that. I can't grab a bag and leave.
About a mil? Maybe two? Seems realistic…
People have to invent whatever seems reasonable while squinting given how much accumulation of capital there is.
The guys with money are easy to fool. Just lie to them about your „product”, get the cash, get out of the rat race, smooth sailing.
Of course easier said than done. I can’t lie this convincingly, I don’t have the con man skillset or connections.
So I’m stuck in a 9 to 5. Zzz…
I can’t believe you’re trying to be sarcastically condescending with this kind of comment. It’s difficult to respect that.