Comments on: Charlie Munger: The First $100,000 is a B*tch

By: Zach @ Four Pillar Freedom

Zach @ Four Pillar Freedom — Tue, 05 Jun 2018 19:06:57 +0000

In reply to Financial Shaper. It's amazing how long it can take to reach that first $100k, but how the math shows that net worth growth only speeds up after that point. Munger knew what he was talking about. And cheers to you for continuing to save 50%+ of your income!

By: Financial Shaper

Financial Shaper — Tue, 05 Jun 2018 11:21:05 +0000

Very good read and a great quote by Mr Munger.
The usd 100‘000 milestone really is amazing, it took me years to cross that number and then in less than one year my portfolio doubled. Okay, we have seen a bull market but the point is that now my portfolio adds almost usd 7‘000 in dividends, which really supports our savings rate we are committed to keep well above 50 % in order to fuel our investment process.
I also like the second part of Mr Munger‘s quote, stating that after having reached the first milestone, one can easy his/her efforts a bit, as money starts to work for you. Saving and investing should be fun and when the compound effect works in your favor, it‘s just wonderful.
Cheers

By: Zach @ Four Pillar Freedom

Zach @ Four Pillar Freedom — Thu, 26 Oct 2017 12:33:22 +0000

In reply to The Luxe Strategist.

That’s incredible you have been able to triple your money in only three years! That’s some serious growth. Salary increases combined with increased investment returns are a potent combination for increasing net worth pretty rapidly.

I hope to reach $100k around August 2018, so we’ll see how it goes 🙂

By: Zach @ Four Pillar Freedom

Zach @ Four Pillar Freedom — Thu, 26 Oct 2017 12:30:57 +0000

In reply to SMM. It would be a portfolio weighted more towards high-dividend yield stocks, but it could also be a combination of REIT's that pay as much as 6-8% yields. A 4% dividend yielding portfolio would be more value-based as opposed to growth, but it's not unreasonable :)

By: The Luxe Strategist

The Luxe Strategist — Wed, 25 Oct 2017 15:13:23 +0000

I just checked and it took me about 7-8 years to save 100k. But at first, I was just randomly saving with no real goal or anything. And yes, man, once you hit a certain threshold, it all just snowballs, and it’s insane. In three years after that first hundred, I’ve been able to triple my money. Some of that is because my salaries increased, but still.

Do you have a current timeline for when you think you’re planning to reach it?

By: SMM

SMM — Wed, 25 Oct 2017 13:38:16 +0000

Do you think a $100k portfolio could pay off a 4% dividend overall? Some stock pay and some don’t some high some low and with index funds as well the dividend is relatively low, but overall I haven’t found that return.