One of the great things about following a financial game plan is that if you stick with it long enough you’ll be surprised at how much you’ll end up accumulating. Conversely, those who don’t follow a financial game plan will wake up one day wondering where all their money went!
For the past several years, my goal was to invest between $5,000 – $20,000 a month in order to generate enough passive income to take care of a family. I define investments as anything I put new money towards that has the potential of increasing my net worth e.g. paying down debt, buying an S&P 500 ETF, building a municipal bond portfolio, venturing into real estate crowdsourcing, expanding a home, and so forth.
With a $5,000 – $20,000 a month investing cadence, I figure my net worth should grow by at least $60,000 – $240,000 a year. If I stay disciplined over 20 years, then I could finally retire in Hawaii and do nothing instead of grind so much with all of you!
Everybody should at least max out your 401k so that worst case, you’ll end up a millionaire after a lifetime of contributions. Time in the market is truly an investor’s best friend.