If you don’t see the money in your checking account, you’re less likely to spend it. To begin your journey of becoming a millionaire, start saving early in life. Building your savings gradually allows you to take advantage of the incredible power of compounding over the years.

Customers appreciate the authenticity of the book, finding it honest and specific in its content. Then, and only then, can you start to save seriously for retirement. Humans are “pattern seeking primates” who perceive relationships where in fact none exist. Ninety-five percent of what happens in finance is random noise, yet investors constantly convince themselves that they see patterns in market activity. Unless you come from a very wealthy family or win the lottery, there’s little chance of becoming rich by doing nothing. You’ll need discipline, a plan, and, if necessary, good advice from a registered professional who can help push you in the right direction to reach your goal of becoming a millionaire.

And once you’re ready to spend some of that money, they can help you make it last. If you want to become a millionaire, resist the urge to give in to lifestyle inflation. Instead of spending more—just because you can—save and invest more. Imagine the pleasure of watching your financial account balances grow.

Bookreader Item Preview

Although there’s no correct answer, if you can how millennials can get rich slowly most financial planners say that, depending on your age, you should save at least 15% of your annual gross income for your retirement. The information contained herein is obtained from sources believed to be reliable, but its accuracy cannot be guaranteed. It is not designed to meet your personal financial situation – we are not investment advisors nor do we give personalized investment advice. The opinions expressed herein are those of the publisher and are subject to change without notice. It may become outdated an there is no obligation to update any such information.

Buying and sending Kindle Books to others

Customers find the book to be a good pamphlet for getting started in retirement investing, with reading recommendations that increase understanding. They describe it as an excellent short read for young adults, concise, and honest, with one customer noting it’s long enough to have substance. Customers appreciate the advice level of the book, finding it a good pamphlet for retirement investing and a great starter guide, with reading recommendations that increase understanding. The amount you’ll need to invest to become a millionaire depends on your age when you start saving. When you’re young, you may make less money, but you have more time to accumulate wealth, and you can tolerate more investment risk for higher potential returns. If you put off saving until you’re older, you’ll have to put away more money every month to achieve the same results.

Simplified Employee Pension (SEP) IRAs can be established by the self-employed and those with few employees in a small business. The SEP lets you make contributions to an IRA on behalf of yourself and your employees. No matter which type of IRA you have, the contribution limit is the same. Those age 50 and older can contribute $8,000 via a $1,000 catch-up contribution. Every dollar you spend on something you don’t need is one less dollar that can make money for you.

• The personal savings rate is the percentage of income left over after people spend money and pay taxes.
• Assuming a 7% return, with monthly compounding, it would total more than $1.32 million.
• It is not designed to meet your personal financial situation – we are not investment advisors nor do we give personalized investment advice.
• Lifestyle inflation is a common consequence of career advancement.
• If you’re starting to save at age 25 and want to retire at 65, you’ll need to put away at least 15% of your salary.

Read on to discover the six steps to making a million dollars. Customers find the book readable and appreciate its clarity, with one review noting it’s written in laymen terms. They value its investment insights, with one customer highlighting how it addresses psychological aspects of investing and provides peace of mind for future planning. The key to becoming a millionaire is to start saving regularly when you’re young, stay disciplined, and make and keep a long-term financial plan. Making your first million won’t be easy, but isn’t impossible.

• An advisor can help you choose investments, create a budget, and make plans to reach your goals.
• The percentage of people who say they’re “very confident” that they’re doing a good job of preparing for retirement, according to the 2025 Retirement Confidence Survey.
• In one survey, only 24% of Americans said they’re very confident that they will be able to live comfortably in retirement.
• The earnings in the account grow tax deferred if it is a traditional 401(k) account.
• They value its investment insights, with one customer highlighting how it addresses psychological aspects of investing and provides peace of mind for future planning.

Select to learn more

According to experts, that’s not enough for a comfortable retirement, let alone for anyone aiming to become a millionaire. Customers appreciate that the book is short, with one noting it’s long enough to have substance. Discover additional details about the events, people, and places in your book, with Wikipedia integration. Explore your book, then jump right back to where you left off with Page Flip.

If you have a job that offers benefits, you can probably open an employer-sponsored retirement plan such as a 401(k) or a 403(b). About 69% of private company employees and 92% of government workers now have access to one of these plans or a defined benefit plan in March 2022. Customer Reviews, including Product Star Ratings help customers to learn more about the product and decide whether it is the right product for them.

Any bank or brokerage firm will give you access to a wide range of investments to help you build your nest egg. The earnings in the account grow tax deferred if it is a traditional 401(k) account. With a Roth 401(k), you contribute after-tax dollars so there is no immediate tax break. However, the money grows tax-free, and qualified distributions are tax-free, if the rules are followed.

Save Page Now

If you’re starting to save at age 25 and want to retire at 65, you’ll need to put away at least 15% of your salary. We’ll assume his investments earn a 7% return with monthly compounding. Both SEP and SIMPLE IRAs are popular with small business people because they’re easy to set up, require little paperwork, and allow investment earnings to grow tax deferred. For those age 50 and older, a catch-up contribution of up to $7,500 is also permitted, meaning those individuals can contribute a maximum of $31,000.

Also, aim to save 15% of your income, cut out unnecessary spending, upgrade your skills, get a second job, and hire a financial professional to create a financial plan for your goals. The personal savings rate is the percentage of income left over after people spend money and pay taxes. That rate for Americans on average was 4.9% in April 2025, according to the U.S. Create a savings plan, which reviews your monthly debts, income, and financial goals. Next, automate your savings by setting up a direct deposit for a small amount from your paycheck to a savings account.

People with a retirement plan at work may also open individual retirement accounts (IRAs) and save even more. For example, if your employer matches contributions of up to 6% of your salary in your 401(k) plan, you need to save only 9%. However, with the power of compounding interest, your nest egg would be worth much more. Assuming a 7% return, with monthly compounding, it would total more than $1.32 million. You would be a millionaire by age 57 just by saving $500 a month.

Your goal, as mentioned, is to save at least 15 percent of your salary in some combination of 401(k)/IRA/taxable savings. But in reality, the best strategy is to save as much as you can, and don’t stop doing so until the day you die. The real purpose of learning financial history is to give you the courage to do the selling at high prices and the buying at low ones mandated by the discipline of sticking to a fixed stock/bond allocation.