This One Trick Multiplies Your Net Worth December 18, 2016
Americans come in 4 groups. Do you know which group you are in?
The first group has $0 in savings and investments. Yes, you read that right.
The second group has between $100k and $300k.(apparently those with $100k or less don’t respond to surveys)
The third group reports savings and investments over $300k but less than $1 million.
The fourth group reports savings and investments over $1 million.
What do groups 1 – 3 have in common? They haven’t saved enough.
Why? It takes about $1.1 million for the average person to get just $45,000 in annual income in retirement (that can be improved on if you’re investing right – ACI’s Market Income Portfolio returned over $100k for every $1 million invested in 2015 and again so far in 2016 vs. the S&P 500 at $13,000 and $127,000 respectively. Smarter investing made a 42% difference over the period.).
Less than 4% of Americans have over a million in investable assets. Many of those that do used this simple hack to become “automatic millionaires.”
Here’s what the other 96% of Americans do wrong: most of us treat savings like its optional. It isn’t. Not if you want to be wealthy, or even moderately comfortable.
What do the most successful savers/investors do differently? They treat their investment savings accounts like they treat their bills. They pay their savings/investment “bill” on time, every time. They will even pay this bill before they pay their other bills if need be, and if someone isn’t going to get paid this month, it’s going to be Honda, or Mastercard, or anybody except Savings and Investments. That bill gets paid. No matter what.
Most people use Autopay at their bank for their car payment, their mortgage payment, their credit cards, utilities, and whatever else they are spending money on.
Did you know you can do the same thing with your investment savings accounts? It’s pretty simple.
1. Link your bank account to your investment savings account.
2. Set up an automatic bi-weekly or monthly “payment” to your investment account.
3. Make that payment as big as you can possibly handle.
Presto. You are multiplying your net worth. You just made your future a heck of a lot brighter. If your income can take it, you can do the same thing to built assets for your spouse or your children.
This works with every bank and every investment account. You can bank in one place and have an investment account somewhere else. You can still set up automatic savings transfers.
Call your bank and your broker today and get your accounts linked with an automatic savings plan.
Don’t wait. Tomorrow will be better if you take action today.
Want some help? Open an account with ACI and we can manage your savings for you with proven investments. We’ll help you link your bank and start you on the path to being an “automatic millionaire.”
Questions? Visit the contact page, fill out the contact box on the bottom right of this page or email firstname.lastname@example.org. We’re happy to help.
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