How to retire in just eight years!

[Larry Turowski]

Most people do not understand how destructive living beyond their means, not saving and not investing are.  Nor do most understand just how incredibly powerful living well below your means, saving, and investing are.

By not saving or investing, you could work 40 years and live a low-income retirement.  On the other hand, you could retire in just eight years!

Below is a chart for a family that makes $100,000 per year, maybe working  extra jobs to do that, lives WELL below their means to save $25,000 per year and invests wisely in real estate to achieve a 20% return after taxes.  (Lofty goals, I know, but attainable.)

After just eight years, they can retire, start living off of their investment, and still see it grow every year! 

Year End	Start Balance	Interest	Savings	End Balance
1	$0	$0	$25,000	$25,000
2	$25,000	$5,000	$25,000	$55,000
3	$55,000	$11,000	$25,000	$91,000
4	$91,000	$18,200	$25,000	$134,200
5	$134,200	$26,840	$25,000	$186,040
6	$186,040	$37,208	$25,000	$248,248
7	$248,248	$49,650	$25,000	$322,898
8	$322,898	$64,580	$25,000	$412,477
9	$412,477	$82,495	-$75,000	$419,973
10	$419,973	$83,995	-$75,000	$428,967

If they decided to work  just one extra year they could live off of $100,000 per year and still grow their investments slightly:

9	$412,477	$82,495	$25,000	$519,973
10	$519,973	$103,995	-$100,000	$523,967

If they worked an extra four years they could bump their retirement income to $150,000 per year!!

9	$412,477	$82,495	$25,000	$519,973
10	$519,973	$103,995	$25,000	$648,967
11	$648,967	$129,793	$25,000	$803,760
12	$803,760	$160,752	$25,000	$989,513
13	$989,513	$197,903	-$150,000	$1,037,415

The biggest part is living well below your means.  Commit to this if nothing else and you will dramatically improve your financial trajectory.