facebookWhat can I do in my mid 20s to become a millionaire by 30s? - Seedly

Anonymous

21 Sep 2022

βˆ™

Adulting

What can I do in my mid 20s to become a millionaire by 30s?

Trying to attain my 1st million by 30 if possible.

Discussion (10)

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Chin Guo Qiang

09 Oct 2022

Assistant Vice President, IT EUC at OCBC

Go for high commission profession, like sales etc.

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Take a smaller step and aim for $100,000 base first, then $250,000 and so forth.

Monitor your expenses, spend only what you need first.

Can't advise on the "what" but just to provide some colour with some projections (assuming you're 25 and aim to be a millionaire by 30):

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Scenario 1) zero savings, 10% compounded growth p.a.

You would need to invest $13,650 monthly

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Scenario 2) zero savings, 8% compounded growth p.a.

You would need to invest $14,250 monthly

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Scenario 3) 100k savings, 6% compounded growth p.a.

You would need to invest $12,850 monthly

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So if you don't come into a huge inheritance (e.g. family legacy, lottery) or start and sell off a business at a high valuation, you are basically looking to put in upwards of 5 figures per month into investments (markets are volatile today and headed for a downward trajectory at least for the next year imo). Citing Providend CEO Chris Tan's metrics for financial health, you would also need to ensure that your liquidity ratio is at a healthy level, to avoid being asset-rich and cash-poor.

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Hope this helps, and all the best in your journey to that 1M.

I think The why is also important qn to ask yourself. Some maybe able to do it but at the expense of...

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