Is $100k enough for a 35 year old to retire?

[calpha]

No. Never. Even a financial genuis.

The rule of 72 means you take your interest rate and divide it into 72, and that's how long simple compounded interest will take to double.
Even if you say that $15,000 is all you need to live on a year, you'd have to start out making at least an 18% annual return on that money to account for inflation. To ever make that base $100,000 grow, you'd have to make more then that. So if for the first five years, you averaged a 30% growth (12% net after the 15k + 3k inflation) you'd have to make that for 10 years straight to even double your base principle.

Now if he were to go back in time to 1990 and buy $100,000 in shares of Dell, or Intel or even M$ft, then, Hell Yes 🙂

 

[Looney]

Maybe if you move to Mexico or some other 3rd world country...

 

[Shockwave]

Originally posted by: calpha
No. Never. Even a financial genuis.



Now if he were to go back in time to 1990 and buy $100,000 in shares of Dell, or Intel or even M$ft, then, Hell Yes 🙂

So is it no never or hell yes??

I still say yes. And staright investing wont do it, you have to aggresively gamble in the stock market. But yeah, possible.

 

[gotsmack]

maybe if this was the year 1930.

 

[SuepaFly]

Originally posted by: Shockwave

Originally posted by: calpha
No. Never. Even a financial genuis.



Now if he were to go back in time to 1990 and buy $100,000 in shares of Dell, or Intel or even M$ft, then, Hell Yes 🙂

So is it no never or hell yes??

I still say yes. And staright investing wont do it, you have to aggresively gamble in the stock market. But yeah, possible.

Possible, but unlikely. The risk of it all is too huge. You could try, and end up 100,000 less.

By the time the first year is over you'll have around 97,000 (average inflation is around 3%).

Assuming you went to a brokerage to invest, your fees would be incredible. So if you quit work today, put $100,000 in aggressive stocks, between brokerage fees from your withdrawals and the time you would need the money to appreciate by (atleast once a month, online fees 20 to buy, 20 to sell or actual brokerage houses as a percentage), you'd be broke. Thus the name BROKE-erage...har har.