Seriously dude, saving a million dollars over 25+ years can't be that unusual (that is only $14K/yr assuming an interest rate of 7%). I am rather shocked that more people don't do it. I hope to have between 2-3 mil banked at retirement. I am currently dropping 40k into retirement every year and will bump that number drastically in 5 years when my house is paid off.
Median household (household, not individual) income is around 46k/yr (1), so 14k/yr represents 30% of gross income for half of American families. Aggregated tax rates at that income level is estimated around 25%(3), leaving a net of 35k/yr, so a savings rate of more than 40% of net income. Saving rates in the US peaked in 1975 at just less than 15%.
So you're shocked that half the families in America don't save 40% of their net income? That seems a little out of touch with the reality most people face.
Even assuming people who saved at 3x the current average (less than 5%) this hypothetical high savings average income household would be putting in around 5k/yr. The real average of course being more like 1 - 2k/yr.
Holding onto that 15% net savings rate assumption, let's figure out the yearly gross earnings needed to hit 14k/yr:
First we'll make a quick guestimate to get a rough take on tax responsibility, take the 5k/yr of our median household, multiply by 3, we have 138k/yr. Looking at (3) again, that income range has an aggregate tax rate around 30%.
We do a little math 14k = 0.15*(Gross*(1-.30)) => Gross = 14k/(.15*.70) which my calculator puts at 133k/year. Which doesn't quite hit the 5 percentile of income, but well above the 10 percentile boundary. (1)
So why don't more people save at that rate? Because it's rather unreasonable for 90% of the families in the US.
This is before we discuss that the 40k/yr you're investing right now is higher than the gross income of almost 40% of American households.
Welcome to the Rich People Club, remember that while ties are now optional, a blazer is still required. Also, while you may feel free to ride junior members (such as myself) like farm animals, updated bylaws stipulate that you may not whip them with a leather or flexible wood switch of more than 1/4" diameter, and rigid rods are now banned entirely.
*Of course this sets aside tax-free 401(k) and similar retirement shelters, but those do not allow the individual to sell out the investments without punitive tax penalties.*
(1)
http://en.wikipedia.org/wiki/Affluence_in_the_United_States
(2)
http://www.tradingeconomics.com/united-states/personal-savings
(3)
http://www2.ucsc.edu/whorulesamerica/power/wealth.html