General observation on progress and the time it takes to make it:
|My net Worth||The amount of time it took to get there|
|-$53,132||<1 hour – getting into debt is easy y’all!|
|$50,000||23 months from NW $0|
|$100,000||39 months from NW $0|
|$150,000||50 months from NW $0|
|$175,000||54 months from NW $0|
That first $100K took me over 3 years to accumulate!
The second $100K seems to be coming along much faster and I anticipate I will have it by the end of winter (barring economic meltdown). That will mean that I will have accumulated my second $100K in just under 2 years.
I like this change in pace.
This is a good reminder at a time when I’m kicking myself for having rolled a traditional IRA into my 401K before realizing that I have joined the ranks of the “phased out of being able to deduct an IRA + 401K” group and should have recharacterized the difference to a Roth IRA. Meh you live and you learn.
The point of this post is to share my experience with how the change in pace happens when aided by a handful of factors. For me, these have been:
- Compound returns and interest
- Higher earnings (presumably, you earn more the further along you are in your FI practice and education)
- Greater optimization in the pursuit of FI
- More consistent and disciplined practices in pursuit of FI
I’m still learning, but one of the things I enjoy so much is watching these tiny optimizations at the margins come to fruition with measurable progress.
Onward and upward!