Remember, we are talking about the “above average person.” The assumption here is that the above average person is able to start maxing out their tax-deferred retirement plan every year after the second full year of work, and continue on without fail until 65.
The low and high end account for a conservative 0% return to a more historical 7% – 8% constant rate of return.
First, we must highlight what the average tax-deferred retirement savings plan is for those in America.
We’ll focus on the simple 401K system we have here where one can contribute a maximum of ,000 of their pre-tax income every year in 2017.
3) Saves for the future because they realize at some point they no longer are willing or able to work.
With stock markets around the world reaching record highs in 2017, surely average net worth figures are also reaching record highs.
As such, we must first get an idea of what the real average net worth is in our respective countries, and then figure out the average net worth of the above average person!
According to CNN Money, the average net worth for the following ages are: ,000 for ages 25-34, ,000 for ages 35-44, 0,000 for ages 45-54, 0,000 for ages 55-64, and 2,000 for 65 .
5) Takes action by leveraging free tools on the internet to track their net worth, minimize investment fees, manage their budget, and stay on top of their finances in general.
Once you know where all your money is, it becomes much easier to optimize your wealth and make it grow.