- Save 5% of Income Each Year: $303,373
- Save 10% of Income Each Year: $606,747
- Save 15% of Income Each Year: $910,121
- Save 1% to Start and Go Up 1% Each Year Until at 20%: $770,330
- Save 5% Once Income is Above $50K: $241,667
Whether we look at the simulated results or the actual wealth for our given cohort of U.S. households, you can see that they weren’t close to becoming millionaires. This bitter truth suggests that the typical American household has to do a bit more if they want to reach such a large wealth milestone. In other words, atypical results require atypical actions.
These actions could include: raising your income, cutting your spending, or increasing your annual returns—options that are anything but easy.