DebtFreeGuru

DebtFreeGuru.com's - Tip of the Week - Monday, January 26, 2004

If you can't read this newsletter or it's in any way garbled, just click the Reply button and type a brief note explaining that you can't read the newsletter. We'll get you one you can read right away!

(Always feel free to forward)

My Money Center, Inc.

"...a new thought company"

If you or someone you know is struggling or unable to meet your obligations Contact Me for a FREE no obligation evaluation to see if one of the My Money Center Programs is right for you!

Or Call 813-354-2563

Click here to order your credit report, credit monitoring service or Credit Scoring Analysis!

• FREE Weekly Tip!

• My Personal Invitation
• Who Should Attend
• Attend A Workshop

• Workshop Schedule

• Order Home Study Course

• Tell a Friend

• Contact Me!

Start On Your First $1 Million at Age 16

It's easier than you think to become a millionaire. The magic combo? Getting an early start saving and having the discipline not to raid the piggy bank.
By Scott Burns (as seen on msn.com)

Here's a simple recipe to become a millionaire:

Work four summers, starting at age 16
Save the income in a Roth IRA account
Invest it in a simple, low-cost equity portfolio
Simmer slowly for 47 years
Serve ungarnished (and untaxed) at age 67

This is the first recipe in my new Small Change Millionaire Cookbook, an occasional series of columns with a single purpose -- demonstrating different ways small amounts of money can be turned into a large amount of money. Just as a mere 10 calories a day of additional food can pack on a pound a year, small change can become large amounts of money.

The good news is that money grows faster than fat. Calories don't have the benefit of compound annual growth.

Many people fail to diet because the end goal seems so far away. So it is with saving and investing: Most people fail because it is nearly inconceivable that a few dollars a day or a well-timed gift can be turned into that magical sum.

Fast-Food Millionaires
A million dollars. It has such a nice sound.

So let me show you how four summer jobs can become your first million.

Let's suppose that you are 16 years old, in high school, and willing to work. Let's also suppose that you can clear about $2,000 over the course of a summer, if only because a doting grandparent puts money in the Roth while you take your earnings to school. If you invest in a Roth IRA, it will grow, tax-free, for as long as you have the account. All withdrawals from the account after age 59 1/2 will be tax-free.

If your money is invested in common stocks and you achieve the average compound annual rate on large-capitalization U.S. stocks, 10.7%, your account will grow to $9,378 at the end of the fourth year. You will be 20 years old. Invested in the same way, with no additional savings, the account will grow to:

$32,965 by the time you are 30
$124,066 by the time you are 40
$375,834 by the time you are 50
$1,071,621 by the time you are 60
And $2,202,492 by the time you are 67

You will, in other words, have more than $1 million of "extra" money by the time you reach the normal full retirement age. And you will have started and finished all of your saving before turning age 21.

Worth The Risk
Note that this plan does not require investment brilliance. It does depend on two things, an early start and tenacity. If you invested in small-company stocks, whose long-term annual return clocks in at 12.5% annually, you could have much more money. (Try $4 million.) Similarly, you could diversify to reduce your risk and make your 47-year ride more comfortable. But you would do it at the expense of a somewhat lower return. Indeed, your long-term return could be as low as 8.31% annually, and you'd still end up with $1 million at age 67.

The "Yes, but" crew will be happy to tell you that $1 million isn't what it used to be. I can remember people telling me this in the '60s. It is as true now as it was then. Millionaires are, well, just dreadfully common.

Even so, the number of millionaires is relatively small. And being a millionaire is a better choice than being a pauper.

The same crew will be happy to tell you that the future won't repeat the past, that SARS, terrorism or some other misfortune will cripple the future, or that we will be crushed by a rising China . Similarly, an actuary might tell you that you have a substantial chance of being dead by 67.

Perhaps.

But so what?

All you've got to risk is four summers.

DebtFreeGuru.com - Tip of the Week - Monday, January 26, 2004

• PO Box 3782 • Clearwater Beach, FL • 33767 • Voice/Fax: 813-354-2563 •

To Discontinue Simply Reply with Unsubscribe in the Subject Line

Please Forward this to Everyone You Care About!

It's Your Money – Keep More of It!

DebtFREEGuru.Com is proud to offer:

Conscious Prosperity:

The Secret to Simple and Lasting Personal Wealth

By John Moore - $49.95 - 312 Information Packed Pages!

A part of all proceeds is donated to the Ministerial Endowment Fund created to provide financial assistance to ministerial students while in school!

Generous Bookseller Discounts for Bookstores!

We've partnered with PayPal to facilitate you ordering online!

FREE Shipping! - !Order Now!

It's Your Money – Keep More of It!

If you have credit cards, a mortgage, a car loan, student loans, or any other kind of debt, then you need this book to free you from debt!
This simple, livable system is GUARANTEED to help you retire in as little time as possible, with the money you are currently earning.
Pay off your credit card debt in 1 to 2 years, and your mortgage in another 4 to 5 years, without increasing your current income.
Calculate exactly when you will achieve financial independence and start living off the interest from your investments.
Simply the fastest way to personal and financial freedom!

Here's What People Are Saying About Conscious Prosperity:

"Your practical approach to debt resolution has made a difference in my life and in the lives of several members of this congregation. If anyone wants to know how to apply spiritual principles to become debt-free, I'll be glad to send them your way." - Rev. Thomas W. Shepherd, Sr. Minister, Sunrise Unity Church, Citrus Heights, California and author of Glimpses of Truth

"People in our congregation are using John Moore's program to literally change their lives. His workshop attracted a large crowd and prompted calls to "bring back that 'debt-free guy!"" - Rev. Bill Worth, Co-Minister, Unity Church of Austin, Austin, Texas and author of House of the Sun, A Metafictional Adventure.

"Thanks, John! Your workshop was the best of any kind we've attended in 36 years of marriage. You gave us a step-by-step way to manage our money, and now we're debt-free and watching our savings grow." - Anne and Joe B., Church Administrator and Physician, Birmingham, Alabama

"We did not have to cut way back to succeed. The only thing that we had to do was stop spending on credit. We have gone from 12 debts to 4, soon to be 3. We are looking forward to NO DEBTS! Amazing program. Simple and doable!" – Holly and Mark G., Dietitian and Registered Nurse, Tallahassee, Florida

The Author

John S. Moore has been facilitating financial planning, cash management, investment and personal growth workshops throughout the United States for more than twenty years.

In hundreds of workshops over the past 10 years, John has taught thousands of people how to live a debt-free, stress-free lifestyle. He teaches primarily at Unity, Religious Science and Science of Mind churches, as well as other churches, schools and corporations around the United States.

!ORDER NOW!

• PO Box 3782 • Clearwater Beach, FL • 33767 • Voice/Fax: 813-354-2563 •
To Discontinue Simply Reply with Unsubscribe in the Subject Line

Reproduction of material from DebtFreeGuru.com without permission is prohibited
Contact us for permission