Author Topic: Who became a millionaire in 2021?  (Read 16836 times)

pdxvandal

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Re: Who became a millionaire in 2021?
« Reply #50 on: June 03, 2021, 04:43:01 PM »
Looks like I hit the $1M (investments only) mark on April 1 ... no joke! It's pretty crazy to think my LNW has more than doubled since January 2018. I'm not 100% sure when I'm pulling the plug, but right now, thinking a year from now, health and wealth depending.

Dibbels81

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Re: Who became a millionaire in 2021?
« Reply #51 on: June 10, 2021, 02:28:16 PM »
Household net worth topped 1 million last week. I'm obviously not an individual millionaire yet, but still feels good! About 85% is with our Vanguard portfolio, and the rest is home equity. The wife is only 30 y/o, so she's way ahead of the game. I'm older at 39.  I've been following MMM for about 7 years now so it feels cool to finally sit at the adult table.

To celebrate, we're treating the parents to dinner. Her parents are part of the 7 figure club, but mine aren't, but they won't turn down free food.

Icecreamarsenal

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Re: Who became a millionaire in 2021?
« Reply #52 on: June 14, 2021, 06:52:59 AM »
For those unaware, I'd like to bring up the 'Race from X to Y' series in the 'Throw Down the Gauntlet' section of the forum.
People 'race' (not really) from $500k to 1m, 1 to 2, 2 to 4, etc.
I find it to be a good motivational tool, as I'm not that competitive naturally.

utaca

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Re: Who became a millionaire in 2021?
« Reply #53 on: June 14, 2021, 10:39:37 AM »
We were probably millionaires with home equity included for awhile but we passed $1M liquid this year. However, it's in CAD so basically we have enough to buy a pretty good sandwich if converted to USD ;)

clarkfan1979

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Re: Who became a millionaire in 2021?
« Reply #54 on: June 14, 2021, 11:27:32 AM »
I was estimating November/December, but I think we are there. The real estate comps are becoming somewhat unbelievable and it's been difficult to keep up.
 
Rental Real Estate Equity: 900K
Primary Home Equity: 125K
Retirement Accounts: 190K
Cash: 35K
Student Loans: 25K

Based on my calculations, we are at 1,225,000. If I sold all the real estate (2.15 million), I would have to pay 7% transactions costs (150K). That would put our final number at 1,075,000.




jsap819

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Re: Who became a millionaire in 2021?
« Reply #55 on: June 14, 2021, 05:35:09 PM »
Just hit $1 million in investments/cash last week. Net worth at $1.35 million if you include home equity. We are bare bones FI but not comfortable pulling the plug yet. Figured we can go at least two more years when I turn 40. It's funny when we started this journey, the goal was to stop working at 50 years old. If this keeps up, we can probably stop at 40.

drumstache

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Re: Who became a millionaire in 2021?
« Reply #56 on: June 15, 2021, 10:14:55 AM »
I'm at 923K Investments + EF.  Paid off house (which I usually don't include in calculations.) puts me at 1.1 million. 

I'm a couple years ahead of where I thought I would be.  It's a good feeling.  Still not going to celebrate until I'm over a million in Investments only.

DeniseNJ

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Re: Who became a millionaire in 2021?
« Reply #57 on: June 21, 2021, 09:15:11 AM »
I'm at 923K Investments + EF.  Paid off house (which I usually don't include in calculations.) puts me at 1.1 million. 

I'm a couple years ahead of where I thought I would be.  It's a good feeling.  Still not going to celebrate until I'm over a million in Investments only.

This is what I'm struggling with.  Yes you should count the house since it is an asset, at least the value minus the mortgage. But . . . the housing market is so inflated that unless you're selling soon, you should probably not expect to sell for what zillow says it's worth. Not to mention realtors' fees of 6% (of the sale price, not just off your profit). (If you had to pay 6% commission on your total market investments, no one would stand for it--why do ppl think a house is a great investment?? But I digress.)

So if I count the house I'm just about there, but without the home equity I'm only at 850K.  I'm not counting the house and just have to hold out for another 150K to celebrate.

Nutty

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Re: Who became a millionaire in 2021?
« Reply #58 on: June 21, 2021, 10:55:18 AM »
Thank you.  Ya'll are making me think.

We passed $1mm in the investment accounts this year.  Add the house.  I'm still in denial cause it took so long and I can't believe we are here.  The big jump was getting the kids out of college and off the Parent's payroll.  Trying to introduce them here and teach them what I didn't know early enough.  They will learn.

Cheers, this is worth celebrating.

Plina

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Re: Who became a millionaire in 2021?
« Reply #59 on: June 21, 2021, 11:49:52 AM »
We were probably millionaires with home equity included for awhile but we passed $1M liquid this year. However, it's in CAD so basically we have enough to buy a pretty good sandwich if converted to USD ;)

I passed a million with home equity in my local currency sometimes last year and will probably pass a million in investment sometimes next year. It is funny because it doesn’t feel like you are millionaire as part of it is home equity but it is still a hell of lot of money. The pandemic has given the saving rate steroids.

Le Poisson

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Re: Who became a millionaire in 2021?
« Reply #60 on: June 21, 2021, 11:56:39 AM »
We might technically be millionaires now.  The housing market in our area has gone insane, and since I have a 15-year mortgage, we probably have 250-300k in equity in our house.  That plus the ~750k invested and then our 2 paid off cars means we are close, if not already there.  Not planning to sell our house for 5-7 years, so I'm not sure exactly what it's worth.

Same here - owning three addresses, we are easily in the $1MM net worth category now, but I keep saying, we'll see what property is worth next year...

Currently though, selling any one house would pay off all of our debts. It's a tempting, but unwise proposition. (All of our debts are tax deductable, and below 2% so not smart to pay down.)

Monkey Uncle

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Re: Who became a millionaire in 2021?
« Reply #61 on: June 24, 2021, 12:53:22 PM »
DW and I probably crossed $1MM net worth some time earlier this year.  If you back out home equity, we're still in the high 800s range, but I'm going to claim it anyway.  Reached this milestone after 3+ years being FIREd.  Am I the first post-FIRE person in this thread?

DeniseNJ

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Re: Who became a millionaire in 2021?
« Reply #62 on: July 07, 2021, 11:00:34 AM »
I'm at 900K!!!  I'm stunned.  At $1M if I count home equity, which I usually don't.  But at 900K, I'm so close I can taste it. 3 yrs ago, I thought it would be 20yrs, if ever, until I was here. So glad I found this site.

ptobest

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Re: Who became a millionaire in 2021?
« Reply #63 on: July 13, 2021, 12:23:12 PM »
I just hit the $1M mark about a week ago, with a combination of assets (IRA, 401k, index funds - mostly VTSAX, a few stocks, some cash). It's weird to log into Personal Capital and see that number sitting there. I thought it would feel different, like "holy crap I'm finally a millionaire" but I don't really feel much, aside from feeling a lot more financially stable than I expected to at age 41, especially considering 10 years ago I was in a situation where I was grateful to have my car totaled (but still drive-able) in an accident where I was not at fault, as that 3K insurance money kept me from going into debt due to financial issues. I haven't told anyone about hitting $1M (and not that many people even know I am pursuing FIRE). I don't really have anyone that can relate to it, it's nice to be able to log in here (first time on the forums in 3 years, in fact) to share.

My original numbers for FI were $675K (my lowball number in case I really hated my job and wanted to live pretty lean), then $750K (based on what I generally spend in a year, with this number at 4% withdrawal I could continue in the same lifestyle), and then $1M as a stretch goal. Well, I made it. My tentative plan is to pull the trigger on quitting my job at the end of September, right after I return from a 2 week vacation (and after some stock vests in September as well).

sbryant31

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Re: Who became a millionaire in 2021?
« Reply #64 on: August 10, 2021, 04:35:18 PM »
I went from like 350k net worth to over 2 million in 2021. it was insane. i got a lucky break that really had very little to do with the economic climate. was crazy.

davisgang90

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Re: Who became a millionaire in 2021?
« Reply #65 on: August 11, 2021, 03:47:57 AM »
We crossed into the second comma club this month for net worth including our house. We should hit $1M in investments later this year or first of the year.

onecoolcat

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Re: Who became a millionaire in 2021?
« Reply #66 on: August 11, 2021, 06:21:16 AM »
Combined we crossed 1m sometime in April.  We didn't even realize it until after it happened. 

Dave1442397

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Re: Who became a millionaire in 2021?
« Reply #67 on: August 11, 2021, 08:17:46 AM »
We also went over $1MM as of June 1st.

Right now, we have $835k invested, and around $230k in home equity, allowing for upgrades before selling, and realtor fees.

We've gone from a net worth of $432k in November 2016 (when I started tracking it) to $1,068,000 today.

34% (of gross) savings rate right now.

Morning Glory

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Re: Who became a millionaire in 2021?
« Reply #68 on: August 21, 2021, 07:10:23 PM »
Husband and I combined hit a million at the beginning of July. Up another 20k since then. It's crazy. Not sure my savings rate because I usually just calculate it at the end of the year. I saved some proceeds from the house sale for living expenses so I can shovel my paychecks into my 457b.

Gone_fishing

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Re: Who became a millionaire in 2021?
« Reply #69 on: August 26, 2021, 07:11:07 PM »
Reached one million net worth this week.  Hooray!  It is a very freeing feeling.

Gone Fishing

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Re: Who became a millionaire in 2021?
« Reply #70 on: August 26, 2021, 07:58:54 PM »
Reached one million net worth this week.  Hooray!  It is a very freeing feeling.

Hey now, that's my handle!

Maverick1

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Re: Who became a millionaire in 2021?
« Reply #71 on: August 28, 2021, 01:29:02 PM »
As of today we are officially millionaires.  $593k in investments, $335k in our house and $80k in cash and vehicles.  As others have said, it feels good to have a forum to share this with others.  If I posted on my Facebook I'd feel like a dick.

To celebrate I cooked lunch for the family primarily with vegetables from our garden.  Low cost habits die hard.

clarkfan1979

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Re: Who became a millionaire in 2021?
« Reply #72 on: August 29, 2021, 08:33:52 PM »
As of today we are officially millionaires.  $593k in investments, $335k in our house and $80k in cash and vehicles.  As others have said, it feels good to have a forum to share this with others.  If I posted on my Facebook I'd feel like a dick.

To celebrate I cooked lunch for the family primarily with vegetables from our garden.  Low cost habits die hard.

I am "liking" your comment. I wanted you to get the full facebook experience.

Rosy

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Re: Who became a millionaire in 2021?
« Reply #73 on: August 30, 2021, 02:26:37 PM »
I went from like 350k net worth to over 2 million in 2021. it was insane. i got a lucky break that really had very little to do with the economic climate. was crazy.

You hit the lottery?-JK
CONGRATS those are some insane numbers:)

clarkfan1979

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Re: Who became a millionaire in 2021?
« Reply #74 on: September 13, 2021, 02:17:02 PM »
We crossed over sometime in the first week of January as well.

1M Total net worth when I posted this. Four months later, I have crossed over 1M liquid net worth. At the end of April:

107K Value of house and two vehicles (fully paid for)
+1.005M Liquid net worth
$1,112,000 Total Net Worth

As many have said, it feels a little surreal to have reached these milestones. Took just under 10 years to get here starting at college graduation with ~0K net worth. We are now a family of 5, living on a single income since my wife became a SAHM 6 years ago.

Although you are younger, it looks like we have similar paths. We went from zero to 1 million in 10 years (August 2011 to August 2021). My wife transitioned from full-time work to part-time work in May 2015. We welcomed our son in May 2017.

Over this past weekend, I just mapped out the next 10 years. Based on current real estate and savings, we should go from 1 million to 3 million in the next 10 years. This is based on the assumptions that our savings rate does not increase and we do not buy any additional real estate. We just stick with what we are doing right now.

mntnmn117

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Re: Who became a millionaire in 2021?
« Reply #75 on: September 13, 2021, 02:31:38 PM »
I went from like 350k net worth to over 2 million in 2021. it was insane. i got a lucky break that really had very little to do with the economic climate. was crazy.

Must be Dogecoin?

Morning Glory

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Re: Who became a millionaire in 2021?
« Reply #76 on: September 13, 2021, 03:35:52 PM »
I went from like 350k net worth to over 2 million in 2021. it was insane. i got a lucky break that really had very little to do with the economic climate. was crazy.

Must be Dogecoin?

Gamestop?
Inheritance?
Real estate?

badger1988

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Re: Who became a millionaire in 2021?
« Reply #77 on: September 23, 2021, 11:25:40 PM »
We crossed over sometime in the first week of January as well.

1M Total net worth when I posted this. Four months later, I have crossed over 1M liquid net worth. At the end of April:

107K Value of house and two vehicles (fully paid for)
+1.005M Liquid net worth
$1,112,000 Total Net Worth

As many have said, it feels a little surreal to have reached these milestones. Took just under 10 years to get here starting at college graduation with ~0K net worth. We are now a family of 5, living on a single income since my wife became a SAHM 6 years ago.

Although you are younger, it looks like we have similar paths. We went from zero to 1 million in 10 years (August 2011 to August 2021). My wife transitioned from full-time work to part-time work in May 2015. We welcomed our son in May 2017.

Over this past weekend, I just mapped out the next 10 years. Based on current real estate and savings, we should go from 1 million to 3 million in the next 10 years. This is based on the assumptions that our savings rate does not increase and we do not buy any additional real estate. We just stick with what we are doing right now.

Yes, similar trajectory here if I can't convince myself at some point before then enough is enough.

I often find myself thinking about how easy this game seems...and I have to constantly remind myself that we are outliers here, and for most the game is not nearly so easy.

magus

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Re: Who became a millionaire in 2021?
« Reply #78 on: October 03, 2021, 06:04:37 AM »
I'm at 923K Investments + EF.  Paid off house (which I usually don't include in calculations.) puts me at 1.1 million. 

I'm a couple years ahead of where I thought I would be.  It's a good feeling.  Still not going to celebrate until I'm over a million in Investments only.

This is what I'm struggling with.  Yes you should count the house since it is an asset, at least the value minus the mortgage. But . . . the housing market is so inflated that unless you're selling soon, you should probably not expect to sell for what zillow says it's worth. Not to mention realtors' fees of 6% (of the sale price, not just off your profit). (If you had to pay 6% commission on your total market investments, no one would stand for it--why do ppl think a house is a great investment?? But I digress.)

So if I count the house I'm just about there, but without the home equity I'm only at 850K.  I'm not counting the house and just have to hold out for another 150K to celebrate.

Still expensive, but you can get 3.5%-4% pretty easily with realtors these days. Paying buyers agent 2.5% is pretty normal now and you can find seller agents at 1-1.5% pretty easily. In fact, the best realtor I've ever used charges me 1% on sale (min $4k) and rebates me anything over 1.5% on buy towards closing costs of the mortgage. I send him a lot of referrals and he's closed on 7 places with me in the last 2 years.

Housing should be included, especially if you do plan to geo-arbitrage at some point. I do not think housing prices are going to drop, either. I think the growth will slow, but the money supply has been increased dramatically (duckduckgo M2 money supply Fed Reserve) - this is simply inflation in action. The profile of the homebuyer today and their credit/downpayment is 180 degrees different than 2003-2007 (high income, high credit score, large downpayment on fixed rates or all cash today vs fake income, low credit score, little to no downpayment, and 1 year ARMs then). Additionally, institutional money is buying up like crazy for rentals now - any weakness in housing and they will set a floor.

If you count primary place, we hit millionaire status last August. If you exclude primary place, we did June 11th when I got a nice windfall from work plus other gains.

Dicey

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Re: Who became a millionaire in 2021?
« Reply #79 on: October 03, 2021, 07:47:27 AM »
I'm at 923K Investments + EF.  Paid off house (which I usually don't include in calculations.) puts me at 1.1 million. 

I'm a couple years ahead of where I thought I would be.  It's a good feeling.  Still not going to celebrate until I'm over a million in Investments only.

This is what I'm struggling with.  Yes you should count the house since it is an asset, at least the value minus the mortgage. But . . . the housing market is so inflated that unless you're selling soon, you should probably not expect to sell for what zillow says it's worth. Not to mention realtors' fees of 6% (of the sale price, not just off your profit). (If you had to pay 6% commission on your total market investments, no one would stand for it--why do ppl think a house is a great investment?? But I digress.)

So if I count the house I'm just about there, but without the home equity I'm only at 850K.  I'm not counting the house and just have to hold out for another 150K to celebrate.

Still expensive, but you can get 3.5%-4% pretty easily with realtors these days. Paying buyers agent 2.5% is pretty normal now and you can find seller agents at 1-1.5% pretty easily. In fact, the best realtor I've ever used charges me 1% on sale (min $4k) and rebates me anything over 1.5% on buy towards closing costs of the mortgage. I send him a lot of referrals and he's closed on 7 places with me in the last 2 years.

Housing should be included, especially if you do plan to geo-arbitrage at some point. I do not think housing prices are going to drop, either. I think the growth will slow, but the money supply has been increased dramatically (duckduckgo M2 money supply Fed Reserve) - this is simply inflation in action. The profile of the homebuyer today and their credit/downpayment is 180 degrees different than 2003-2007 (high income, high credit score, large downpayment on fixed rates or all cash today vs fake income, low credit score, little to no downpayment, and 1 year ARMs then). Additionally, institutional money is buying up like crazy for rentals now - any weakness in housing and they will set a floor.

If you count primary place, we hit millionaire status last August. If you exclude primary place, we did June 11th when I got a nice windfall from work plus other gains.
ClapClapClap - excellent recap, magus! As someone who lived through the Great Recession, I completely agree. It's likely that home sales will slow, but values aren't likely to drop much.

Here's why:

Dividing people into sharply defined groups based on their age and believing in the gospel truth of those definitions is a huge factor. It's a fallacy perpetualed by marketers. Millenials weren't supposed to become home buyers, right? Guess what? People are people. They get married, get pregnant and/or have a kid or two and want a house.  They don't GAF what their catchily named subgroup is "supposed" to want. But due to marketers/pundit's dire predictions and other economic factors, not enough housing was built over the last decade or so and demand has skyrocketed.

DH and I are Real Estate geeks. We go to a lot of Open Houses.  We laugh inwardly and play "Count the pregnant people". Three homes on our street went on the market during the pandemic while Open Houses were verboten. The parade of strollers, babes-in-arms, and pregnant bodies was endless. 

These highly qualified, fixed-rate mortgage holding young parents are highly unlikely to change course and become renters en masse. As inflation does its thing, their payments will become comparatively cheaper than renting and they will stay put. Time will tell.

dcsaver

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Re: Who became a millionaire in 2021?
« Reply #80 on: December 23, 2021, 03:23:04 PM »
When I did my taxes earlier this year, that's when I discovered I had crossed the million dollar mark. Hurray! But there's hardly anyone I can share the news with. Thanks for this forum!

Chrissy

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Re: Who became a millionaire in 2021?
« Reply #81 on: December 23, 2021, 04:12:28 PM »
We made it to $1M cash/investments in October.  Doesn't include the house or car, or the 529s.

Abe

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Re: Who became a millionaire in 2021?
« Reply #82 on: December 23, 2021, 09:49:37 PM »
Made it just in time! We expect to make it to $2m by 2027, and maybe $3m by 2030. Will see if we keep working by then. Depends on how much a house in California costs by then!

Dicey

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Re: Who became a millionaire in 2021?
« Reply #83 on: December 26, 2021, 08:47:58 AM »
Made it just in time! We expect to make it to $2m by 2027, and maybe $3m by 2030. Will see if we keep working by then. Depends on how much a house in California costs by then!
Are you planning to come back soon?

Debts_of_Despair

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Re: Who became a millionaire in 2021?
« Reply #84 on: December 28, 2021, 09:51:41 AM »
Add me to the list.  I wavered back and forth a couple times but with yesterday’s big gains it’s official.  Most anti-climatic milestone of my life.

nedwin

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Re: Who became a millionaire in 2021?
« Reply #85 on: January 04, 2022, 10:18:15 AM »
We crossed the threshold in December, so just barely made it!  Our home value increased over 25% this year and was the deciding factor in pushing us over a million.  We count our home value in networth, as well as vehicles for that matter.  I update our home value at the beginning of the new year based on an average zillow and redfin, and adjust that after reviewing comparable sales in our neighborhood.

LifeHappens

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Re: Who became a millionaire in 2021?
« Reply #86 on: January 04, 2022, 10:38:56 AM »
My DH and I crossed $1mil liquid in November. At EOY we were at $1,070,00. It's a huge milestone, but also as anti-climactic as most people on the forum say. We celebrated with a ridiculous high five ritual and carried on :)

Vashy

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Re: Who became a millionaire in 2021?
« Reply #87 on: January 04, 2022, 01:08:12 PM »
We became household net worth millionaires at £1,09m at some point in 2021 (both aged 47), but since £500k of that is home equity and £530k is in company pension schemes that we can't access yet, I don't feel "rich" yet because it's very much paper wealth. I'm shooting for £888k individually over the next four years, and the £1m individual will basically happen by itself. It's a surreal feeling and compared to the kind of paycheck-to-paycheck family I come from, this is already totally unthinkable money.

clarkfan1979

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Re: Who became a millionaire in 2021?
« Reply #88 on: January 06, 2022, 06:28:06 AM »
2021 is now officially over.

Last January I recorded our net worth at 925K. However, most of it is in rental real estate and I should probably subtract the real estate transactions to make the money liquid, which was probably around 125K at the time. As a result, we were probably around 800K net worth, not 925K. Based on my best calculations, we ended 2021 around 1.25m. Total gains were around 450K.

frugalbob

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Re: Who became a millionaire in 2021?
« Reply #89 on: January 16, 2022, 05:25:19 AM »
Crossed $1M LNW around August 2021, up from next to nothing six years ago.   Almost none of this came from investment gains: I'm finally starting to put the money to work now, but was just parking it in money market accounts for most of that time.  I started a small business started in early 2016... whole lot of stress and 100-hour weeks since then, but has created a lot of savings and I'm hoping to RE in two or three more years since I'll burn out eventually if I don't.

Still living like a student (20-yr old car; bag lunches; home haircuts; etc) and probably always will.  The part of the MMM worldview that resonates for me, more than 4% "rule" or building a personal 'stache, is simply the idea that you really DON'T need to spend a lot to have a satisfying life.

Dicey

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Re: Who became a millionaire in 2021?
« Reply #90 on: January 16, 2022, 06:06:23 AM »
Crossed $1M LNW around August 2021, up from next to nothing six years ago.   Almost none of this came from investment gains: I'm finally starting to put the money to work now, but was just parking it in money market accounts for most of that time.  I started a small business started in early 2016... whole lot of stress and 100-hour weeks since then, but has created a lot of savings and I'm hoping to RE in two or three more years since I'll burn out eventually if I don't.

Still living like a student (20-yr old car; bag lunches; home haircuts; etc) and probably always will.  The part of the MMM worldview that resonates for me, more than 4% "rule" or building a personal 'stache, is simply the idea that you really DON'T need to spend a lot to have a satisfying life.
Better late than never, I guess? Too bad you didn't find this place sooner. You've missed out on some amazing years of market growth

frugalbob

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Re: Who became a millionaire in 2021?
« Reply #91 on: January 16, 2022, 08:00:07 AM »
Better late than never, I guess? Too bad you didn't find this place sooner. You've missed out on some amazing years of market growth

:( 
Very true that, Dicey. I was paying off mortgage and startup debt the first couple years and didn't really start to have much to invest until 2018 or so.  At that point I thought the dow/nasdaq/etc were "too expensive" and figured I'd wait for a correction before jumping in.  In retrospect, I was colossally wrong and should have accepted that trying to time the market is stupid.

Maybe this is the downside of having a dyed-in-the-wool frugal disposition: it's really hard to make yourself buy anything unless it's obviously a bargain, even investments.  Do other MMMers struggle with this?  Now with inflation making it even more costly to hold cash, I've started rapidly shifting into investments, but even now I can hardly bring myself to buy US index funds at current multiples.  I have been buying a lot of India and Developing Market ex China... quite risky, perhaps colossally stupid all over again, but just easier for my feeble brain to see value there.  Getting way off topic here, I guess.
« Last Edit: January 16, 2022, 08:10:02 AM by frugalbob »

clarkfan1979

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Re: Who became a millionaire in 2021?
« Reply #92 on: January 18, 2022, 09:44:34 AM »
Better late than never, I guess? Too bad you didn't find this place sooner. You've missed out on some amazing years of market growth

:( 
Very true that, Dicey. I was paying off mortgage and startup debt the first couple years and didn't really start to have much to invest until 2018 or so.  At that point I thought the dow/nasdaq/etc were "too expensive" and figured I'd wait for a correction before jumping in.  In retrospect, I was colossally wrong and should have accepted that trying to time the market is stupid.

Maybe this is the downside of having a dyed-in-the-wool frugal disposition: it's really hard to make yourself buy anything unless it's obviously a bargain, even investments.  Do other MMMers struggle with this?  Now with inflation making it even more costly to hold cash, I've started rapidly shifting into investments, but even now I can hardly bring myself to buy US index funds at current multiples.  I have been buying a lot of India and Developing Market ex China... quite risky, perhaps colossally stupid all over again, but just easier for my feeble brain to see value there.  Getting way off topic here, I guess.

I consider myself frugal, but I'm sure others on this forum are much more frugal than me.

When it comes to investments, I still look for a bargain. However, the "bargain" is the value, not the price. In June 2018, I bought a house in Hawaii for 603K. Our W-2 income at the time was 75K/year and another 15K/year in rental income. Those kind of numbers don't really seem frugal. At face value, I look house poor. However, the house had a mother-in-law suite in the basement. Our total PITI was $2650/month and we rented the basement for $1600/month. I have spent about 65k fixing it up and it's now worth about 1.1 million.

badger1988

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Re: Who became a millionaire in 2021?
« Reply #93 on: January 18, 2022, 09:10:10 PM »
Better late than never, I guess? Too bad you didn't find this place sooner. You've missed out on some amazing years of market growth

:( 
Very true that, Dicey. I was paying off mortgage and startup debt the first couple years and didn't really start to have much to invest until 2018 or so.  At that point I thought the dow/nasdaq/etc were "too expensive" and figured I'd wait for a correction before jumping in.  In retrospect, I was colossally wrong and should have accepted that trying to time the market is stupid.

Maybe this is the downside of having a dyed-in-the-wool frugal disposition: it's really hard to make yourself buy anything unless it's obviously a bargain, even investments.  Do other MMMers struggle with this?  Now with inflation making it even more costly to hold cash, I've started rapidly shifting into investments, but even now I can hardly bring myself to buy US index funds at current multiples.  I have been buying a lot of India and Developing Market ex China... quite risky, perhaps colossally stupid all over again, but just easier for my feeble brain to see value there.  Getting way off topic here, I guess.

Not only were you waiting on the sidelines since 2018 for a correction...you also remained sidelined when the corrections/bear market did come (see arrows on chart below) ;)



This is one of my favorite charts to keep. Top-left corner of the chart coincides with the date I started maxing my Roth IRA as a college sophomore...I didn't see a positive overall return until just over 3 years later. Happy to have had the fortitude to stay the course since, and extremely fortunate with the timing of it all. That initial $5,000 is now up roughly 300% (and the discounted shares I bought from 2008-2013 are up even more!)
« Last Edit: January 18, 2022, 09:12:51 PM by badger1988 »