I read an article today that discussed the status of the world’s growing number of millionaires. This article shared a very enlightening statistic.
Millionaires invest on average 20% of their income.*
*Source: Yahoo Finance
Investing is the Key to Success
So, it’s pretty much as simple as that. If you invest a good part of your income, then within a number of decades you will likely become a millionaire.
Call me Captain Obvious, but “Everybody Knows That”. The only question is, why aren’t people doing it?
Obviously, I have over-simplified the process of investing and accumulating wealth quite a bit. I wanted to just concentrate on one simple facet of the entire process. I want to understand why people fail to invest. This has confused me for the 30 years I have been investing. One reason I started this blog in 2007 was to encourage people to get started investing, yet it seems like a fool’s errand.
36% of people in the U.S. have nothing saved for retirement.*
Feedback is Requested
If you are one of the people who reads my blog and you don’t invest, I would love to hear the reasons why. You can leave an anonymous comment, if you don’t want to be identified. I am searching for creative ways to encourage new investors.
If you don’t currently invest, what is keeping you from doing it?
The Bottom Line
The bottom line is that investing is the most common way to become a millionaire in America. That’s why there aren’t any posts about clipping coupons or making soap on my blog. We need the magic of compounding in order to prosper.
“How many millionaires do you know who have become wealthy by investing in savings accounts? I rest my case.”
– Robert G. Allen