Whaaaa...? You cray. You'd have a grand total of around 25K after 15 years. You'd probably need to put in 5000 per month to get to a million in 15 years.
SVB will be the first millionaire pool player??
- Thread starter trinacria
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Whaaaa...? You cray. You'd have a grand total of around 25K after 15 years. You'd probably need to put in 5000 per month to get to a million in 15 years.
Since I blasted you above, I thought I'd agree with you here. :thumbup:
Yeah, for whatever reason most people think taxes are a lot higher than they actually are. Maybe they confuse tax bracket with effective tax rate.
iT MAY HAVE BEEN COMPOUNDED DAILY AND 300 A MONTH...
It may have been compounded daily and 300 a month I don't feel like doing the math right now, regardless, I know it wasn't much to have a million dollars after 15 years.. you have to understand the compounded part for it to add up... as the balance increases the amount of daily accrued interest increases as well...
Jaden
Here's an article that spells out the miracle of compounded interest over the long term...
http://www.earlytorise.com/starting-young-the-miracle-of-compound-interest/#
It may have been compounded daily and 300 a month I don't feel like doing the math right now, regardless, I know it wasn't much to have a million dollars after 15 years.. you have to understand the compounded part for it to add up... as the balance increases the amount of daily accrued interest increases as well...
Jaden
Here's an article that spells out the miracle of compounded interest over the long term...
http://www.earlytorise.com/starting-young-the-miracle-of-compound-interest/#
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Investing $300/month won't give you anywhere close to a million dollars after 15 years. Here's simple math. 10% annual returns on your investment essentially doubles your money after 7.2 years. $300/month or $3,600 per year would roughly be $3600 x 2 x 2 in 15 years or $14,400. 15 x that isn't close to a million.
For an investment of $300 per month, you'd do well to find guaranteed investment tool that would guarantee you 2% compounded interest right now.
For an investment of $300 per month, you'd do well to find guaranteed investment tool that would guarantee you 2% compounded interest right now.
that's 10% annual...
That is NOT compounded daily...It would be 125K...not 14,400...Even most savings accounts are not compounded yearly...
Jaden
Ok it was 35 years compounded daily at 300/month at 10%.I had to revisit it, it's been a while...At the end of 35 years if you're adding $300 a month at 10% interest compounded daily, you would have 1,155,901.53
At 500 month, you would almost double it with a total of 1,926,502.55 at the end...you end up with about the same when it is compounded monthly...
That is NOT compounded daily...It would be 125K...not 14,400...Even most savings accounts are not compounded yearly...
Jaden
Ok it was 35 years compounded daily at 300/month at 10%.I had to revisit it, it's been a while...At the end of 35 years if you're adding $300 a month at 10% interest compounded daily, you would have 1,155,901.53
At 500 month, you would almost double it with a total of 1,926,502.55 at the end...you end up with about the same when it is compounded monthly...
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Investments in stocks or mutual funds are not compounded daily. If you know of somewhere I can invest a million dollars with a guaranteed daily compounded interest of 10%, please share this with me. 35 years is a big difference from 15 years. In theory, you're now correct about investing $300 per month for 35 years. In practice, it is irrelevant.
Especially when you're talking about pool players!
BTW, I think CJ has written about the Earl-$1million situation. As best I can remember, CJ had underwritten the challenge with an insurance company (like you do with a golf hole-in-one challenge "Make a hole-in-one on this hole and you win a new car". Golf tournaments pay an insurance company $X,XXX per tournament. The insurance company is betting that more $X,XXX premiums will be paid into the pot than they'll have to pay out in new cars.)
Lo and behold, Earl won the challenge the first time out! Of course, the insurance contract had lots of fine print so the company could deny the "claim." It sounds like CJ did every thing he could to make good on the challenge.
Efren is a "millionaire" because his wife has invested most of his winnings in local real estate. I'm sure he doesn't do any of the management, but he's a big landlord in town.
lol. keep posting
The sick b***h of it is when you compare SVBs level of play to that of other top athletes in their own sport.... For instance Lebron will make more in a year than a gaggle of pool players will in their lifetimes combined. It is what it is, if ya like what you do the money is only a bonus anyway 
And you keep crackin' corn...
And you keep crackin' corn, cause I don't care...
Jaden
And you keep crackin' corn, cause I don't care...
Jaden
Spectacular recommendation. :thumbup::thumbup: I never expected to see it here on AZ, but I fully agree. Another solid and more simplistic option is Millionaire Next Door.
Where are you finding investments which are compounded daily?
If Shane is smart he will have a plan and invest money wisely. Saving and investing money takes discipline.
Math Is Your Friend
Your mistake here is that you stopped adding the $300 monthly over those 15 years.
Your mistake here is that you stopped adding the $300 monthly over those 15 years.
I think Shane should buy a cabin and land with good hunting and fishing on it in North or South Dakota and become a guide. He loves hunting and fishing and it pays very well if you have a name and a good reviews of getting game and fish and showing a good time. Johnnyt
PS: Not saying he shouldn't be investing in safe stuff now...because $hit happens.
PS: Not saying he shouldn't be investing in safe stuff now...because $hit happens.
Your math is a lil off. I think you are confusing e*/ natural logarithm and continuous compounding with effective annual rate of return. You wouldn't be a millionaire. More like a thousandnaire.
*did the math for ya- starting with $100 in month 1, by month 180/monthly compounding= $ 27,051.64 (Effective Annual Rate: 5.12%)
Eric
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I did pay Earl the first $50,000 right away, however ......
This isn't correct, just a "good guess". I did pay Earl the first $50,000 right away, however the other amounts are purely speculative.
This isn't correct, just a "good guess". I did pay Earl the first $50,000 right away, however the other amounts are purely speculative.
I was "shooting myself in the foot," however, Earl deserved to receive the money
Thanks, it almost felt like I was "shooting myself in the foot," however, Earl deserved to receive the money and I was the only one (my net worth was over a million) that could make sure that happened.....even if I had to pay it off through my company.
Thanks, it almost felt like I was "shooting myself in the foot," however, Earl deserved to receive the money and I was the only one (my net worth was over a million) that could make sure that happened.....even if I had to pay it off through my company.
No mistake made at all. If you take 12 months x 15 years x $300/month you get $54,000. That's the total investment you'd have by investing $300 per month for 15 years. If you put $54,000 into an investment tool today earning 5% interest, you wouldn't have anywhere close to $1,000,000 in 15 years. It's irrelevant because you can't get 5% guaranteed compounded interest right now but why be concerned with trivial facts like that?
If you think that isn't correct, consider this. Based upon your form of math, a 15 year mortgage for $1,000,000 at 5% interest could be paid off with $300 per month payments. Reality is closer to $7,000 per month but again, why bother with facts?