Where Would You Place $5,000,000?
Bill Moist, MS, CPA
For many years a partner told me his goal was to accumulate $5,000,000 in cash. When successful he would not have to work anymore. I would often ask, so where would you invest that cash? He did not have a good answer until yesterday.
So, I ask you… How much money do you want to accumulate in your lifetime?
First a word about accumulating cash. It disappears. I was shocked how fast a seven figure payment to me disappeared.
One investment manager had a client who won the $60,000,000 lottery. After taxes he had $40,000,000 left. A lot of money. Right? Everyone at the firm was surprised how fast the principal disappeared. If cash disappears, what else may we want to seek?
Here are four items that may be of interest to you:
- We want our return on our assets to be greater than inflation and taxes even though the ‘average investor’ does not reach this goal over the long-term
- We would want to receive substantial cash flow to keep us in the lifestyle we are accustomed to.
- We would want our asset base to grow with time
- We would not want to have to sell our net worth to get cash flow
Click here to watch Where Woud You Place $5,000,000?
The above goals are not commonly achieved. For the age group 55-65, for example, the 50th percentile have accumulated less than $150,000. How long will that?
In conclusion…It appears that we will have to do better than ‘average’ to achieve the above average lifestyle we desire.
Click here to get FREE 9 Little Know Secrets For Steady Real Estate Income.
This is Bill Moist, MS, CPA speaking today Where Would You Place $5,000,000?