Comments (285)

2y
PFSynergies, what's your opinion? Comment below:

$1.0MM by 35 is my target...it becomes fairly easy to build from there (e.g., living on base salary and saving / investing 100% of annual bonus, maintaining an aggressive asset allocation of ~90% equities until mid-40s, maxing 401k contributions / employer match for tax advantages, generally living well below one's available means, etc.).

2y
Pug, what's your opinion? Comment below:

Your username is great.

Also same boat for me. My fiancée and I are saving up for a duplex to live in and rent out the other half. So long as we can do that 2-3 times over the next ~8ish years I'm happy. Beyond that we'll see how it shakes out.

“The three most harmful addictions are heroin, carbohydrates, and a monthly salary.” - Nassim Taleb
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2y
CRE, what's your opinion? Comment below:

$100MM by 35.

$10 by 40.

blaze of fire

Commercial Real Estate Developer

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2y
thebrofessor, what's your opinion? Comment below:

read his AMA from 2018. entrepreneur. little seed capital, paid himself like shit for a few years, cold called his ass off, and now runs several businesses (scale). he is the unicorn for when I tell people to seek independence.

kudos to you m_1 , seeing a young buck like you absolutely crush it (and doing so the right way) is great. keep it up

2y
famejranc, what's your opinion? Comment below:

i am shocked that this post got so much ms lol, we should not be HATERS - we should be CELEBRATORS, it is badass that there are people on the forum who are absolutely crushing it.

Most Helpful
2y
valueadhd, what's your opinion? Comment below:

Currently 25 with a ton of student loan debt and a handful of real estate investments Age 30 - student loans paid off with equity from real estate investments (or progressive socialist president cleans the slate) Age 35 - $1M+ in gross real estate value - leveraged and cash flowing enough to cover majority of living expenses Age 40 - $5M in gross real estate value - flexibility to walk away from my 9 - 5. Start raising capital from family and friends for larger residential/commercial deals Age 50 - Re-evaluate meaning of life

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2y
dcorey, what's your opinion? Comment below:

Reasonable. Don't wait though; start re-evaluating life every year.

All deliveries and risk management are physical
2y
Invalid_CREdentials, what's your opinion? Comment below:

I think that comment was more satirical than anything...

Don't @ me

  • Teller in Non-profit
4mo

Meaning of life = red sports car with gf half your age

2y
RE-PE, what's your opinion? Comment below:

My real answer; currently 22. Net Worth: -170K

25 - Paid off 150k in student loans and 20K in personal loansafter working 3 years in MF. Will have 10 - 20k to my name after it's done. Net Worth: 15K

30 - Ideally working in either MF or UMM as a VP by now, putting away a couple hundred thousand. Should be able to start working on RE deals with friends and family. I'm lucky to have a strong network of U/HNW friends despite my lower middle class origins. Net Worth: 500K

35 - Exit my first deal, probably in commercial (office or industrial). Hopefully will have saved $1.5M working as senior management in MM, and made another $700k from the RE deal. Slowly going down the AUM chain as I take higher positions an better hours. Will have kids around now as discussed with my fiancee. She will also have graduated medical school and working as a dermatologist or neurosurgeon (the current plan), decreasing my personal family expenses. Net Worth: 2M

40 - Kids cost a lot of money, but I've been doing more and more deals as time goes on, exiting assets every 1-2 years as I have raised more capital from friends and family in the past 10 years. Start an angel investing side hustle, throwing chunks of 50k - 100k at startups, expecting all my money to go to waste. Net Worth: 10M

45 - Things will go one of three ways. I either strike gold with a startup or deal, or at this point I've lost all the money I've invested in startups, or I cruise by with some decent GPreturns. Net Worth Upside: 50M Net Worth Base Case: 20M Net Worth Downside: 5M

50 - Too far to think about. But a man can dream for 100M.


30 - 50 will be my golden years. Ideally I'll be buying a deal or two every year starting from the age of 30, growing my net worth exponentially. I've seen it happen with my fiancee's family friends who went from 5M to 100M in 10 years. Looking to replicate that model. I'm in a lucky spot. Grew up in a lower middle class family, having both my parents save approximate 20K total by the time I got into college. Took on all the student loans myself, but ended up in a good place to get those paid off while also sending thousand dollar checks back to my parents every month to keep them afloat as well. I never want to have to worry about money ever again--fear is a crazy motivator.

Real Estate Professional Network Discord Server: https://discord.gg/xxWQ2nC

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2y
RE-PE, what's your opinion? Comment below:

I'm in a slightly different position than most as many of my close (extended family) network is in real estate already. They commonly invest in commercial real estate (offices, fringe products) and will continue doing that for the foreseeable future. I don't think it's far fetched to say I can get in on those deals as a GP if I start looking for deals in my late 20s and bringing my own capital in my early 30s.

Real Estate Professional Network Discord Server: https://discord.gg/xxWQ2nC

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  • Intern in RE - Comm
3mo

I came from a similar background and your story/plan is motivating asf. What was your career path out of UG?

2y
REITDev, what's your opinion? Comment below:

With student loans, I'm still trying to get my net worth to not have a negative sign in front of it.

2y
Invalid_CREdentials, what's your opinion? Comment below:

lmao I love how very few factored this into their answer. Maybe people are getting through school w/o loans?

Don't @ me

2y
IRRection, what's your opinion? Comment below:

i'd like to employ the hendrix/cobain model of success.

25: start music career. net worth: $0

26: blow the fuck up online and become major artist. net worth ~$1M.

27: die horribly. net worth ~$1-2M

28+: immortalised by fans. value of my estate increases several fold overnight. net worth: tens to hundreds of millions.

Thank you for your interest in the 2020 Investment Banking Full-time Analyst Programme (London) at JPMorgan Chase. After a thorough review of your application, we regret to inform you that we are unable to move forward with your candidacy at this time.
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2y
IRRection, what's your opinion? Comment below:

you son of a bitch. i'm in.

Thank you for your interest in the 2020 Investment Banking Full-time Analyst Programme (London) at JPMorgan Chase. After a thorough review of your application, we regret to inform you that we are unable to move forward with your candidacy at this time.
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2y
Pug, what's your opinion? Comment below:

That 27 club is real

“The three most harmful addictions are heroin, carbohydrates, and a monthly salary.” - Nassim Taleb
2y
IRRection, what's your opinion? Comment below:

thx amy winehouse

Thank you for your interest in the 2020 Investment Banking Full-time Analyst Programme (London) at JPMorgan Chase. After a thorough review of your application, we regret to inform you that we are unable to move forward with your candidacy at this time.
2y
guy_incognito, what's your opinion? Comment below:

Median retirement savings for a 55 y/o in USA is ~100k. Judging by the comments we have a remarkable sample set in either potential wealth or delusion.

2y
RE-PE, what's your opinion? Comment below:

1st year associate's bonus in MF REPE is 100k by itself.

Real Estate Professional Network Discord Server: https://discord.gg/xxWQ2nC

2y
maineiac42, what's your opinion? Comment below:

Median HH income in the U.S. is also like 40k sooooooooooo.....?

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Funniest
2y
RE-PE, what's your opinion? Comment below:

yeah if this was Walmart Staff Oasis then he'd have a valid point

Real Estate Professional Network Discord Server: https://discord.gg/xxWQ2nC

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2y
DOW30k, what's your opinion? Comment below:

That's because most people don't save. It's fairly pathetic if you can only save 100k by the time you are 50. My grandmother only made about 40k a year and she has 500k in retirement

2y
smooth brain, what's your opinion? Comment below:

Yeah but she was making 40k at a time when a bottle of coke and a candy bar was less than a quarter. That same combo is probably close to three dollars or more now a days. This isn't even close to comparable. Also if she was making 40k back then, THATS A TON OF MONEY. For instance just as far back as 1970; 40K dollars a year would be equivalent to almost 250k now.

2y
CRE Entrepreneur, what's your opinion? Comment below:

Just to add on to this, the national household savings rate of post-tax is about 8% currently. That is significantly weighted up by high-earning households, though, with the bottom 60% of HH retaining savings near zero in line with historical norms. Personal savings rate for finance people like us can be closer to 30-50% of post-tax income based on higher incomes yielding more discretionary income. Some people spend that discretionary income now, some save and invest and spend it later.

2y
CRE, what's your opinion? Comment below:
guy_incognito:
Judging by the comments we have a remarkable sample set in either potential wealth or delusion.

Yes to both?

Commercial Real Estate Developer

2y
JVRE, what's your opinion? Comment below:

This forum is not made up of people who want to live in the realm of average. Overall that is what makes WSO such a valuable resource. There are people here from widely different backgrounds but we all want more than the status quo and we use the forum as place to gain knowledge that helps in that pursuit while having a few laughs along the way. That is what makes this place great.

2y
Aerfally1, what's your opinion? Comment below:
JVRE:
This forum is not made up of people who want to live in the realm of average. Overall that is what makes WSO such a valuable resource. There are people here from widely different backgrounds but we all want more than the status quo and we use the forum as place to gain knowledge that helps in that pursuit while having a few laughs along the way. That is what makes this place great.

Agreed.

2y
aphenophilia, what's your opinion? Comment below:

Sincerely the former. Most of us on this forum are quite young and possess more financial knowledge than prior generations. The wealth parity will continue to increase and most of us here will be the benefactors.

"Truth is like poetry. And most people fucking hate poetry."
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2y
Pug, what's your opinion? Comment below:

How do people retire with $100k? Assuming they've got another 30 years to go, either you've got to be slumming it out in poverty, investing with more insider information than Steve Cohen, moving out of country to Mexico or Bali, or relying on your kids. I don't see another alternative. Other than not retiring and working until your time is up.

“The three most harmful addictions are heroin, carbohydrates, and a monthly salary.” - Nassim Taleb
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2y
CRE, what's your opinion? Comment below:

Social Security + paid off house + extremely low cost of living town?

I don't know. I couldn't do it.

Commercial Real Estate Developer

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2y
Dick Steele, what's your opinion? Comment below:

This is WSO bro.

Seriously though, it's not difficult to save 100k by your late 20's even if you aren't making six figures out of undergrad. People have problems in life and life is expensive in general, but people are also shit at saving.

2y
maineiac42, what's your opinion? Comment below:

I don't tend to think of things in a NW perspective.

Currently 26.

At 25 I wanted an emergency fund of ~9 months expenses and a downpayment on my house (check)

At 30 I want my retirement safety net to be fully funded. Assuming my house is paid off I want about $60k in todays dollars using a 4% withdrawl rate ($1,500,000 in 2020 dollars). Assuming I will work for another 30 years and my portfolio returns 7% net of inflation this means I need roughly 200k sitting in my 401k at age 30. Even if I never contribute another dollar I should be ok. Currently at 100k with 4 years to go. Should be no problem to hit it. I also want to have roughly 100k invested in real estate. Should be feasible with bonuses etc.

Beyond 30 tough to say as who knows what life will bring. If I have kids I will probably be more conservative and want more liquidity. Maybe I will want to risk it all and go the entrepreneurship route and try to hit 10MM by 40.

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2y
FellowTraveler, what's your opinion? Comment below:

I wish you well but I think your targeted real (!) return of 7% is probably high by at least 200bps. We're 10 years into a bull market, PEs are high, and bond yields are low. Most market forecasters - who, I'll be the first to acknowledge, get it wrong at least as often as they get it right - are guiding investors to expect low/mid single digit nominal returns on equities and less than that on fixed income for the next decade+.

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2y
maineiac42, what's your opinion? Comment below:

Well obviously I don't intend to stop funding at age 30, but having a safety net in place based on a 7% real return is a good start. I also plan to make some real estate investments.

S&P500 Real returns from 1950-2009 were 7% which included two decades of negative real returns (70s and 00s). 10s have been unreal but 20 of the next 40 years could be pretty shitty and it would probably still work out.

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2y
ksbw28, what's your opinion? Comment below:

I really like the retirement funded in present value terms. Obviously there's financial independence with actual retirement, but knowing you could work for less pay, cut your hours, etc (take less bs you don't want to in general) because you could theoretically not invest more into retirement and be ok, while having to only cover your regular expenses would minimize a lot of professional life stress. 

3mo
maineiac42, what's your opinion? Comment below:

Not sure what you are referencing but if you have a good employer match you could easily get over 25k in contributions. 

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2y
DOW30k, what's your opinion? Comment below:

To some of the people in here acting like it's crazy most of us see ourselves having a net worth easily over a million. This is a IB forum guys we are not Wal-Mart employees it's not far fetched to get there

2y
IRRection, what's your opinion? Comment below:

i'm a walmart employee :(

Thank you for your interest in the 2020 Investment Banking Full-time Analyst Programme (London) at JPMorgan Chase. After a thorough review of your application, we regret to inform you that we are unable to move forward with your candidacy at this time.
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2y
Pug, what's your opinion? Comment below:

Walmart Labs pays their software engineers pretty good money. It's not FAANG but it's definitely very good pay, objectively speaking

“The three most harmful addictions are heroin, carbohydrates, and a monthly salary.” - Nassim Taleb
2y
maineiac42, what's your opinion? Comment below:

For real. People who think they will have the ability to GP a deal and exit before 30 allowing them to be worth $5mm are smoking the good shit.

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2y
RE-PE, what's your opinion? Comment below:

how about 35?

Real Estate Professional Network Discord Server: https://discord.gg/xxWQ2nC

2y
Minter88, what's your opinion? Comment below:

I'll be honest: I am 51. Single, no kids, renter. Not a trader. Was doing ok on savings and then was 'downsized' at end of '15. Three weeks later my father became ill and I spent a lot of time with my family in Midwest. Then I traveled. I didn't work for 2 years. I drained all but 8k from my 401k before I took a job. Those 2 years were GLORIOUS and really changed my view on life, money, work, etc. So I started from scratch basically. I'm maxing my 401k every year, I've moved out of my beautiful market-rate midtown apartment to Astoria, and saving on the side to buy something/somewhere (prob NOT NYC, I'll be dead before I have $ for 20% downpayment). Life happens, its great to have a plan and kudos to all who are killing it. I could have done those 2 years better, I made a couple of big errors but, now I do what I can to put myself in a better position. GLTA

2y
dan_yo23, what's your opinion? Comment below:

Corporate Finance here, so this one will be in stark contrast to the rest of you.

Currently 25, NW of 66k as of today. 3.5 years into my career, and I started my career with a NW of negative 40k between student loans and car loan. Looking to have a NW of 80k when I hit my fiscal year end (this July). Likely going to start my MBA this fall, so my NW will not increase for 2 years as I pay for that.

I'm gunning to be a manager at 27/28, a director in my early to mid 30s, and VP eventually. Those are my aspirations, but for forecasting purposes, I conservatively assume I'll top out at Sr. Manager and pull ~180k all in.

Planning to hit 100k NW at 28 (shortly after finishing my MBA)

30: $200k. Should be a manager for a year or two, so I'll be able to save a lot more for retirement and will likely get a house at this point.

35: $500k. I'm an agressive saver, and am conservative when forcasting when I'll hit promos. I hope to get to director around this time, but am not forecasting it.

40: $1MM. This been my goal for a while- hit a million by 40.

50: $2.5MM. It's more realistic to hit director in my 40s, but if that happens in my 30s then these numbers will hopefully be a lot higher. I haven't even made a model that assumes I hit VP at any point.

65: $8MM. Comfortable retirement, hope to be a snowbird. Hope to only pull 50-100k from my nestegg yearly and will either leave plenty to my family, or get a sweet yacht. Depends on how much of a late-life crisis I have.

The big unknowns to this are if I decide to be an entrepreneur, or if I get some real estate on the side. As a true FP&A guy I like to sandbag my forecasts as long as they still land me in a comfortable spot.

2y
Lester Freamon, what's your opinion? Comment below:

As someone in accounting/corp fin, I'm very similar to you except I have a slightly delayed timeline due to an unforeseen medical problem that set my career back a year or two. I want to hit 7 digits by 40 and hopefully hit director by early 40s. I figure once I hit those two goals, everything else will fall into place. As a Director, I should be pulling in more than enough in salary to live comfortably outside of NYC/SF and have enough passive income through dividends/savings in non-retirement accounts to pull me through if/when I lose my job in a recession.

Given I had medical problems, I think I'm also different than a lot of people on these forums in that I value my time more than making a killing or more digits to my name. Life is short and after a certain point, I don't think more money makes it any more meaningful. I used to want to be in IB and had a bit of a chip on my shoulder for only being in (at the time) TS while my friends started out in IB and were worth multiples what I was. Well, laying in a hospital bed thinking you're going to die makes you realize how worthless all that shit is. I only worried about what people would think of me as a person after I passed and frankly for how long. I ended up exiting TS (being on call was making me miserable), declining a boutique IB offer, and am now doing boring advisory work at a Big 4 firm that'll hopefully allow me to make decent money as a controller/CFO someday. Biggest thing is that so far, people are much more laid back than people in M&A and I'm much happier by not working with sociopaths that kept asking me to work 65 hours a week and only charge for 40 of them

My question to you though is do directors really only top out at 180K including stock options and whatnot? I'm pretty surprised by that because even when I was recruiting for manager, I was getting quoted at $115K + 20-30% bonus after only 5 years of experience + a CPA.

2y
KClubs, what's your opinion? Comment below:

25 (today): $110k Own condo w/ ~$90k in equity. Renting for a 1 year. Covering 90% of costs (ptax/utilities/etc.). Have ~$20k in the bank.

30: $250k Assuming salary goes up by ~$10k/year and I save 20%/year, that's $65k in savings. Equity in condo increased to ~$260k. So, extra $170 + $65 + original $20 = $255

35: tough to say w/ wife + kids a factor. Probably making $200k to $250k/year. Probably have to buy a house (HCOL city), so townhouse more likely really.

40: $1 M liquid? Equity in house probably another $1 M

45: $3M Ideally at this point have financial flexibility to be investing in RE

60: $10M

2y
Bigboy2512, what's your opinion? Comment below:

I'm 27 now with a NW of $200k. Hoping to hit $700k by 35 and use this as seed money invested indexes. Then exit the soul sucking world of RE high finance and break even in a career that I feel like I'm positively impacting people. Planning on working, hopefully with increased flexibility, until I physically can't.

2y
sandals.com, what's your opinion? Comment below:

8 figure net worth by age 40. It won't be easy but I know I can do it if I just keep trucking along.

Money can purchase freedom, if you have the guts to buy it

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2y
differentialequations12, what's your opinion? Comment below:

I gave up on specific goals. There's so much randomness and luck involved if your not following a beaten path, especially in volatile industries.

There was a guy I had dinner with that worked at ServiceNow pre-ipo and said if he had held his stock until now he'd have 20 mil or so.

Instead he used it to buy a house in the south of france in cash.

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2y
kj5159, what's your opinion? Comment below:

This. The more down to the letter a person has stuff planned, generally the younger and more inexperienced they are. Exception being if you're liquid af then you have a lot more control, generally speaking.

2y
Disjoint, what's your opinion? Comment below:

It's nice to have goals. My nephew who is 16 listens to a youtube video everyday before going to bed saying "I have a billion dollar in my bank account" - or some other vapid bull shit. Good on him - but it's not helping him with his grades or getting there in the first place.

Money goal are not great, as they are just empty - better put career goals in place. Or having done a deal by age x etc... That's more concrete. Your ex-wife will take most of your networth anyways at some point if you marry the wrong woman.

  • Associate 1 in S&T - FI
2y

What is everyone's liquid net worth to to walk away from your 9-5 and say forget it? I'm not an RE guy but all this RE you guys plan to own sounds like a lot of work to me. I'm talking about truly having enough cash and low touch cash generating investments to stop grinding and find a job you enjoy that is pretty much only to keep you busy and makes your life somewhat normal to your kids. I know a couple of guys who are in their 40s who have enough to walk away and are sick of it, and basically keep going to work so their kids understand some value of hard work, now these guys are not grinding like they used to and are basically waiting to get laid off. I'm thinking 10MM by 40 assuming a normal lifestyle (kids, house, etc.) and you can walk away.

2y
earthwalker7, what's your opinion? Comment below:

It's not just about making enough $. I mean, what do you do after work? Golf all day? Few people I know can do that non-stop before it gets old. Romp with the wife and have some kids. Cool, done. Now what? Travel around and go to the islands. Yup, done. Now what? Literally no one that I know who has made enough money has been able to sit still for long. Maybe 6 months of retirement is the most I've seen anyone pull off. It's insane to work a job you hate waiting to just make money so you can retire, and then be bored once you retire. Better to find something you like doing (or at least, don't hate) so that you can do that instead.

  • Associate 1 in S&T - FI
2y

I think you are missing my point here, I am not talking about totally walking away and doing nothing but doing something that is not as many hours that you actually enjoy. Due to the age that people are living to these days and the fact that we are taking better care of our brains and bodies retirement is kinda a dead concept and I think you are going to see people retire in stages. Finance is grind relative to most of the jobs but it also pays and allows me to have a lifestyle that is better than 99% of the regular 9-5 working population. I think everyone has the "If money did not matter, this is what I would do in mind" My question is what is your number to actually do it.

2y
Deo et Patriae, what's your opinion? Comment below:

When I was younger, I used to make goals like this. Now, my goal is simple - live below my means and put the excess (minus some emergency funds that stay in very liquid and stable assets) into the market.

Einstein supposedly said that compound interest is the "eighth wonder of the world."

A dramatic (but not completely far-fetched) example: $100,000 turns into approximately $100,000,000 if you can compound at 18.85% for 40 years.

That's only possible if you are Warren Buffet, you say?

Not necessarily, in fact, since you are managing much smaller amounts of money in your personal portfolio, you could potentially make even greater returns, but let's say you compounded at just 11.7% for 40 years instead (the return of the S&P 500 over the last 40 years with dividends reinvested) - you end up with ~8.3 million

The takeaway - live below your means, put the excess in the market, and let the magic of compound interest do it's thing. The sooner you start the better.

2y
Lester Freamon, what's your opinion? Comment below:

Bingo. This is exactly what I do. The only other thing I'd add is learning to have less wants has been huge for me. Besides being financially prudent, having less wants has really improved my mental health because I focus more of my energy on things that make me happy, number one of which I've found to be relationships with friends/family and as well as splurging occasionally on travel (I love learning about different cultures).

I think we're all pretty lucky to be in finance, assuming you enjoy it, because even lowly FP&A/CPAs like me earn more than enough to satisfy the basic necessities and plenty of luxuries. Whenever I think about my friends that earn more, I always count the lucky stars that I'm not innately passionate about the arts or something like that because it's much harder to make ends meet in that field.

2y
CorneliusLux, what's your opinion? Comment below:

Currently 30 with ~$750k. Kids and wedding are cleared.

Targets: -35: $2-3m -40: $5-10m -45: $15-20m -50: $25-30m

Planning to reach targets mainly due to bonuses (100% going towards investments), carry and shares at corporate level of my firm. We'll see how it goes.

2y
FellowTraveler, what's your opinion? Comment below:

You must be anticipating some seriously impressive bonuses and/or returns to pencil out that kind of trajectory, especially if it's after tax.

2y
CorneliusLux, what's your opinion? Comment below:

It's a function of multiple things:

  1. Relatively low cost of living in a 2nd tier city;
  2. I hate spending money on useless shit like watches and partying;
  3. I've managed to land on a rapidly growing private firm that offers stock as long-term comp on top of carry and sizable bonuses. Stock provides a good yield and has provided great capital gains over the past years. Top management is ridiculously generous in all aspects so base is also very good;
  4. Wife earns a decent comp that all goes towards investments (ie. my comp covers well over what's needed for our family to make ends meet and then some);
  5. House was purchased a few years ago and market increase dramatically since and should continue for the next few years given very high demand in the area (homes have sold-out above asking price within a week for the past year and a half). Expecting to sell after riding the wave and cash out with an extra $250k excluding the original down payment;
  6. Working a side hustle that adds between ~$50k-100k per year, again all goes towards investments
2y
mswoonc, what's your opinion? Comment below:

You know what I don't get? How someone who is 40 can have four kids, a wife who doesn't work (teaches yoga for her Westport moms during her free time and trying to make a business out of it when we know it's more a cult following), live in a three million dollar house in Westport and commute an hour and a half to the city on train. Yes, I know plenty of traders who live like this, well exactly like this (Credit Trader at JPM), cough... how much money does someone have to be bringing in annually?

2y
prospie, what's your opinion? Comment below:
mswoonc:
You know what I don't get? How someone who is 40 can have four kids, a wife who doesn't work (teaches yoga for her Westport moms during her free time and trying to make a business out of it when we know it's more a cult following), live in a three million dollar house in Westport and commute an hour and a half to the city on train. Yes, I know plenty of traders who live like this, well exactly like this (Credit Trader at JPM), cough... how much money does someone have to be bringing in annually?
the $3mn house is the concerning part here if you have a lot of debt on it. that's triple the median in westport. at a typical price/sf of ~$400 that's a 7000+ sf house which seems a little ridiculous. i wouldn't feel comfortable at 500k/yr pre-tax. i would wanna be making significantly more.
2y
maineiac42, what's your opinion? Comment below:

They probably bought it before it was worth $3 million.

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2y
Camondo, what's your opinion? Comment below:

Pretty interesting to see the difference between Europe and the US when it comes to net worth. Overall, looks like it is much easier to build your net worth quickly in the US, but certain life events (e.g. Illness, higher education, divorce...) can and will make you burn a lot of cash quickly while education and health care tend to be "relatively" cheap here.

Hard to run a like-for-like comparison between Europe and the US for the reasons mentioned above, not to mention that on average real estate is way more expensive across Europe (aside from NYC, SF and a few other cities), marginal tax rate is rarely below 50% for top earners (> $125-175k) and kicks in pretty quickly making it very difficult to save a lot of money, high COL, and there are few(er) or no tax efficient investments.

In a previous message, I shared with WSO the net worth of a few investment bankers after a decade on the Street or in the City. Below is an average for someone who worked in IBD for a few years and then decided to move to a small PE fund, a Tech company or a MM advisory firm. This excludes options / sweet equity / (potential) carry / inherited money.

25: average net worth anywhere between $(45)k and $25k. Keep in my that most European people tend to join the job market around 23-25yo 30: average net worth of $150-350k 35: average net worth of $300-650k 40: average net worth of $400k-$1.3m (you can see the impact of kids, first divorce, mortgage repayment, etc)

This is for illustrative purposes only, but should give you a pretty good idea of the net worth of c.20 people around me now based in London / Milan / Paris / Madrid / Stockholm

Hope this is helpful. Camondo

  • 10
2y
azer, what's your opinion? Comment below:

As someone who lives in Europe, these numbers made me feel a lot better (after initially reading people's 8 figure targets). It does seem the numbers are smaller and come later around here. Thanks for the contribution

2y
millzi-matt, what's your opinion? Comment below:

I'm 20 and I have about 382.90 in my checkings account, I have $75 in a vanguard account, $195 in a TD Ameritrade account.... I'm starting a job at TD bank and hoping to dump my earnings in mutual funds i vanguard. i don't know what my net worth goal is, should I?

2y
sandals.com, what's your opinion? Comment below:

No. Have it in cash. You want liquidity at this point. Increase your earnings. Build up your cash pile. Then start investing

Money can purchase freedom, if you have the guts to buy it

  • 2
  • 2
2y
amonkey_1, what's your opinion? Comment below:

I come from nothing. I send my mother $1k a month and my father $1k a month. They are divorced.

Unfortunately, that means for my analyst years I was operating cash flow negative.

I am 25. My goal by 30 is to be debt-free and have $150k in assets.

By 35, my goal is to hit $500k. By 40 $1.5mn.

I am fortunate in one respect - my father has 3 brothers that have paid off their houses, all on Long Island (each worth $500k+). I will inherit each of their assets. This combined with my own savings will put me in a strong financial position by the time I turn 40. If I hit my target of $1.5mn saved in my own right + my inheritance from my uncles and appreciation in the valuation of their assets, I should be worth about $4mn at 40. From there, life happens. I hope to have kids and a family before I turn 40. At a minimal return of 3% per year in dividends, I should be able to generate $120k a year off of my assets, which I can reinvest.

2y
JSmithRE2010, what's your opinion? Comment below:

You come from nothing yet have $1.5 million in residential real estate earmarked for you to inherit? I wish I came from nothing

Array

  • 6
  • 2
Controversial
2y
financedude1226, what's your opinion? Comment below:

Currently 19- in semi target

22-analyst at BB (100k net worth have invested 20k already from internships)

25-make associate (200k saved) (maybe a Bschool in here somewhere)

30- make VP in buy side on west coast (800k saved)

35- MD (3 million saved)

40- start own REPE fund (6 million saved)

50- worlds first trillionaire, Knighted by queen, sultan in Middle East, married to Madison Beer. Donate all my inheritance to Alma matters. Be like Bobby axelrod but just better. Owner of 6 nfl teams

60- peacefully live out my life rotating between vail, my yacht in the exumas, NYC until I'm cremated on mars

Array
  • 11
  • 4
2y
WokeAssociate, what's your opinion? Comment below:

I am 23. I am a PE associate. I structure deals and monitor portfolio companies. My responsibility at the firm is growing quickly. Came from humble beginnings and never lost the hustle.

My net worth objective by age 25 is $1.0MM. My net worth objective by age 30 is $10.0MM.

You may ask how I made this possible, I would be glad to elaborate.

Follow on Twitter @WokeAssociate
  • 5
2y
FellowTraveler, what's your opinion? Comment below:

We're supposed to want to know how you "made possible" something that hasn't even happened yet? Tell you what - come back in two years if you actually have the $1m in net worth and let us know how you got there. And definitely check back in 7 years if you're up to $10m by then...

  • 2
2y
Jamie_Diamond, what's your opinion? Comment below:

28: $1,000,000

What concert costs 45 cents? 50 Cent feat. Nickelback.

2y
Ozymandia, what's your opinion? Comment below:

Amusing number of people with amusingly aggressive goals. For RE professionals, very few of us seem to have a clear-eyed view of career trajectory in this industry.

2y
Mustangkid20032003, what's your opinion? Comment below:

I am older than most of you on the board, but follow as a hobby and use what I learn as a part-time investor. This piqued my interest so thought i would share my story and how it has gone for me.

Came from nothing and joined the military at 17. Military paid for my college education and got out to get an MBA which was largely paid for by a good fellowship and veterans benefits. Second Master's Degree (non-business) paid for by company after working 10yrs. Thus I never had any college debt which was a huge advantage compared to many of you who have posted..

Technical background and save most of what I earn which is well above average but not stratospheric. Personally invest my savings with little outside help.

First $1M saved at 35 and that was by far the hardest.

Currently 50 with a net worth of $7M and no debt. Goal of $14M by 65.

The keys for me and for anyone willing to listen:

  1. "It's not what you earn, but what you keep" Save as much as you possibly can and invest it wisely.
  2. Marry the love of your life and, more importantly, don't get divorced. Divorce is very expensive as I see from many of my friends.
  3. Take advantage of every tax break possible. 529 for kids college, IRA's. backdoor Roth IRA's, etc.
  4. Don't think of cars as an investment--ever. Drive your car for at least 10 years and don't be ashamed. OK to buy a new car, but keep it rather than churning every few years.
  5. Buy an appropriate home that is less than you can afford. Seek out good locations with good school districts that make it easy to sell. McMansions come with big loans and high taxes. Take care of your house and make it look great, but don't be embarrassed with not keeping up with your friends.
  6. Take great vacations and don't feel guilty for spending on the experience.

Just my thoughts on this topic.

2y
KaptainKloss, what's your opinion? Comment below:

Ooohhh I'm liking this thread:

Currently 27: 50-60K in investments / employment retirement. Bought multi family investment property @ 26 worth 465K. Currently look at a flip that will hopefully net an additional 200K

Only 1K left in student loans.

And this is all without a stress inducing job on Wall Street. You guys are giving half of that away to the gov't and killing yourselves in the process, be wolves, not sheep.

But 50% of you just want to flex at Nobu for the gram, so to those, I pity you.

2y
BobTheBaker, what's your opinion? Comment below:

How did you buy a half million dollar multifamily property at 26?

Array

2y
Dr. SBWM, what's your opinion? Comment below:

Might be a little more modest compared to some monkeys on here, but currently making 60k all-in for context...

Net worth of zero by age 26, 100k by 30, 300k by 35, 500k by 40, 1 million by 45, and 1 million relatively liquid by 50.

I think it's somewhat conservative on the whole but pretty aggressive between 35-45. I read that once you hit 300k in the market it snowballs much more quickly and your contributions matter not as much.

  • 2
2y
dc10023, what's your opinion? Comment below:

45 3mm (preparing for retirement with Investments in real estate and living comfortably) 50 4mm (semi-retired with real estate passive income) 70 6mm (retired, no real estate passive income or fully operated by 3rd party property managers)

  • Director in IB - Gen
2y

Looks like a lot of you are planning on winning the lottery.

I'm in IB, not RE, but here is how it's actually played out for me. Got into banking late, average bonuses, above average but not extravagant spending for my income, rode the market like everyone else, but no major home run investments, wife and kids in the rear view mirror..

22: ($30,000) 25: 0 27: $150k 30: $400k 32: $700k 35: $1.6m

Hope to hit $3mm by 40 and get out

2y
BobTheBaker, what's your opinion? Comment below:
Director in IB - Gen:
Looks like a lot of you are planning on winning the lottery.

I'm in IB, not RE, but here is how it's actually played out for me. Got into banking late, average bonuses, above average but not extravagant spending for my income, rode the market like everyone else, but no major home run investments, wife and kids in the rear view mirror..

22: ($30,000) 25: 0 27: $150k 30: $400k 32: $700k 35: $1.6m

Hope to hit $3mm by 40 and get out

Do you live in NYC?

Array

  • 2
  • Director in IB - Gen
2y
BobTheBaker:
Director in IB - Gen:
Looks like a lot of you are planning on winning the lottery.

I'm in IB, not RE, but here is how it's actually played out for me. Got into banking late, average bonuses, above average but not extravagant spending for my income, rode the market like everyone else, but no major home run investments, wife and kids in the rear view mirror..

22: ($30,000) 25: 0 27: $150k 30: $400k 32: $700k 35: $1.6m

Hope to hit $3mm by 40 and get out

Do you live in NYC?

Nope, next cost tier down. I'm actually curious how these figures match up with others my age in IB.

2y
Norf Korean, what's your opinion? Comment below:

Currently 22, Finishing Undergrad Net Worth: $130K~

You might wonder, how did I accumulate so much while only in undergrad?

Simple. My parents paid for my college and rent. My dad built me some equity in his business (for tax reasons) where I receive ~$2K monthly cash flow .

I also did multiple internships at technology company which paid insane monthly sums for interns, but it's primarily from my parents.

Looking at the long-term I want to use an FHA long to possibly purchase a 4-plex, and then maybe BRRRR some houses and maybe get into multifamily value-add.

Hopefully, but age 30 I have leveraged $2M cash into $10M worth of real estate investments.

Array

  • 2
  • 1
  • Analyst 1 in IB - Cov
2y

Currently 21, turning 22 in a few months. NW:$60k. I went to my local flagship state school that 40k for all four years. Luckily my parents paid for it which is very nice. after my IB stint I want to work at multi manager so I don't necessarily have Nw goals given I save and invest over 50% of my take home pay.

2y
CRE Entrepreneur, what's your opinion? Comment below:

Planning to be just south of $1m by 30. Planning farther than that right now is kind of pointless since I could get some blockbuster real estate deals at 40% IRRs or sit on a savings account for three years at 2%. Gonna take a break ~30 to travel for a year or two, though, and then reevaluate my goals. Net worth isn't the primary motivator for me - my motivators are being able to develop/redevelop interesting real estate projects, travel, and not deal with office BS.

2y
basics, what's your opinion? Comment below:

Sit voluptas optio nesciunt magnam. Ipsum voluptate repellendus quia voluptatem neque ipsa. Nihil animi omnis accusamus praesentium excepturi. Omnis officia maxime nulla molestiae tempore repellat qui nostrum. Omnis et alias mollitia qui.

Sit pariatur nihil a facere quibusdam. Sed cupiditate quis nisi. Magnam aut ut aliquam. Fugit ipsa accusantium eum.

Expedita voluptatem iure impedit qui quos. Quia voluptatem voluptatem esse et dolores non. Pariatur exercitationem accusantium laudantium molestiae repellat et. Eligendi numquam sed impedit a maiores cupiditate quos. Est ab vel quibusdam cumque voluptates cum omnis.

Ipsa harum quas et reiciendis laboriosam ipsam. Et consequatur sed accusamus rerum suscipit est magni est. Et culpa et sint. Minus expedita facere magni eveniet. Alias harum reprehenderit neque ea vel est consequatur beatae. Dolorem ipsa laudantium voluptatem.

2y
Ozymandia, what's your opinion? Comment below:

Explicabo tempore sequi qui doloremque porro consequatur provident. Ab ut quasi aut inventore. Non similique rerum iure dolorum odit sed qui.

Ab et ipsa suscipit necessitatibus et minus. Est at qui dolor nihil dolorem est. Eum quis ullam ea debitis in voluptatem. Veritatis consequatur et similique nesciunt.

Ea sed excepturi incidunt soluta qui consequuntur officia ea. Eveniet est molestiae rerum praesentium autem. Qui est sint in cumque odio accusantium. Aperiam enim nam hic velit sint. Quia sit quod soluta accusamus modi dolorum quis nisi. Aperiam et aut id.

2y
basics, what's your opinion? Comment below:

Dolorem saepe dolor facilis consequuntur sit. Quas explicabo amet dolores odit voluptates. Sit quia voluptas iusto eum accusantium quia aliquid. Dolorem consequatur quos omnis maiores architecto qui. Fugiat earum exercitationem necessitatibus numquam.

At ullam qui in et inventore. Voluptatem sed beatae aut ex aut blanditiis. Corporis eligendi omnis dolorem eligendi cum ut magni.

  • Associate 2 in RE - Comm
5mo

Totam praesentium culpa praesentium autem illum. Fuga minima assumenda ut ipsum ducimus saepe. Et mollitia qui nemo autem eveniet.

Id nihil laborum fugiat quibusdam est dolore omnis. Laboriosam qui sit dolore est quasi velit eum. Enim non eos reiciendis fugiat ullam et aut eaque. Nemo accusamus fuga dicta eius quis non dicta.

Cum et ut quis voluptatem error. Voluptatem sint illum sint eos soluta. Modi doloribus et maxime et sunt. Vel voluptatibus eos totam voluptas. Molestias voluptatum dignissimos impedit. Quo sit id quia sint quis doloremque sit molestiae.

2y
Sham Wow, what's your opinion? Comment below:

Laboriosam sit nulla mollitia laboriosam amet consequatur. Autem magni consequatur rerum dolor. Molestiae ut quia culpa odit maxime. Ullam illum minus iure culpa. Mollitia sed et et magnam error.

Numquam eos odit hic nihil dolores quaerat. Ut quam excepturi et et. Quasi soluta numquam quas quae. Debitis ad quam et.

Fuga iste accusamus esse alias nulla. Quidem illum velit expedita est necessitatibus asperiores nemo.

Eum excepturi autem voluptatibus cum vel consequatur illum ut. Porro et expedita maiores fugit qui repudiandae soluta. Ipsa quia vitae eaque officia quibusdam labore. Et et maxime deleniti eveniet qui quia adipisci neque. Aut omnis dolor hic at et eveniet facilis.

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