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You want money?  Work and save something — Glenn Mollette

You want money? Work and save something — Glenn Mollette

You want money?  Work and save something — Glenn Mollette

The stock market’s average return has been about 10% every year for nearly the last century, as measured by the S&P 500 index.

Some years the market returns more than that, and other years it returns less. Talk to a stockbroker or someone who works with Individual Retirement Accounts or do some research on the internet before you invest. You want to invest safely and wisely. You don’t want to lose your money and you have no reason to.

Find some equity funds that have paid at least 10% over the last 15 years and you should be fine to go ahead with the investment.

It’s not easy to save money if you don’t make a lot of money. People on minimum wage incomes can barely buy groceries and pay rent. What if you could put $100 a month into an S&P Index fund? Let’s say you’re 25 years old and struggling to get by, but you set a goal to invest $100 a month in stocks. This may mean some sacrifice, but anything good always requires some sacrifice.

If you’re 25 and commit to putting at least $100 a month into stocks, then at an assumed rate of return of 10%, you’ll have $585,422.17 at age 65. There are a lot of 65-year-olds who don’t have that much money. You can have so much if you start now when you’re young.

If you can start younger than 25, then you will have even more. By your 30s or 40s, you can start putting an extra $100 or $200 into your fund and it will grow even more.

Let’s say your hard work pays off and you end up saving an average of $300 a month for 40 years. Your savings amount at the historical average rate of return will be $1,593,333.20. We’re not talking about saving massive amounts of money, but simply sticking with a monthly and yearly commitment to invest.

You may be in your 50s and finally able to save a little. Fifty is a late age to start. However, if most of your bills are paid and you commit to saving $500 a month in your stock fund by age 67, you could still end up with $243,268.22. There are many people who don’t have that much money. You can, if you commit to making a smart monthly investment.

We can’t take money with us when we die. We’re leaving everything behind, but it helps pay the bills and buy ice cream while we’re in this world. If you save a bunch of money and don’t live to enjoy it, then your spouse, children, church, or favorite charity will enjoy it in your honor.

The Bible says, “Wealth obtained by fraud will decrease, but whoever earns it by labor will multiply it.” Proverbs 13:11

Do you want some money? Work hard and save a little each month.

Eventually you will have enough.

Glenn Mollette can be reached at glennmollette.com.