If you’re not worth $100 million by the time you die, you really really screwed up. Yeah, that’s right, $100 million. And you’re probably thinking, “that’s a lot of money.” Well, it’s really not, and I’m going to show you why.
We are still in Cabo San Lucas, just hanging out. We’ve been here for a month and we’re just working from a new location. But in this video, I’m going to share with you on how to become worth $100 million by just putting in two years of work.
Okay, we’re going to cover compound interest, automation, delegation, investment accounts, and how to actually chunk down your goals. So, so many people have these lofty goals. I want a Lambo. I want to be worth $100 million. Well, how do you get there? I’m about to show you all right.
So I’m going to hop into a screen share. I’m gonna go downstairs and show you how to do this. The first thing you need to do is have the target. So in this example, we are getting $100 million. The second thing you need to do is reverse engineer it by actually chunking down the goal. Like I said, so many people have these lofty goals of wanting all this money, these cars, houses, and things, but they don’t actually reverse engineer it and chunk it down to make it actionable and actually realistic.
And I like to use automation, delegation, and compound interest to help me get to these high goals because one, they help you get there a lot quicker, and number two, they make it a lot easier on you because then you can focus on other things. And in this example, we are going to be using the stock market to help us get to that goal. And the reason why is because anyone can do this.
Okay, I don’t care if you’re in India, China, Japan, Taiwan, the United States, anyone can do this, and it has worked for hundreds of years. Okay, we’re using realistic numbers, so I’m telling you, this is possible for you.
This is the view we’re looking at. This is my setup, got the mic, so I’m about to hop into a screen share real quick. So now we’re going to reverse engineer the goal by leveraging compound interest. Anyone can go to investor.gov, this is just a compound interest calculator, to really open up your eyes on how powerful this is.
Okay, so let’s say we make $1 million over a two-year period, which is not difficult to do. I’m going to show you how to chunk that down. And guess what? The average rate of return of the stock market is 9.8 percent. Okay, I’m gonna show you what the stock market looks like, the S&P 500, that’s what we’re talking about, the average return over the last 90 years is 9.8 percent. But the great part about that is, look over the last 90 years, right around here, look how slow the growth was from all this time, and guess where the internet came out, right here.
So the volatility and growth has been much much higher since the internet came out, so you can expect that the growth is going to be a lot faster and quicker than it was the first 60 years of when I just gave you that data of the 9.8 percent a year. But for this example, we are going to be realistic, we’re going to go on history, so we’re going to go with 9.8 percent over the last 90 years, but we are going to use that to help us get to $100 million. So, we’re gonna put $100 million into an investment account today or in two years, whenever you can actually make that money. I’m going to show you how to do that. And the length of time is let’s say I want to work for two years, get $1 million then I’ll just tuck it into an account. I won’t touch it for 50 years.
Okay, so by the time I’m 76, I can go buy a Greek island or I can go give a hundred million dollars to my children. And you may be thinking, “oh, taxes, this, that.” Yeah, there’s different accounts where you can grow wealth tax-free.
Okay, and there are certain accounts where you can just take loans against this money at very low interest rates. So, there’s a way around it. I’m not going to be calculating tax in the income portion of this. So, you put a million dollars, and guess what? In 50 years, your account is worth $107 million just by putting $1 million into the account today and leaving it there. You’re not touching it, you’re not doing anything, you’re not spending any more time. You’re literally putting the money in there and letting it sit and compound. That’s what compound interest looks like.
Is this a red line? Okay, that it’s about time in the market, not timing the market. And if you just leave a million dollars in the accounts, by the time 50 years passes, you’re worth 107 million liquid net worth. Okay, that is crazy just from one million dollars. All right, so now you’re probably thinking, “Well, how do I make this million dollars? Jeff, how? How do I even? I don’t even know how to do that.”
Okay, I am going to break it down. It’s called chunking, and now we’re going to reverse engineer…
To continue please watch the video on YouTube!
Sign up to receive news & updates!