> as a breed, software engineers do seem to be particularly prone to hubris.
Maybe. But I'm 29 and I have ~$450,000 in savings (mostly index funds), so I'm pretty sure that having a cool million by the time I retire is eminently within reach. An inflation-adjusted cool million, at that. Theoretical future homebuying, childrens' college educations, and recessions notwithstanding.
Hey Mate, may I ask since when you started saving and if you don't mind disclosing how you got upto 450K ? I am database developer, 28 and have only accumulated 60K.
If you don't mind asking what strategy you use ? Thnx.
Small-company stock options. They don't just reward you for working at a growing company, they reward you for working at company with a volatile stock price. If you're extra-lucky they'll reprice your options at the bottom of a dip, and then you'll make boatloads as the company recovers.
It's like one of those high-risk options strategies, except you don't actually take any risk yourself beyond the job, and the options last a lot longer than the ones you could buy online day-trading. Of course, you can't rely on them, either, so don't take any job you wouldn't be happy with anyway. :P
Also, you know all that money you make? ... Don't-spend it. Also important. :P
$450,000 will be worth $1 million in about 25 years based on inflation alone--this is before any real appreciation in those index funds or additional earnings on your part.
$1 million is just not that much money anymore, and it will be a lot less in 30-40 years when the current crop of young software engineers will be ready to retire. If most of them think they will be worth $1 million at that time, well, maybe that's just good math.
Maybe. But I'm 29 and I have ~$450,000 in savings (mostly index funds), so I'm pretty sure that having a cool million by the time I retire is eminently within reach. An inflation-adjusted cool million, at that. Theoretical future homebuying, childrens' college educations, and recessions notwithstanding.