A million in a 401k isn’t wealthy.
You are correct. It is not rich. It is the savings you need to live off of that when you retire. It is in lieu of a pension!
Hey! If you put that in amount 30 year Treasuries (after paying income taxes on the principal leaving maybe $700K) @ 1.62% you could get 11 or 12 thousand dollars a year for doing nothing!
You'd be livin large!
if your age 62 with $1,000,000 in the bank what will it take to make it to age 95? If your that lucky to live that long.
Personally I think that with the inflation we are likely to see the next 10 years you need perhaps $3,000,000 plus to survive. The dollar will be devalued over the next 10 years.
Get your $75.00 big Mac at MCD.
“A million in a 401k isn’t wealthy.”
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That’s the truth. I know from experience it *sounds* like a lot.
Folks are living off those 401Ks. They set monies aside their entire working lives, to prevent themselves from having to rely on any welfare system in their older years. These people knew from the beginning that the Social Security System was set up as a part of retirement, not the entire retirement amount.
I believe that as the Welfare System grew, it caused the older folks or middle-aged working class to assume the Social Security System would also give them the funds to live as they lived during their working years.
Hope that makes sense.....