So today I want to share with you something that I read that’s kind of depressing but important. I came across some really startling statistics from two articles I read. These were two separate articles that I read, and even though the statistics are depressing, I want to share them with you because just maybe it could change your life. It could make a difference for you, which is exactly what I hope. So here we go.
By the age of 50, 75% of people have only saved $5,000 or less. They have less than $5,000 saved for retirement. By age 50, having $5,000 or less saved for retirement is a very small amount. It doesn’t get much better by retirement age. By age 65, 45% of Americans have to depend primarily on a relative. 30% depend on a charity. 23% are still working, even though they might not be physically able to; they have to work because they cannot afford to quit.
And today, in the current situation we’re in, it’s impossible for a family of two to support themselves on a minimum wage. For the first time in history, our children, are living a lower standard of living than the generation before them. These statistics are really eye opening to me. But I wanted to give you one more statistic that is quite sad. And that is this: The Bureau of Statistics did a survey of 100 people. Of these 100 people the average that they started working was 25 and they worked until they were 65. So, for 40 straight years these people worked. Here’s how it turned out.
Out of these 100 people. 1%, or in other words exactly one person, turned out wealthy. Just one. Only four (4) had enough money to retire. 63 became dependent on social security. 29 of those hundred were deceased. But the saddest statistic of all, was that 95% of those who had passed away had to work because they could not afford to quit. And they worked until they died. Now see I don’t know about you, but that’s not what I think about when I think about my golden years. When we retire we want to do things like travel with our spouse and spend time with our grandchildren. But if you look at these statistics, most people aren’t able to do that. Only one of those hundred surveyed individuals were wealthy after working 40 straight years. And of those 65 year olds, only 2% were self-sufficient. That is really, really startling to me.
So, the message I want to get across to you is don’t wait. I have no idea how old you are but no matter what age it is don’t put off saving and investing anymore. If you are in your 20s or your 30s, man, just don’t waste another minute, start investing. You know, there’s this phenomenal thing called compounding. And if you start putting just a little bit of money aside every week, over time, it compounds, and by the time you are 65, you could have millions and millions of dollars. Most of us know this but we don’t invest, we don’t save. The problem is that when we’re young, we don’t think like that. We think, oh man, 50 is so far away and 65 is so far away. But life is short and I promise you it’s not. It will be here before you know it. So, you need to prepare.
I think about my own children in this case. You know one of them is married already? I want them to grow up and I want them to turn 65 and whenever they are ready, I want them to be able to retire. I want them to be able to retire, and enjoy the remainder of their life. I don’t want them to be in any of these statistics, except the one that was wealth or the 2% that was self-sufficient. And that’s what I want from you too.
So that’s why I share this with you. Think about it, prepare for it, A lot of young people think that I don’t have money, I can’t do it. Yes, you can. You can get you a side gig, find something that you can get just enough money to sock away in that retirement. And in the end, you’ll thank yourself. Because like I said, I want you to be two statistics out of these: wealthy, and self-sufficient.
BE BRAVE. BE BOLD . BE YOU.