Start with Minimum Wage

Everybody in the nation’s capital gets paid at least $12.50 hourly for their time?

That’s at least a quarter million dollars in savings after 10 years (by age 28?) working at least a full time job PLUS compounded interest from investing 100% of wages successfully in tax deferred accounts.

These are ‘back of napkin’ calculations. Certainly, easy enough for a 5th grader to understand.

The only prerequisite that’s required to make this happen: parents or spouse (or employer, such as military) must be willing to cover all food, transportation, and housing costs.

Meanwhile, the average 30 year old has only $45k? So on this plan, you’re practically guaranteed to have at least FIVE TIMES more wealth than the average.

Just keep in mind, $25k/yr invested at 25% ROI / yr =  >$1M in 10 years

Even the largest employer in the U.S. starts its full time workers at a base pay of $19k /yr in pay plus cash bonuses, and commonly other cash allowances to cover food and housing at your work location, and a myriad of other lifetime benefits.   Investing $18k at 36% ROI yearly also = >$1M in 10 years.

If getting rich on a minimum wage job irritates you, can always enroll in a cheap online curriculum (e.g., pH14 Plan) to study top skills on nights and weekends to double your hourly wages and create high value products (e.g., get good with computers and software). Or just fire your boss, hire lots of helpers to pursue your passion, and don’t look back.

This might be the best advice to any 16 year old approaching high school graduation who doesn’t have multimillionaire parents.

Be a harsh critic and ask yourself: what are the odds – high or low – that any plan (this one vs any others) will land you securely in the ‘2 comma club’ by age 28? Carefully examine the risks of alternate options.

Half of workers get paid less than $33k yearly.

This is basically the minimum wage.

Be prepared to join the workforce and economy, armed with a financial plan to thrive amidst a high probability — 50/50 chance — of being low income for possibly many years.

Author: pH14 Plan Staff

pH14 Plan is an economic development model for all U.S. households' participation. You can support this research by subscribing for more access, or contact us to make a gift.

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