Abdoujaparov wrote:
Because math. Anyone who can use excel can see that if you want to be comfortable in old age you have to start early.
Some assumptions just for the sake of making a model:
savings make 6% p.a.
cost of living goes up 2% p.a.
you need $50k p.a. to live
ignore tax
If you start at 25 and make $100k a year you can stop working at 45, die at 85 and still leave over $550k to your kids.
If you start at 25 making $50k a year to cover expenses while focusing on your running you'll owe someone $83k by the time you're 40. Assuming you then focus on your career and get the $100k job you'll be able to pay back who ever's been bankrolling you within 3 years but if you sill planning on dying at 85 and don't want to do it bankrupt you get to retire at 83.5. 18 months should be plenty of time to reminisce about all those PRs right?
$50k to live? I live in an expensive city and I don't need nearly that much, and my lifestyle isn't super cheap.