I know, you think I must be joking that one can achieve millionaire status by saving just twenty dollars per day.  In all seriousness ANYONE can become a millionaire through the most common way to make make a million dollars, and it really isn’t that hard.  But just how long would it take to achieve such a lofty financial goal?

If twenty dollars was put aside into your savings with no interest added it would take over 135 years for you to save one million dollars.  Combine that with normal inflation and by the time you will have saved such a  large amount, it will not be worth very much.

Now lets say instead of just saving your twenty dollars per day you invested it…how long would this take?  Well with an average stock market return of about ten percent per year, this combined with the effects of compound interest, will have you daily twenty dollar savings turned into a million dollars in about twenty five years!  Now we’re talking! (more…)