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  • FIRST POST
    • tinktay84
    • By tinktay84 10th May 11, 10:25 PM
    • 298Posts
    • 948Thanks
    tinktay84
    Millionaire Challenge
    • #1
    • 10th May 11, 10:25 PM
    Millionaire Challenge 10th May 11 at 10:25 PM
    I sat pondering on what ive achieved in my 27 years and realised that anything ive ever said I wanted to do or wanted to have I have managed to achieve.

    Last year after 10 years in catering I completely changed career and last week I achieved a distinction in painting and decorating. This got me thinking that since I always achieve goals I set myself what could I do next....

    Thus the Millionaire challenge!

    So phase 1 is opening a savings account and getting money building up...

    I work for myself so have a bit of control over my earnings, we have 1 property that we rent out and my husband has a decent (secure) job.

    My aim is to get to the million mark by the age of 40 (im 27 now)

    So how many of you think im mad and its impossible and how many of you think i'll do it and have ideas to help me
Page 186
    • Chesapeake
    • By Chesapeake 29th Sep 17, 1:23 PM
    • 55 Posts
    • 222 Thanks
    Chesapeake
    Chesapeake.....how long until the wedding.

    Probably your best bet is high interest current accounts.

    Then if itís over a year to go a regular savers account.

    I use a combination of those for short term savings and then the new stocks and shares isa for long term savings.

    You just have to shop around Iím afraid.
    Originally posted by lessonlearned
    It's only 11 months away so unfortunately I won't be making huge gains on the money stashed away but I'd like to make something!

    I've been doing a lot of research into index funds, they seem to suit my risk/return/work levels quite nicely as I can just stash cash each month and only have to rebalance once a year.
    • Kayalana99
    • By Kayalana99 8th Oct 17, 6:11 PM
    • 3,322 Posts
    • 5,954 Thanks
    Kayalana99
    Decisions decisions, I did make a post but deleted it for my own reasons before I went to view lol. I went to see a property with view to turn it into a B2L but it had more issues then I thought. It has some water damage to the walls upstairs, I'm thinking this would be solved with some roof work and then there is a small extension at the back that has a massive crack inbetween the wall it was built in...essentially it's coming away...and then the other side of the wall again has some water damage.

    The problem is I'm still sort of considering it because the house is so big, it's a 2 bed that could be turned into a 3 bed and once all kitted out I reckon would be worth around 25k more....the extension even if it needed to be pulled out and re done could still be worked into the cost as it's only a small one (as it contains the extra bathroom, so to turn into a 3 bed you need the bathroom downstairs)

    Also the interest only mortgage would cost less then £150 a month...so yes it has damage that needs to be sorted but the lowest it would rent for is £425, and even with the extension issue it wouldn't have to be sorted now + when it was all fixed up pontentially could be looking around £550+ a month ....plus it's just such a cheap property that any dip in house prices would still mean you were laughing to the bank.

    I'm really unsure what to do here, I'm leaning towards yes, but then there is also the 'cost' of not having that money in our hands because we could be looking for a nice property to own and live in ourselves...although we are happy here.
    Last edited by Kayalana99; 08-10-2017 at 7:44 PM.
    People don't know what they want until you show them.
    • bones85
    • By bones85 16th Oct 17, 2:42 AM
    • 39 Posts
    • 24 Thanks
    bones85
    sat wondering to myself the other i wonder how much and how long it would take me to save half a million pounds, Would take me 20 years if i saved £2000 a month, my wages is half of that

    Guess the dream is over hahaha
    • pjcox2005
    • By pjcox2005 16th Oct 17, 7:38 AM
    • 463 Posts
    • 473 Thanks
    pjcox2005
    sat wondering to myself the other i wonder how much and how long it would take me to save half a million pounds, Would take me 20 years if i saved £2000 a month, my wages is half of that

    Guess the dream is over hahaha
    Originally posted by bones85


    If it helps it's about 15 years with interest of 4% each year compounding, or 25 years if you were saving £1000 a month with 4% interest each year.
    • droopsnoot
    • By droopsnoot 16th Oct 17, 11:51 AM
    • 1,072 Posts
    • 675 Thanks
    droopsnoot
    Guess the dream is over hahaha
    Originally posted by bones85
    Only if the only way you're thinking of attaining the magic figure is by saving from your income. Have a browse back through the thread and you'll see some of the ways that other people are attempting it - some need much more time than others, some need a head for business that not everyone has.


    But you're right, if the only way you can imagine you'd ever reach a milestone amount is by savings from income, it's probably not going to happen. Apart from anything else, you'll get so used to saving and not spending over the 15-20 years, once you have reached the figure, you'll be too scared to spend any of it.
    • lessonlearned
    • By lessonlearned 16th Oct 17, 6:24 PM
    • 10,063 Posts
    • 56,556 Thanks
    lessonlearned
    sat wondering to myself the other i wonder how much and how long it would take me to save half a million pounds, Would take me 20 years if i saved £2000 a month, my wages is half of that

    Guess the dream is over hahaha
    Originally posted by bones85
    What.....are you going to give up before you have even started.

    Sorry to be blunt but with such a negative attitude and such a narrow way of thinking then you are right, you will never make your target.

    If you want to give it a go then first of all you need to learn a bit of basic maths.,....ie how compound interest works and also the Rule of 72 and how to apply it.

    And no Iím not going to tell you. If you do the research yourself then it will help you understand it better.

    And droopsnout is right.......you need to look at more than one income stream. You also need to understand the difference between appreciating assets which make you more money and liabilities which cost you money.

    You will need to learn how to make your assets work for you, and you need to learn how to maximise the money you have so you can make it grow. You need to set up a ďMoney farmĒ.

    It also helps to live ultra frugally for a while to give your savings a boost so that you can then reinvest. Thatís where the real money making takes place, investing for growth not merely relying on monthly savings.

    You also need to maximise cash flow and avoid unnecessary debt on items which only depreciate in value.....ie most cars, toys and gizmos.

    There are many ways to accumulate wealth and often itís a combination of earnings, frugal living and shrewd investing.
    • lessonlearned
    • By lessonlearned 16th Oct 17, 6:32 PM
    • 10,063 Posts
    • 56,556 Thanks
    lessonlearned
    Kaya.....any further forward with your decision yet about the potential BTL.

    Well Iím just back from my cruise. I had a wonderful time and have come back fully refreshed. I have just realised itís only 12 weeks till my Amazon trip and what with Christmas and all I doubt that I will be able to achieve much between now and then.

    So my plan is to just carry on with some minor decorating, furniture restoration, etc. and get down to the gym and lose at least another stone.

    I need to get all my vaccinations sorted out and they will probably make me feel a bit groggy and hold me back a bit so I think I will get them done ASAP.

    Other than that no radical plans for now.

    A case of Steady as she goes.
    • 0511034
    • By 0511034 16th Oct 17, 10:13 PM
    • 36 Posts
    • 40 Thanks
    0511034


    Hi All,

    I'm a long time lurker of this thread from the very start (when it actually started off), I have read every post from start to finish and I truly have been inspired by your money making ventures/idea and touched by many of your stories and personal journeyís. So whilst I consider I know you all fairly well, you will have no idea about me.



    So by way of introduction, my name is Raj, I am 30 years old and I am a solicitor and have been for the last 6 years. My circumstances have recently changed in that until 6 months ago I worked for a fairly large law firm when the area of law I practiced in died off quite suddenly, as I only practiced in one area of law for 6 years I struggled to find another job in another law firm (at the pay grade I was on) due to not having diversity of practical experience in other legal areas. So 6 months ago I had a mini career change and became a law lecturer at a university local to me. I still hold my legal practicing certificate so I am still a solicitor and can practice law, and go back into practicing law on a full time basis if needing to. I am married to the most amazing woman and I am so lucky and this is worth more than any money or status in the world. My wife also has a very well paid job so jointly between us we have a very good income.


    At present we are in an extremely fortunate position to have approximately £10k in savings but we have a very large mortgage (250k mortgage and house worth £340k), although we love our house, in hindsight it will possibly be a massive drain on our money and prevent us improving our savings due to the interest payments. The only saving grace is that we live in a very good area where house prices keep increasing so unless we have a market crash, the gain in value will hopefully even out and offset the loss we are incurring with interest payments.

    Anyway, I am also on that elusive quest for millionaire status whilst we are in a comfortable and fortunate position and fully recognise that, I always want to continue to grow and improve in every aspect of my life which is why I am here.



    My ideal position is to build a business that will allow us to earn enough money for us to be able to give up work and earn a passive income that can keep things ticking over. My biggest area of weakness (which I know I need to improve upon) is developing ideas to not only grow our savings but also to develop ideas to grow a sustainable business that ideally I could run with my wife. However, I am very academic/bookish and theoretical in my mindset, I am not a very creative or practical person and find it hard to visualise and or come up with ideas to grow a business and our savings (currently sat in a savings account).


    I have a few ideas in mind but they all, I would love to get into buying properties as projects and selling them on and another area that interests me is owning a livery yard (my wife owns two horses so we know a bit about this area). Our issue is initial capital and gaining the necessary contacts that could make these ideas ventures work. The fact a passive income appeals to me would indicate potentially starting something online but again I lack any sort of creativity and it looks like most areas of online businesses are over saturated.


    So presently I am at a bit of a dead end in respect of how I proceed both with the savings we have and how to start a business (or even what the business idea should be). Lecturing isnít something Iíve found easy and not something I find I enjoy that much compared to practicing law, it is incredibly stressful and I find myself constantly firefighting which is unlike me. I think it is this that has triggered me to start to try and take action rather than just think about it.


    I hope you are all well and thank you for taking the time to read this essay post, now the first one is out the way I certainly will be contributing more regularly.


    • Kayalana99
    • By Kayalana99 17th Oct 17, 11:48 AM
    • 3,322 Posts
    • 5,954 Thanks
    Kayalana99
    Hi Raj,

    Very interesting story, nice to hear from you! If I was you I'd re-mortgage the house in the view of raising funds for B2L's...but that's just me ..

    Sorry I couldn't be of more help ATM but I was just popping on to say that the B2L probabaly isn't going ahead, having some personal issues right now. My Dad has suggested something about me investing in his property business but I'm just going to see what he comes up with and he's speaking to his accountant, everything is a bit up in the air ATM though.

    Hope you had a good time LL and everyone is doing well, I'll update you all eventually.
    People don't know what they want until you show them.
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