Why Net Worth Explodes After $100K
103,242
Published 2024-04-26
If you would like to support my channel!: www.buymeacoffee.com/williamsauQ
Mint Mobile (save on your cell phone): mint-mobile.58dp.net/rn6rJQ
Chapters
00:00 Start Here
01:14 The Power of Scale
02:19 The Magic of Compound Interest
04:04 Making Money Starts To Go From Active to Passive
05:25 The Power of Margin
07:07 The Mastery Of Money Skills
08:35 The Ability to Increase Investment Amount
09:48 The Ability to Breathe More
The hardest part of your wealth building journey will be reaching your first $100,000 because it takes patience, discipline, and sacrifice; however, once you reach your first $100,000, you net worth really starts to speed up and wealth building becomes easier. In this video I explain why your net worth explodes after reaching $100,000.
1. The Power of Scale
The #1 principle of money is that "money makes money." The more money you have, the quicker it'll grow. For example, the stock market returns an average of 10% a year, so the more you have invested the bigger your returns will be. Once you reach $100,000, you have scale where your returns are a substantial amount.
2. The Magic of Compound Interest
Wealth does not grow linear, but it grows exponentially due to something called, "Compound Interest," which is “Interest from both principal sum and previous interest gained.” Once you reach $100,000, compound interest really starts to take off and speed up the process where reaching the next $100,000 takes less time.
3. Making Money Starts To Go From Active to Passive
Most people make their money in a very active way through their labor; however, once you reach $100,000 and have a decent amount invested, a substantial amount of money you make each year is now passive. This allows you to build wealth at a much quicker rate since your income isn't determined on your actively making it.
4. The Power of Margin
In addition to money making money. Money also gives you margin, which is a buffer between you and being broke. Margin gives you time, which ultimately gives you options. Once you reach $100,000, you have more options in life and can seek better opportunities in life where you're making more money.
5. The Mastery Of Money Skills
Getting to $100,000 takes a lot of time and is a journey. On that journey, you learn to master many money skills. Once you reach $100,000 you more than likely have a good understanding of many skills that allow you to build your net worth.
6. The Ability to Increase Investment Amount
More than likely, once you reach $100,000, you have a completed emergency fund. Once you have completed your emergency fund, it opens up more room to invest more money where you can build your wealth at a quicker pace.
7. The Ability to Breathe More
When it comes to feeling secure in life, $100,000 is that magic number that allows you to breathe a bit more. You still have problems, but do not view money as scarce anymore. This allows you to focus on continuing to build wealth with a clear mind.
**This video is intended for entertainment purposes only, none of it should be interpreted as financial advice. Links above are affiliate links where if you click and order, I will receive a commission at no cost to you. **
All Comments (21)
-
It's a common misconception that when a stock you buy skyrockets, the smart thing to do is sell it (or at least sell some of it) to lock in your profits. But the context matters. If the stock has increased sharply because the business is performing exceptionally well, it could still be a bargain. I'm still looking for companies to make additions to my $350K portfolio, to boost performance. Here for ideas...
-
I’m brand new to buying stocks. I need basic instructions on how to spread $100k across the market in order to achieve a 7 figure portfolio. Im wondering if now is a good time to start investing, or do I wait for a crash to buy at discount price?
-
At the very least, I now grasp the concept of leverage. Creating wealth and financial freedom isn't as tough as many people believe. Building wealth and remaining financially stable indefinitely is a lot easier with the appropriate information. Participating in financial programs and products is the only true approach to make a high income and remain affluent indefinitely.
-
Success depends on the actions or steps you take to achieve it. Building wealth involves developing good habits like regularly putting money away in intervals for solid investments. Financial management is a crucial topic that most tend to shy away from, and ends up haunting them in the near future.., I pray that anyone who reads this will be successful in life!!
-
I'm favoured, $27K every week! I can now give back to the locals in my community and also support God's work and the church. God bless America.
-
Net worth truly snowballs after $100k! Keep investing regularly and you'll be blown away how much it can change in a few short years. Here's to $1 million and to FIRE!
-
It seems certain stocks are undervalued, flying under the radar despite their potential. You can't help but wonder when the market will recognize their true worth. How can I invest $600K wisely to ensure our future security?
-
As an investing enthusiast, I often wonder how top level investors are able to become millionaires off investing. . I’ve been sitting on over $545K equity from a home sale and I’m not sure where to go from here, is it a good time to buy into stocks or do I wait for another opportunity?.
-
The problem we have is because Most people always taught that " you only need a good job to become rich. These billionaires are operating on a whole other playbook that many don't even know exists.
-
It’s going to take me about 7-8 more years but I’ll finally hit the $100,000 mark!
-
Recently bought some recommended stocks and now they are just penny stocks. There seems to be more negative portfolios in the last 3rd half of 2023 with markets tumbling, soaring inflation, and banks going out of business. My concern is how can the rapid interest-rate hike be of favor to a value investor, or is it better avoiding stocks for a while?
-
House paid for, car paid for, no consumer debt, $600,000 investment portfolio, it's hard to stay employed. My ability to put up with BS at work is at an all-time low.
-
I want to hit FI in 5 years- I’m investing 67% of my income. It takes discipline and time!
-
Took me about ten years to get to $100,000 saving ten percent into my 401k and less than four years to grow it to $300,000. Crazy to think that I accumulated $200,000 in four years
-
I was told to spread my money across different things like stocks and bonds to protect my $750k retirement savings. Now, with the markets being shaky, should I keep adding money to my portfolio or consider other options?
-
I'm not even close, but I invest regularly so I'm heading in the right direction.
-
“Rich people acquire assets. The poor and middle class acquire liabilities that they think are assets.” - Robert Kiyosaki
-
In trading, possessing technical analysis skills is not sufficient on its own; discipline and emotional maturity play crucial roles in achieving success. Embracing the mindset of "time in the market vs. timing the market" proves valuable, especially during market fluctuations. I attribute my growing daily earnings to Walter James's valuable insights and daily trade signals, coupled with my commitment to continuous learning, managed to grow a nest egg of around 127k to a decent 532k. Kudos to the journey ahead!
-
Soo true! Now that I’m passed 100,000, with diligence and passion, I have just passed 120,000 in about 18 months. My eye is on the quarter milk million and I could be there in less than five years at this rate. Don’t underestimate how much fun this is. My new obsession is making every bit of my money make me more money and that money make me more money. No cup of Starbucks coffee gives me this much pleasure.
-
This is true. I hit 100000 after about 8 years at work. I woukd take 5-10 grand chunks outs. But i decided to leave it alone for a while. 8 years to 100000. About 2 months later it grew by 10 grand.
