Getting Rich Quick – Million Plus Retirement Strategy

This is the napkin draft of our Three Segment Rich Investment Strategy as of 12.18.2020, Post Government by Tweet

Get Rich Too Quick

There are a lot of people looking for a quick rich fix, but they fail. Sustainable wealth is a long-flowing process. However, this strategy is only quicker because others burn too brightly or merely burn out trying to exit the stratosphere.

Think of it like Mario Kart. Some people are trying desperately to find that one special corner on the Rainbow Bridge, only to mess up. Success is an art and science based on consistency.

Below is the framework that you need to have in your mind. Win or Lose that’s wealth in its simplest form.

We are trying to get out of here in 15 years or less. Let’s see if we make it.

Disclaimer:

Don’t try to copy and paste our investment ideas. 1. I changed them in the huddle. I call audibles as the game changes in real-time. 2. my risk profile and risk capacity is 90% different from yours. 3. I go off of qualitative, quantitative, and ultimately instincts if nothing makes sense. Investing is a kin to gambling in my opinion.

401k Plans

$3,250/month at 90 Equities/10 Bonds ratio. Maximum contribution of $19,500 per person, per year. Total of $39,000 for 2021 with Matching Contributions of 11% for approximately $10,000.

Net total contributions of $49,000

Triggers of a good investment plan:

1. Check on the Fees with Personal Capital.
2. Average growth of +12% per year
3. AGI Reduction of $39,000
4. Tax reduction of approximately $7,800

Additionally, I call these Trigger points because every good decision seems to generate other automatic unforeseen benefits. You don’t have to know all the math.

Investing in yourself is a win win strategy.

Estimated Segment Growth (with starting $200,000):

	After 5 Years	After 10 Years	After 15 Years
Addtl. Contributions	$250,000.00	$500,000.00	$ 750,000.00
Interest Growth	$ 237,223.63	$ 845,878.15	$ 2,109,120.79
Ending Total Amount	$ 687,223.63	$ 1,545,878.15	$ 3,059,120.79

M1+ Strategy

We are merely playing the odds with this one. $1,250/month with dividend reinvested throughout. Net total annual contributions of $20,000. However, we did well in 2020 so?

1^st QTR

A little Health, Tech, and Travel *Focused Sectors

January 2021

$375    PFizer (Health)

$125    ABBT labs (Health)

$500    Peloton $PTON (Health)

$250    JETS (Travel)

February 2021

$500    JETS (Travel)

$500    CVS $CVS (Health)

$250    Misc. (Health and/or Index)

March 2021 – $1,250 All Portfolio

2^nd QTR

Travel and Long-term Health

May, April and June 2021 – $1,250 All Portfolio

3^rd QTR

Travel and Retail Trading

September 2021

$425   Global (Pie)

$825   Home/REIT+(Pie)

July and August 2021 – $1,250 All Portfolio

4^th QTR

Portfolio Rebalance

October 2021

$625   Global (Pie)

$325   QQQ (Index)

$300   VTI (Index)

November and December – $1,250 All Portfolio

Triggers of a good brokerage investment plan:

1. Check for Low Fees
2. Mkt. growth goal of +20% per year
3. Low profit conversions ie Capital Gains and Ordinary Taxes
4. Sector and Growth Stocks
5. Dividend Yield of 2% or More

Estimated Segment Growth (with starting $20,000):

	After 5 Years	After 10 Years	After 15 Years
Addtl. Contributions	$100,000.00	$200,000.00	$ 300,000.00
Interest Growth	$  91,792.47	$ 489,033.51	$1,556,561.93
Ending Total Amount	$ 211,792.47	$ 689,033.51	$1,876,561.93

ROTH IRA Strategy

$1,000/month with dividend reinvested throughout. Minimum 50 Shares in each holding. Net total annual contributions of $12,000 Annual for both IRAs

1^st QTR

Off-sell and Rebalance for Dividends

$1,500  O Realty Income (REIT)

$1,000  TELSA $TSLA

$500    FREL (REIT)

2^nd QTR

Energy and Systems

$1,500  Exxon Mobil $XOM (Energy)

$1,500  Cisco Systems $CSCO (Tech) or other growth opportunity

3^rd QTR

Consumer Staples and Indexes

+$750  Johnson and Johnson $JNJ (Consumer Staples)

$1,000  PEPSI $PEP (Consumer Discretionary)

$1,250  QCLN (tech)

4^th QTR

Final Portfolio Rebalance

$750 3M $MMM (Consumer Staples)

$1,000  FCOM (Communication)

$1,250  Misc.

2nd ROTH IRA (Spouse)

$1,000/month with dividend reinvested throughout. Minimum 50 Shares in each holding. Goal: Increase holdings.

1st QTR

Off-sell and Rebalance for Dividends and increase holding amounts

2^nd QTR

Energy and Finance

3^rd QTR

Consumer Staples and Indexes

4th QTR

Portfolio Rebalance

Triggers of a good ROTH IRA plan:

1. Low Fees
2. Aggressive Mkt. growth of +20% per year
3. No Taxes on Investments – Future:
   1. Backdoor ROTH Conversion
4. Dividend Yield of 1% or More
5. Growth to Index Model

Estimated Segment Growth (with starting $70,000 at 20% average):

	After 5 Years	After 10 Years	After 15 Years
Addtl. Contributions	$60,000.00	$120,000.00	$ 180,000.00
Interest Growth	$ 141,398.04	$ 582,540.82	$ 1,769,544.41
Ending Total Amount	$ 271,398.04	$ 772,540.82	$ 2,019,544.41

Annual Contributions vs the Rich End Game

$8,333.33/month or the aspirational goal of $100,000 invested per year on average of +12% to +21%

Total Estimated Growth Across all Segments (with starting $340,000 at 20% average):  

	After 5 Years	After 10 Years	After 15 Years
Addtl. Contributions	$410,000.00	$820,000.00	$ 1,230,000.00
Interest Growth	$ 470,414.14	$ 1,917,452.48	$ 4,845,227.13
Ending Total Amount	$ 1,170,374.14	$ 3,007,452.48	$ 6,955,227.13
Min Goal	$ 1,000,000.00	$ 2,500,000.00	$ 4,000,000.00

Bonus Segments

Health Savings Account, (Govt) Pension, and Passive Income

Net total annual contributions of $7,100 for both HSAs with a 5% tax-free growth rate, close out estimated at $300,000 (min) in 15 years. Pension is valued at +$36,000 per year or +$3,025 per month. 

It’s all an estimate. Even if we only hit $3 Million. It’s still $3 Million. We can make it work. It’s about the attitude of getting rich with the opportunities you have today.

Who knows what will happen tomorrow.

For my wife and I, it’s a challenging proposition but we still count our wins in the future businesses we help to create, the jobs they provide, and the families that start to build wealth.

If you like these types of ideas, check out the videos below

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