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by reactordev 957 days ago
If you want 7 figures you need to learn how to grow it from 5. Either start your own business (which would come from this side hustle) or invest every penny you earn across a diverse portfolio and do that for a couple years. You may get lucky and end up with 7 figures. If you just saved your money, over time, you will absolutely have 7 figures.
1 comments
pyrrhotech 957 days ago
yes but making 7 figures annually is quite a bit different than simply having a 7 figure total net worth. The latter is achievable by most frugal middle class Americans over the course of a career, often much shorter. The former is usually not possible through a day job over a normal career length
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reactordev 957 days ago
With enough income sources it is. All while being a SWE. Passive income is the way to 7 figures annually.

You are right that 7 figures annually is different than just 7 figure net worth. However, if you have a 7 figure net worth, you could probably get to 7 figures annually relatively easily.

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shoo 957 days ago
> However, if you have a 7 figure net worth, you could probably get to 7 figures annually relatively easily.

something to reasonably expect, might be be a 4% real return (i.e. net of inflation). that's achievable with discipline and no skill through low fee passive index investment. luck of avoiding catastrophes would also help.

at 4% real return, assuming you paid zero tax, your wealth doubles roughly once every 19 years. To throw off a 7 figure income at 4% real return you need $25m invested. That's 4.6 doublings of your initial $1m, so after 80-something years you're across the line. better start early.

Another way to accelerate the journey is to cheat and convert your money into a currency that is extremely devalued, then your income can have many additional figures even if your wealth is unchanged.

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pyrrhotech 957 days ago
yea if you want to go it the investing route, you need much better returns than 4% real. Personally I've been beating the market with algorithmic trading (https://grizzlybulls.com/models/vix-ta-macro-mp-extreme) but it's still a long game unless you start with millions
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reactordev 957 days ago
“How to make $1M, start with $10M” is something I would hear vineyards say.
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