I was browsing CanadianMoneyForum.com recently and came across the following thread.
“I saw some commercials saying if you contribute to your TFSA (Roth IRA) every year, in 30 years you will have over one million dollars assuming a ROR in the 4-5% range. One million dollars should churn out $40-50k in tax free income.
Now thinking about this further, does anyone know of someone who got rich this way? I mean start investing a few hundred a week at age 25 and come out with millions at age 60? I personally do not. People who made a fortune got it other ways, by owning a business, getting stock options, or by making a lucky stock or real estate purchase.” ~tygrus
There are many ways to retire wealthy. Owning a business or hitting a home run on a single stock can increase the probability of becoming a millionaire. But to address the question, yes, I do know of someone who became rich simply by investing small amounts of money over many humbling decades. Well, I don’t know him personally. But I know his story. 🙂
Ronald Read, from Brattleboro in Vermont, had $8 million to his name when he died last year at the age of 92. Most of his fortune was donated to a local hospital. After graduating from high school he worked at a gas station for many years. He also served in the military during WWII. Most recently he worked as a janitor for the department store chain JC Penny for 17 years. The secret to his financial success can be attributed to his thrift and his financial acumen.