First off, In order to qualify for the matching, you need to be a Robinhood Gold member, but you won't be paying for that membership...
Gold comes with a few other perks that I won't get into here, but they are well worth the "cost" of $50/year. So that's $4.17/month. (that you won't be paying)
With all this in mind, I simply determined what $4.17 is three percent of...
By doing this, I determined that the optimal monthly contribution for a Robinhood Gold IRA is $139/month (or more).
At this amount (or more), the membership cost is not only covered, it becomes equity. (i.e. you are only paying yourself that $4.17/month.) That equals out to about a $10-$25k bump in your account balance when you finally come to collect!
Plus, you now have an incentive for a dedicated minimum retirement savings plan!
**P.S. Robinhood is also about to release a 3% cashback on everything credit card only for their Gold members that I'm extremelyyy excited about:
https://robinhood.com/creditcard?referral_code=e7d61310
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So how much will that $139/month make me?
You ca generally assume that your retirement accounts may only earn an average of 7-10% per year. So, with that figure in mind, let's use a tool to do the math for this conservative estimate...
https://www.calculator.net/roth-ira-calculator.ht
* From ages 20-60, at a 7% rate of return, your Roth IRA balance would reach about $332,991
* At a 10% rate, $740,000
* And if you were to double your $139 contribution each month, $1.5 million!
You see, THIS is what those assholes are talking about when they say that your Starbucks habit is what's keeping you poor. Although I still think it's an arrogant and oversimplified answer to give to people who are struggling, as you can see, there is still a decent shred of logic behind their statements... submitted by /u/Tickly1
[link] [comments]
Gold comes with a few other perks that I won't get into here, but they are well worth the "cost" of $50/year. So that's $4.17/month. (that you won't be paying)
With all this in mind, I simply determined what $4.17 is three percent of...
By doing this, I determined that the optimal monthly contribution for a Robinhood Gold IRA is $139/month (or more).
At this amount (or more), the membership cost is not only covered, it becomes equity. (i.e. you are only paying yourself that $4.17/month.) That equals out to about a $10-$25k bump in your account balance when you finally come to collect!
Plus, you now have an incentive for a dedicated minimum retirement savings plan!
**P.S. Robinhood is also about to release a 3% cashback on everything credit card only for their Gold members that I'm extremelyyy excited about:
https://robinhood.com/creditcard?referral_code=e7d61310
____________________________________________________________________
So how much will that $139/month make me?
You ca generally assume that your retirement accounts may only earn an average of 7-10% per year. So, with that figure in mind, let's use a tool to do the math for this conservative estimate...
https://www.calculator.net/roth-ira-calculator.ht
* From ages 20-60, at a 7% rate of return, your Roth IRA balance would reach about $332,991
* At a 10% rate, $740,000
* And if you were to double your $139 contribution each month, $1.5 million!
You see, THIS is what those assholes are talking about when they say that your Starbucks habit is what's keeping you poor. Although I still think it's an arrogant and oversimplified answer to give to people who are struggling, as you can see, there is still a decent shred of logic behind their statements... submitted by /u/Tickly1
[link] [comments]