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URL:  https://boards.fool.com/take-135-yearly-of-lets-say-70k-and-invest-22814391.aspx

Subject:  Re: First-time homebuyer and IRA Date:  7/29/2005  1:56 AM
Author:  blm Number:  80150 of 132473

Take 13.5% yearly of, let's say, $70K and invest it in stocks for 35 years. Should suffice.

By my calculations that comes to around $2 million, assuming a 9% investment return. That may sound like a lot, but consider what 35 years of inflation will do, and that by 2040 you may have another 50 or 60 years to live on that $2 million, and it suddenly doesn't sound like very much.

While it's obviously all up to you, I would (and have) get out a spreadsheet and run a bunch of scenarios, including things like a flat stock market (so instead of $2 million, you end up with only $330,750 after 35 years).

Brian
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