First Million Calculator
Discover how long it will take to reach your first million
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Enter 0 if you're starting from scratch
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Suggestion: 8-10% per year
Leave blank for $1 million
What is the First Million?
The "first million" is an important psychological and financial milestone. It doesn't necessarily mean having $1,000,000 in cash, but rather building an invested wealth of seven figures.
It's called "first" because it's generally the hardest. After it, growth accelerates exponentially thanks to compound interest on a larger base.
Why is the First Million Difficult?
The Challenge of a Small Base
When you have little invested, even high returns generate small absolute values:
- •10% of $1,000 = $100 (one month of returns)
- •10% of $100,000 = $10,000 (one year of contributions!)
- •10% of $500,000 = $50,000 (several years of contributions)
The Magic After the Million
Strategies to Accelerate
Gradually Increase Contributions
Don't keep $500/month for 20 years. Increase 5-10% annually with salary raises.
Reinvest ALL Returns
Never withdraw dividends, interest, or profits. Let everything compound.
Optimize Returns
Difference between 8% and 10% per year can mean 3-5 years less to the million.
Start TODAY
Each year you delay can add 2-3 years to the final timeline. Time is your greatest ally.
Reduce Unnecessary Expenses
Cut $200/month in frivolous spending = $2,400/year invested = thousands in compound interest.
Seek Extra Income
Freelance, consulting, side hustle - allocate 100% to investments.
Traps to Avoid
"I'll start next month" - Always postponing. Start with $100 if necessary, but start today.
"I'll withdraw just a little" - Withdrawals destroy compounding. Keep a separate emergency fund.
"I'll invest everything in crypto/trendy stock" - High risk can become high loss. Diversify and be consistent.
"When I earn more I'll invest" - Invest first, adjust cost of living later. Pay yourself first.
"20% annual return is realistic" - It's not. Use 8-12% for realistic projections. Unrealistic expectations lead to frustration.
Frequently Asked Questions
Is it really possible to reach $1 million?
Yes! With discipline, consistency, and time, absolutely yes. Thousands of people achieve this every year.
How long does it take on average?
Depends on contribution and return, but typically 15-25 years for those who start early with moderate contributions.
Do I need to earn a lot to achieve it?
No. Investing $500/month from age 25 at 10% per year, you reach age 47 with $1 million.
What return is realistic?
8-10% per year is conservative and realistic in the long term (real estate fund + stocks + fixed income).
Can I use it for smaller goals?
Yes! Use the "Custom goal" field for any amount ($100,000, $500,000, etc.).
What if I can't contribute every month?
It's better to contribute 11 months than 0. Be consistent, but don't blame yourself for a difficult month.
Is it worth starting after 40?
YES! Better late than never. With larger contributions, it's still totally possible.
Should I consider inflation?
The suggested rates (8-10%) already consider real return above inflation. The million will be "valuable" in the future.
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