Follow This Simple Chart to Become a Millionaire


If your goal is to become a millionaire, there’s a helpful chart that reveals what it will take to get there!

Financial blogger Lyn Alden published the following chart on her website that shows how much you need to save every month, plus the annual rate of return, in order to reach millionaire status in 25 years.

How Much Money to Save Every Month to Become a Millionaire

According to the chart, a conservative investor would need to save $3,000 a month to end up with $1 million in 25 years, given a 4% annual rate of return.

However, assuming a 9% rate of return, one would only have to invest $1,500 a month to accumulate $1 million in that time.

To give you some context, the average annual rate of return on a 401(k) is typically somewhere between 5% and 8% — although the exact numbers depend on a variety of factors.

It’s important to note that this chart also takes inflation into account.

“I made the matrix inflation-adjusted, using an assumption of 2.5% annual currency inflation over the period,” Alden wrote on her blog. “So when you see a million dollars on the table, it means a million dollars in terms of today’s purchasing power rather than like, the less-valuable inflated Monopoly-money of the future.”

Lyn Alden's wealth-building chart

Click here for a larger version of this chart.

Alden said that in order to build wealth quickly, you must increase the difference between your income and expenses, save the difference and grow it exponentially over time (by investing the money).


To help you with that, read Team Clark’s guides to make more money and save more money every month.

It’s Never Too Early to Start Investing

Speaking about retirement savings, money expert Clark Howard always says the key is to save early and often!

Years ago, we shared a chart on that showed how a 15-year-old could invest just $2,000 a year for seven years. And then, never saving another penny again, the money would grow to be $1 million at 65.

If you’re getting a late start, don’t panic — but do plan on delaying Social Security for as long as you can.

One thing that can make saving for retirement easier is contributing to a 401(k) plan offered by your employer, so always contribute up to the company match if that’s an option.

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