[00:01] 250K, here is why you might be getting stuck. Now, this is the second hardest getting to 100K. The first issue here is lifestyle inflation. You upgrade your apartment and your car, and you go to nicer restaurants because you've earned
[00:15] it now that you've hit $100,000, but now your savings rate is dropping. In other and this is really common when you hit 100K. The second hurdle is that compound interest hasn't fully taken over. At 100K, even at an 8% return and
[00:29] contributing 10K per year, it'll still take you 7 years to get to $250,000. While that is faster than your first 100K, it still is time that requires you to be disciplined. And another issue is that no one celebrates 250K in society.
[00:42] Everyone thinks 100K is really cool because it's a clean milestone number. So, your brain starts to treat 250K like it doesn't really matter. To solve this, you hit 100K. That way, the same contributions that let you hit 100K
[00:56] continues without you ever thinking about it. So, even if you hit $100,000 in net worth or savings or retirement accounts, you still want to keep going. Let me know what your thoughts are in the comments.