Sfdebris.net

Fuzzy Necromancer wrote: ↑Wed Aug 08, 2018 1:11 am Elon Musk complained about being called a "Billionaire," because he thinks it's a hurtful, unfair term.

Let’s say you have a badass job. A great job. You make $100 AN HOUR. You work 10 hours a day ($1000 A DAY), 5 days a week ($5000 a week!!!), every week ($20,000 A MONTH), thats $240,000 Every Year.

It would take you 4,167 years to make a billion dollars.

TGLS wrote: ↑Wed Aug 08, 2018 5:22 am The problem with this comparison is that most billionaires have wealth totals that depend largely on what the markets do. Let's say I own a company that was valued at $1 billion 5 years ago, and it grew in value at the same rate as the Dow. It would have gone up in value by 65%, and I would have made about 650 million dollars. Now that's a little unrealistic, after all, the average tends to do nothing but grow. If I held a billion dollars in Facebook at the beginning of June, I'd have lost 42 million dollars in value by today.

Now, if I had that job, I would probably be able to live well and put enough money in the bank to let my investments work for me, and make a billion dollars in even under a century.

Fuzzy Necromancer wrote: ↑Wed Aug 08, 2018 9:56 am

TGLS wrote: ↑Wed Aug 08, 2018 5:22 am The problem with this comparison is that most billionaires have wealth totals that depend largely on what the markets do. Let's say I own a company that was valued at $1 billion 5 years ago, and it grew in value at the same rate as the Dow. It would have gone up in value by 65%, and I would have made about 650 million dollars. Now that's a little unrealistic, after all, the average tends to do nothing but grow. If I held a billion dollars in Facebook at the beginning of June, I'd have lost 42 million dollars in value by today.

Now, if I had that job, I would probably be able to live well and put enough money in the bank to let my investments work for me, and make a billion dollars in even under a century.

Surely you jest.

TGLS wrote: ↑Wed Aug 08, 2018 6:16 pm

Fuzzy Necromancer wrote: ↑Wed Aug 08, 2018 9:56 am

TGLS wrote: ↑Wed Aug 08, 2018 5:22 am The problem with this comparison is that most billionaires have wealth totals that depend largely on what the markets do. Let's say I own a company that was valued at $1 billion 5 years ago, and it grew in value at the same rate as the Dow. It would have gone up in value by 65%, and I would have made about 650 million dollars. Now that's a little unrealistic, after all, the average tends to do nothing but grow. If I held a billion dollars in Facebook at the beginning of June, I'd have lost 42 million dollars in value by today.

Now, if I had that job, I would probably be able to live well and put enough money in the bank to let my investments work for me, and make a billion dollars in even under a century.

Surely you jest.

Alright. The average growth rate of the Dow is 9% per annum (over the last 40 years). If I blow $140k to pay for my lifestyle every year, I have $100k to invest. Suppose I invest my funds in a fund that grows at the same rate as the Dow. In 81 years, I will have a billion dollars squirreled away. If I cut $40k in spending, I'll reach a billion dollars in 77 years.

Compound interest is the most powerful force in the universe.

Fuzzy Necromancer wrote: ↑Sat Aug 11, 2018 5:18 amWell, I don't have enough knowledge of economics to dispute you on that. It still seems like a pretty staggering inequity.