A little over a month ago, I was contacted by Andrew Hallam, the author of “Millionaire Teacher: The Nine Rules of Wealth You Should Have Learned in School“. He complimented my site and thought that his new book would be a valuable resource for my readers. After having a read, I agree with him 100%.
Andrew Hallam is a high school teacher with a modest salary, but was somehow able to amass over $1,000,000 before his 40th birthday. How in the world did he do this? Well, Andrew explains his methods perfectly in his book and I really suggest that you purchase it and give it a read. Here’s a little taste of what it’s about.
Small Percentages Pack Big Punches
Do you currently contribute some of your paycheck to mutual funds? Do you have any idea what percent of your money is going toward fees? Chances are, you’re losing more money to fees than you think. After all, it’s in your advisers best interest to suggest mutual funds that pay them the most – it really doesn’t matter how much you earn through the fund. Their paycheck has no bearing on the success of your retirement account.
Do you know what typically beats every mutual fund out there, plus the fees are ultra low? Index Funds. Andrew Hallam is in love with index funds and for good reason. There are hardly any fees taking away from your earnings, plus each of these funds simply track a regular index (like the S&P 500 or Nasdaq), and over the long haul, these indexes average an increase of over 10%!
Think about it. Just by investing with index funds, Andrew, a high school teacher, was able to raise his retirement accounts to over $1 million in less than 20 years of investing!
We are all susceptible to scams, especially when they promise a large return in a short time frame. What if you had a friend that was earning 50% on his investment year after year. You might think that it’s a scam for sure, but what if you see his cash right in front of your eyes? Would you give it a shot? I bet most of us would. Andrew, an obviously wise investor, was even sucked into the hype (and of course, the company went bankrupt and was unable to pay the investors). Rather than continually hunting for those unrealistic returns, we need to force ourselves to stay on the proven straight and narrow path of investing. If we stay focused and avoid seduction, we’ll find ourselves counting our millions in no time.
Learn the Rest of the Rules!
If you’re interested in becoming rich later in life, I would strongly suggest that you read Andrew’s book. I’m making absolutely no money from this recommendation; I simply think that it’s an excellent read for those that want to maximize their retirement earnings.
My name is Derek, and I have my Bachelors Degree in Finance from Grand Valley State University. After graduation, I was not able to find a job that fully utilized my degree, but I still had a passion for Finance! So, I decided to focus my passion in the stock market. I studied Cash Flows, Balance Sheets, and Income Statements, put some money into the market and saw a good return on my investment. As satisfying as this was, I still felt that something was missing. I have a passion for Finance, but I also have a passion for people. If you have a willingness to learn, I will continue to teach.