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How do you become a millionaire by 60 if you start a Roth IRA early? I have heard it said that investing index funds and the like over time, can grow money with compound interests over time, but I'm a bit confused on the next step.

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Not a lot of information to go on, but if you contribute $900 a month at 4% for 40 years you'll end up with slightly more than $1,000,000... If you wait another 10 years you'd need to save $1500 a month for the same outcome.

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    Should be noted that OP can't put all $900/month into the Roth IRA as those are limited to $6000 or total earned income on the year. Other vehicles do exist, however where that savings can be made. – R. Hamilton May 11 at 16:02
  • You're right... He'll need a higher interest rate to make his $1M with a Roth... – BobT May 11 at 18:25
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Yes but you have to do a bit more. In my opinion you are smart for asking the question. I wish that I did when I was your age (sometime during the Jurassic era). Here is something to give food for thought but keep asking the question and see what advice you get.

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