• Free_Opinions@feddit.uk
    link
    fedilink
    arrow-up
    4
    ·
    24 hours ago

    Billion dollars grows by 70 million passively per year. Next year you have 1,070,000,000 which grows by 74.9 million and next year by 80 million and so on. Basically the more money you have the easier it is to make more money.

    Also, a billionaire doesn’t have billion dollars in the bank. That’s not what being a billionaire means.

    • AnarchistArtificer@slrpnk.net
      link
      fedilink
      English
      arrow-up
      1
      ·
      7 hours ago

      Cumulative interest is absurdly powerful. Turns out that the best way to earn a fuckton of money is to start with a heckton.

      Tangentially related: a friend told me that they worked out that £1,000,000 in the bank/invested in safe options would accrue enough interest that you could retire and have a decently comfortable income just off of the interest (meaning that the million pounds would remain untouched and able to be inherited by kids of whatever).

      It weirdly reminds me of growing things like moss, yeast (for bread) or fungi. It takes far more time than work; you set up the conditions for them to grow, and then you leave them to their own devices for a while. I can’t imagine treating money like this; growing up poor means that no matter what level of financial security I achieve as an adult, I will always be acutely aware of exactly how much money I have, and how fast it is growing or shrinking.