My First $1 Million: Retired Business Manager, 62, West Lakeland, Minn.
"Being in sales, you are always one quarter or two quarters away from being out of a job. For the security of my family, I always made sure I had a safety net."
Welcome to Kiplinger's My First $1 Million series, in which we hear from people who have made $1 million.
They're sharing how they did it and what they're doing with it.
This time, we hear from a 62-year-old married and retired man in West Lakeland, Minnesota. As a regional business manager in the medical field, he earned a salary of $180,000 to $300,000 and retired at age 51.
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See our earlier profiles, including a writer in New England, a literacy interventionist in Colorado, a semiretired entrepreneur in Nashville and an events industry CEO in Northern New Jersey. (See all of the profiles here.)
Each profile features one person or couple, who will always be completely anonymous to readers, answering questions to help our readers learn from their experience.
These features are intended to provide a window into how different people build their savings — they're not intended to provide financial advice.
To hear more about My First $1 Million, you can check out this podcast with bestselling author and tax attorney Toby Mathis:
The Basics
How did you make your first $1 million?
I started my career a little late. Due to my parents' divorce, I was on my own for college. Subsequently, it took me seven years to finish a four-year degree.
The job market was bad when I finished college. It took me nine months to find a job that paid only $15,600, but it was in a good industry.
I worked hard and eventually made it into sales when I was 31. This was when my income accelerated.
I didn't know a lot about investing, but a few people told me to make sure I invest.
A stockbroker gave me the best advice. He said, "Before I make any stock investments for you, you need to invest in Vanguard index funds."
I grew up without a lot of money and didn't know how to handle it. Instead of spending, I continued to put most of my investments in Vanguard and sprinkled in with some stocks.
It took a while to get to $1 million. Once I did, it really started to accelerate.
What are you doing with the money?
Nothing specific. I never carried a credit card balance and was already paying extra mortgage payments to pay off my house sooner.
The Fun Stuff
Did you do anything to celebrate?
No. It just seemed to happen. I never really had $1 million as a specific goal.
What is the best part of making $1 million?
Financial freedom and retiring early. Also helping my children with auto and house purchases.
Did your life change?
Not at the time. It was nice to know I went over $1 million, but I still had a family to take care of.
Does anyone know you're a millionaire?
A few friends know, but I just try to stay under the radar and don't live lavishly.
Did you retire early?
I am 62 now and retired at 51.
Looking Back
Anything you would do differently?
It's hard to say. I made some mistakes in investing, but ultimately did very well. I could have been more aggressive.
Being in sales, you are always one quarter or two quarters away from being out of a job. For the security of my family, I always made sure I had a safety net.
What advice would you give to your younger self?
Be patient. It will take time. Don't obsess over daily swings.
Did you read any books that helped you on your journey?
Yes. I read a lot of books early on and subscribed to different financial magazines.
Did you work with a financial adviser?
I did most of it on my own and grew my portfolio to over $8 million. I now use Morgan Stanley to manage $1 million of that amount.
As much as I tried to educate my children, they do not have the same financial literacy I have or the interest.
As I get older, I expect to have Morgan Stanley manage more of this for my children.
Did anyone help you early on?
The owner of a distributor I worked for was very knowledgeable about the stock market. I mainly stuck with index funds, but he would walk me through investing in stocks.
Looking Ahead
Plans for your next $1 million?
Continue doing what I am doing. Another $1 million will not change me.
Any advice for others trying to make their first $1 million?
Get a good solid base with index funds.
Don't get a financial adviser initially.
Educate yourself about the market so you are financially literate.
As your portfolio grows, you may want an adviser, but be aware of the cost.
Do you have an estate plan?
No, but I am just starting to explore some firms to work with.
What do you wish you'd known …
Before you retired? That nobody cares about how hard you worked and the sacrifices you made. Companies move on. You are not as valuable to them as you think.
When you first started saving? That it is a slow process that gets ingrained in you. You have to get rid of that mentality when you hit financial freedom and learn to spend money.
When you first started working with a financial professional? I was pretty educated from doing everything on my own. It was nice to hear I was doing it right and should be proud of myself.
When you first started investing? Don't beat yourself up over mistakes. Learn and move on.
If you have made $1 million or more and would like to be anonymously featured in a future My First $1 Million profile, please fill out and submit this Google Form or send an email to MyFirstMillion@futurenet.com to receive the questions. We welcome all stories that add up to $1 million or more in your accounts, although we will use discretion in which stories we choose to publish, to ensure we share a diversity of experiences. We also might want to verify that you really do have $1 million. Your answers may be edited for clarity.
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