{"id":91,"date":"2018-10-20T20:45:56","date_gmt":"2018-10-20T19:45:56","guid":{"rendered":"https:\/\/yuraperov.com\/wordpress\/?p=91"},"modified":"2019-07-07T13:16:27","modified_gmt":"2019-07-07T12:16:27","slug":"how-i-do-become-a-billionaire","status":"publish","type":"post","link":"https:\/\/yuraperov.com\/site\/how-i-do-become-a-billionaire\/","title":{"rendered":"How I Do Become a Billionaire"},"content":{"rendered":"\n

Let’s say I am 20 years old. I\njust got a real desire to become a billionaire. I want to play it fair and\nbring good to the society and be a decent human being, but I also want to be a\nbillionaire and live a life with financial freedom.<\/p>\n\n\n\n

First 2-3 years (I am 20-23) I\nstudy really hard. Be it a degree in Computer Science, in Philosophy or in\nPsychology, or some courses I take online or by attending an evening school, I\nstudy really hard. I try to do a few internships\/short projects for the\nexperience and some money. I might have to work to support my studies in\ngeneral, on a job not necessarily connected to my speciality. I am 23 already\nonce I finished all of this.<\/p>\n\n\n\n

I have a mentor who helps me.\nSometimes it is necessary to change a mentor\/boss, but it is important to have\na strongly bounded relationship like that because it really helps.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

Next 1-2 years I study hard as\nwell (24-25), but I also do more work on projects\/internships as part of my\nstudy. Or it can be another way around: I work in the field which I feel will\nbring me my billions, but I also study hard part-time.<\/p>\n\n\n\n

I am 26. I have some basic\nexperience, I have a good education (be it a uni degree or a collection of the\ncourses which are relevant to my field). I find a full-time job that will pay\nme well at my level (let’s say 30k), but where I also have a good mentor\/boss\nand where I can learn more.<\/p>\n\n\n\n

I work hard. I make connections.\nI focus on my job and do my best. I learn as much as I can in the process,\ngaining experience.<\/p>\n\n\n\n

I practise meditation,\nmindfulness and keep healthy. I know how to relax and recharge. I learn and\npractise combining smart and hard work and good rest. I have or find a few good\nfriends and a partner in my life. Sometimes a relationship does not work, and I\njust try again.<\/p>\n\n\n\n

I work hard and I am valuable.\nWhen I become 28 years old, I now do 50k per year. I got more experienced,\nbecame a more efficient and valuable professional.<\/p>\n\n\n\n

I look for opportunities. I focus\non one thing. I look for my dream job, be it a job for myself, i.e.\nself-employed or as an entrepreneur, or a job in a company which is big or\nwhich is to become big. I find my dream job.<\/p>\n\n\n\n

By 30 years old, I have a salary\nof 55k. (If I don’t, I reevaluate why I don’t, and improve.)<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

I allocate 10% of my salary to a\nrelatively safe, risk-averse, diversified portfolio with 5% average net return.<\/p>\n\n\n\n

In addition to the salary being\nspent wisely (with me investing in myself and my family, as well as into\nsavings), I look for stock (share) opportunities in a company I work for. Let’s\nsay that on average, I am able to get each year extra 20% to my salary in\nstocks. Also, let’s assume that on average, the shares (i.e. my capital) that I\nalready have are growing at 20% rate per year. Also, since I work smart and\nhard, my salary, on average, increases 15% per year. When I say\n“net”, I also mean already adjusted to the inflation.<\/p>\n\n\n\n

During all this time I\nconsistently study more of the world: “applied” philosophy, how the\nworld works, how society and money work, psychology, motivational studies, and\nthe basics of how the Universe works.<\/p>\n\n\n\n

I keep growing. I relax and\nrecharge myself all the time. I have meaningful relationships with close people\nin my life. I invest in myself and in my family: to work hard and smart, and to\nbe in a good shape, I need to invest in myself and in my family.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

If I keep doing all of this, by\n34 years old I have more than 100k in capital and 40k in my savings. By 42, I\nbecome a millionaire, thanks to my savings and capital combined together. By 47\nyears old, I have in my savings a half of million “raw”, as well as\n3.1 millions in capital. By 52 years old, I have more than 10 millions\ncombined.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

When I am 73 years old, I have\n500 millions in the capital, plus 25 million dollars in savings. After that I\nshall start working less, with my salary gradually decreasing, however\neverything else still keeps growing.<\/p>\n\n\n\n

Obviously, when I say\n“shares” in the company I work, it can mean both the company I just\nwork for as an employee, as well as the company I co-own. Essentially, once my\ncapital becomes very big, I will become a co-owner of companies in any case. In\nthe beginning, I either can be a smart entrepreneur myself or just work for\nsomebody else\u2019s company. The business can be a tech start-up, real estate,\nentertainment of some form, catering and food industry, or anything else what\nyou can make on and what you are good at.<\/p>\n\n\n\n

It is also important to note that\nthe suggested percentages are the average ones. It is expected that some years\nmight yield smaller returns (even negative), and some years might yield bigger\nreturns (even 2x returns, for example). I appreciate the percentages in the\nillustration are quite high, but it is possible to grow a business 20% on\naverage each year.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

Following this scenario, I am a\nbillionaire when I am 77 years old. Assuming I stop actively working after I am\n80, I still become 10-billionaire at the age of 89.<\/p>\n\n\n\n

Why shall I become a billionaire?\nIt is another question for another story. It is definitely not for fancy things\nlike a big yacht or a giant house (although they are probably definitely nice\nto have). It is to have financial freedom and to do what I dream, for the good\nof myself and others.<\/p>\n\n\n\n

The most important thing is to\nensure that while being on this intense track, I am still a good and decent\nhuman being, that I have a happy and healthy life with people I love and who\nlove me. That I can recharge, reflect, meditate, learn, train and grow myself\nto fulfil my dreams and be a good person.<\/p>\n\n\n\n

You can play with a spreadsheet\nyourself: https:\/\/docs.google.com\/spreadsheets\/d\/1zrdgIz-Nzplogza81sL0guDF3Qm5v6Z3Vf7xq3Y3TeQ<\/a> (you\nwill need to copy it to make edits).<\/p>\n\n\n\n

A more conservative estimate,\nassuming 15% net annual capital growth (versus 20%), 10% annual salary increase\n(versus 15%), 150k max cap on your salary (instead of 15 million<\/em>cap), 10% capital contribution\nextra to the salary (instead of 15%), is presented on this spreadsheet: https:\/\/docs.google.com\/spreadsheets\/d\/1zrdgIz-Nzplogza81sL0guDF3Qm5v6Z3Vf7xq3Y3TeQ\/edit#gid=243513052<\/a>.\nThat more conservative way, you still can be worth 11 millions at 65 years old,\nand 500 millions at the age of 93 (even assuming you retire from your active\njob at 69 years old).<\/p>\n\n\n\n

Thank you very much.<\/p>\n\n\n\n

Copyright\n(excluding the purchased images), is by me. If you would like to share, please,\njust link to this page. Anything above does not constitute any advice, of\ncourse. While I am sure this scenario is possible and realistic and a lot of\npeople have been doing it, it does not reflect some specific person\u2019s life or\nsome specific business growth in particular.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"Let’s say I am 20 years old. I just got a real desire to become a billionaire. I…\n","protected":false},"author":1,"featured_media":97,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":{"0":"post-91","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-success"},"_links":{"self":[{"href":"https:\/\/yuraperov.com\/site\/wp-json\/wp\/v2\/posts\/91","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/yuraperov.com\/site\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/yuraperov.com\/site\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/yuraperov.com\/site\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/yuraperov.com\/site\/wp-json\/wp\/v2\/comments?post=91"}],"version-history":[{"count":3,"href":"https:\/\/yuraperov.com\/site\/wp-json\/wp\/v2\/posts\/91\/revisions"}],"predecessor-version":[{"id":194,"href":"https:\/\/yuraperov.com\/site\/wp-json\/wp\/v2\/posts\/91\/revisions\/194"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/yuraperov.com\/site\/wp-json\/wp\/v2\/media\/97"}],"wp:attachment":[{"href":"https:\/\/yuraperov.com\/site\/wp-json\/wp\/v2\/media?parent=91"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/yuraperov.com\/site\/wp-json\/wp\/v2\/categories?post=91"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/yuraperov.com\/site\/wp-json\/wp\/v2\/tags?post=91"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}