Passion and hard work leads to multi-millionaire dollar businesses

2 entrepreneurs in their 40s with $6 million and $100+ million net worths

Jul 20, 2024

Exploring the Hidden Aspects of Wealth Building

Welcome to this week’s newsletter, where we share diverse and inspiring financial journeys of individuals across different stages of life, from their 30s to their 50s. Through detailed personal stories and in-depth interviews, we uncover the strategies, challenges, and triumphs that have shaped their financial journeys.

This week, you'll find the story of a 32-year-old market research director in New York City, who has balanced her income, savings, and investments to accumulate a net worth of $290,246. Moving into the 40s, we explore the lives of a registered nurse in San Diego and a high-earning couple in Brooklyn, each navigating unique financial situations highlighting the importance of budgeting and managing expenses.

We also feature the incredible success stories of individuals who have reached significant financial milestones. From a 40-year-old entrepreneur who turned his passion into a multi-million dollar business to a 43-year-old founder of a successful Pilates studio chain, these narratives emphasize the power of self-belief, strategic planning, and hard work.

Finally, we look at a couple in their early 50s who have accumulated a net worth of $4.8 million by leveraging employer retirement accounts and the power of compound growth. Their journey underscores the importance of early and consistent investing, as well as the long-term benefits of financial discipline.

Whether you're just starting your career, managing mid-life financial responsibilities, or planning for retirement, the insights shared in this newsletter will offer valuable lessons on budgeting, investing, and achieving long-term financial stability. Join us as we explore these real-life financial success stories and the key takeaways that can help you on your own financial journey.

Consider taking one action today to create the life you want tomorrow!

In their 30s:

$290,246 net worth - A 32-year-old market research director living in New York City, who earns $144,200 annually. Her accumulated net worth is 82nd percentile for her age group. Her net worth consists of 68% in retirement accounts (401k and Roth IRA), 20% in taxable brokerage account, and 12% in cash accounts (checking, HYSA, CD). In this weekly money diary, she discussed her perspectives on money. Growing up, her family faced financial difficulties, which influenced her perspectives on money. Her parents, immigrants from the Caribbean, emphasized the importance of education and hard work. She attended a major private university largely through scholarships and grants and worked part-time jobs to cover additional expenses. Her daily routine includes balancing work responsibilities, maintaining social connections, and managing personal well-being. “Despite my comfortable income, I still have concerns about future financial responsibilities like getting married or buying a house.”

TAKE-AWAY: the importance of budgeting and tracking expenses. She meticulously details her income, savings, investments, and monthly expenditures, demonstrating a proactive approach to managing finances. This level of organization helps ensure that she lives within her means while saving for future goals and emergencies.

In their 40s:

$262,564 net worth - a 43-year-old registered nurse living in San Diego who earns $171,000 per year. She shares finances with her husband, who makes $68,000 annually plus bonuses, and they receive about $300 monthly from her ex for child support. She has an accumulated net worth that is 62nd percentile for her age group. Growing up, she experienced financial instability despite both parents being health professionals. This instability influenced her awareness of money but did not come with financial education on saving or budgeting. Now, she feels the pressure of high mortgage and property costs, preparing for her child's college education, and general living expenses in an expensive city. “I was highly aware when things were bad with finances in my family. They would have fights...no one ever talked to us about how to save, invest, or budget.”

TAKE-AWAY: the importance of budgeting and tracking expenses. Despite earning a substantial salary, this nurse and her family face financial stress due to high living costs and unexpected expenses. By carefully budgeting and tracking every dollar spent, they manage to navigate their financial responsibilities while planning for future needs.

$703,596 net worth - A couple (she is 44 and he is 39) that live in in Brooklyn. She works as a corporate attorney (earning $555K annually) and he’s a freelance musician (earning $60K annually). Their accumulated net worth is 82nd percentile for their age group. In this hour long podcast/YouTube interview, they highlight the challenges and dynamics of a couple with a large income disparity. This dynamic has created a sense of imbalance and sometimes leads to her feeling like she is playing the role of a "mom" in their relationship. He acknowledges feeling inadequate because he cannot contribute equally and worries about his financial stability. “I just want to like I want to feel like we're in it together and saving and investing together.”

TAKE-AWAY: the importance of actively managing your finances and being aware of your spending habits. Even with a high income, it's still critical to budget, save, and invest to ensure financial stability and avoid unnecessary stress. Maintaining a balance between enjoying life and being financially responsible is essential for long-term financial health.

$6,000,000 net worth - A 40 year-old details his journey from the military, to working in a skilled trade, and eventually starting his own business. His accumulated net worth is 98th percentile for his age group. His excellent customer service and passion for his trade led him to establish a successful business. After years of hard work and dedication, he sold his company and now focuses on real estate investments. He explains that he reinvests his cash flow into additional real estate, always seeking good deals and aiming to reach a net worth of $10 million within the next five to six years. He highlights the importance of hard work, common sense, and having a supportive spouse. “I think if you bought the business and sold the business, you know, it's probably not as bad, but if you started it from the ground up, it's like one of your kids... it was definitely hard.”

TAKE-AWAY: the importance of enjoying what you do and leveraging your skills and passion to create financial success. His journey highlights how aligning work with personal interests can lead to excellence and opportunities. Combined with hard work, common sense and a supportive spouse, can significantly enhance one's financial position.

$100,000,000+ net worth - A 43 year-old founder of the Pilates studio chain, Solidcore, discusses her financial journey from running a non-profit to starting her own business. Her drive to succeed stemmed from a desire to prove herself, which she attributes to her childhood experiences and her father's struggles with addiction. Throughout the interview, she shares insights into her financial strategies and personal philosophies, highlighting her conservative approach to spending and the importance of having a clear vision. Her story reflects a balance of passion, discipline, and strategic planning leading to the sale of her business. “I'm really into teaching people that... you've just got to figure out what your superpowers are and then figure out what business or what life requires those superpowers to be successful.”

TAKE-AWAY: the importance of self-belief and going all in when you are confident in your vision and abilities. Rather than seeking outside investment and doubting herself, Anne invested her entire net worth into her business idea. Her commitment and confidence paid off, resulting in significant success.

In their 50s:

$4,800,000 net worth - A couple in their early 50s shares their journey to financial success in a 2 part interview (part 1 / part 2). He is an engineer at a major defense contractor and his wife works part-time as an HR professional. Combined they earn $340K annually. Their accumulated net worth is 95th percentile for their age group. They attribute their career growth to focusing on excellence, continuous learning, and being reliable team members. They emphasize the importance of taking advantage of employer retirement accounts Roth 401(k) and HSA. They stress the importance of investing early and consistently, as well as the power of compound growth over time. “People get rich because they invest.”

TAKE-AWAY: the importance of early and consistent investing. They emphasize starting a 401(k) on day one of employment, taking advantage of employer match, and understanding the long-term benefits of compound growth. They highlight the strategy of "paying yourself first" by automatically directing money into investments, which helps build wealth over time.