Who wants to be a millionaire?

Hello Divas!

Now how about that question! We ALL want to be millionaire fabulous -or at least the 401k diva does for sure! But what does it take to reach this seemingly distant goal? A higher paying job? Investing money outside of your 401k? Spending less on diva "must haves" today and saving more for diva "must haves" tomorrow? All of this may be true but it’s not the only way to 401k millionaire status.

I just read an article by the Motley Fool that told me how to make my millionaire dreams come true. Here’s how to do it ladies. Listen Up!

1. Max out your 401k
2. Max out your IRA
3. Achieve annual market return of 10%

Ok now lets chat diva to diva. Maxing out your 401k means contributing $15,500 a year and maxing out an IRA means saving another $5,000 during the same year. On top of that, you need to make wise investment decisions and put your 401k money in funds that will perform well over a long period of time. Let’s face it, becoming a 401k millionaire isn’t going to be easy, unless of course you are 26!

Oh to be 26 again ladies! How can I turn back the hands of time? Well all is not lost for the grown and sexy, but lets hold off on that for a second. Back to the young divas — ok listen up! If you are 26 years old and contribute the maximum combined amount of $20,500 to your 401k and IRA, that money will grow to one million dollars in 41 years, even if you never make another contribution!

Ok now back to the grown and sexy, you can still become a 401k millionaire, it just takes longer. To find out how long and get tips on selecting investments for your 401k money, read the full article by clicking here.

Here’s to your financial fabulousness!