Updated: Feb 6
We all want to be a millionaire, right?
When we dream of becoming a millionaire, we might think we need to hustle or become famous by joining love island.
However, there is a much easier way to become a millionaire.
By investing little and often into your stocks and shares ISA each month.
There are many ISA millionaires in the UK, more than you'd think. They achieved this status by being disciplined savers, investing a regular amount each month, and leaving it alone to grow.
By being 'boring' with your money, over time, due to the impact of compounding investment returns, saving strategically in this way, into your stocks and shares ISA you can turn your riches into wealth. You too can become an ISA millionaire.
Let’s do the maths
Assuming you save £600 a month into your investment ISA for 35 years. Your investment grows by 7% each year and the investment returns are compounded annually. Your pot will be worth £1 million in 35 years’ time.
By saving £252,000 over a 35 year period you can grow your wealth to £1million.
However, if you were to stall by 13 years, you’d need to maximise your ISA allowance of £20,000 a year, saving £1,666 a month for 22 years before you become an ISA millionaire (assuming investment returns of 7% annually compounded).
You’d need to save a total of £440,000, which is £188,000 more, by delaying your investment.
Time is money. The sooner you start the better.
Becoming an ISA millionaire takes discipline.
Save your surplus income at the start of each month, as part of your wealth strategy. You can purchase the wealth strategy template I use with my 1-2-1 clients HERE.
Save into an investment ISA. You are unlikely to become an ISA millionaire by saving into a cash ISA. You need to give your money the chance of earning market-linked returns.
You have an ISA allowance of £20,000 to use up each year giving you ample room to meet your goal of becoming an ISA millionaire if you have the surplus income and the time to do it.
Would you like to become wealthier?
Arrange a discovery call today HERE, it’s free. Let’s talk about how we can create your wealth strategy.