Almost anyone can be a millionaire. All you need is
to have the discipline to regularly set aside a portion
of your disposable money and place it a high-yielding
instrument.
Now, just how long would it take for you to have P1M?
There are three factors to consider: a) how much are
you willing to set aside in month or a year, b) how
much interest is money earning in the instrument of
your choice, and c) how long are you willing to save.
The table below shows the number of years you need
to reach P1M.
| |
Number
of Years |
| Savings/Month |
5yrs |
10yrs |
15yrs |
20yrs |
25yrs |
30yrs |
35yrs |
| |
| P
1,000/mo or P 12,000/annum |
90% |
35% |
19% |
13% |
9% |
6% |
5% |
| P
2,000/mo or P 24,000/annum |
71% |
25% |
13% |
7% |
4% |
3% |
1% |
| P
3,000/mo or P 36,000/annum |
59% |
19% |
8% |
4% |
1% |
0% |
0% |
| P
4,000/mo or P 48,000/annum |
50% |
15% |
5% |
0.5% |
0% |
0% |
0% |
| P
5,000/mo or P 60,000/annum |
43% |
10% |
2% |
0% |
0% |
0% |
0% |
| P
10,000/mo or P 120,000/annum |
20% |
0% |
0% |
0% |
0% |
0% |
0% |
| P
15,000/mo or P 180,000/annum |
5% |
0% |
0% |
0% |
0% |
0% |
0% |
| P
20,000/mo or P 240,000/annum |
0% |
0% |
0% |
0% |
0% |
0% |
0% |
| RATE
TO REACH P1M |
At present, the most popular saving instrument is a
time deposit account, which generates a gross interest
of 8-9% p.a. or net interest of 6.4-7.2%p.a. However,
if your timeframe is less than 15 years, you may want
to look for an instrument where your money will have
greater growth potential, such as stocks, bonds or mutual
fund. However, before investing in any of these three
instruments, one must first understand the risks involved
in investing in equity, bond, and mutual fund, and accept
that higher growth potential comes with greater risk.
Malot Oquendo
To know more about the Sun Life Prosperity
Funds, please get in touch with us through
telephone number 849-9888 or email:
phil_prosperity@sunlife.com.
The Sun Life Prosperity Funds are managed and distributed
by
Sun Life Asset Management Company, Inc.,
a member of the Sun Life Financial group of companies.
