I’m aiming to improve my average typing speed to 90 wpm using this fun website. You always can get somebody to race with. Fun!

(UPDATE: And 83 races later, my average has improved to 90 wpm. TypeRacer works! I’m shooting towards 100wpm now.)

If we’re talking about living a good, comfortable life, sure, past a certain amount, it’s not about how much money you make, but more about what you do with that money, and managing your expectation. 

But if we’re talking about becoming a millionaire, then it’s a whole another discussion altogether. This whole “it’s not about how much money you make” thing just doesn’t cut it anymore when what we’re talking about is becoming a millionaire.

Becoming a millionaire means that we’re dealing with a hard, objectively measurable number, and with it comes the assumption that we’re talking about becoming a millionaire rather soon(ish).

Sure, we’ve all heard about personal finance authors doing the “save X% of your income for 40 years invested at Y%” thing. Hey, given 40 years, it doesn’t take a Warren Buffett to be a millionaire. And in 40 years, 1 million dollars will worth a lot less. (Try plugging in the value of 1 million in 1968 and see how much it’s worth today.) 

But if what we’re talking about is becoming a millionaire and retire in your 40s or 50s, this whole “what you earn doesn’t matter” bit is just wrong. Especially if you’re a 30-something like me, and only have about a decade or so to reach the status. 

It’s like this: if what you want to have is a nice, pleasant drive, what car you have probably doesn’t really matter as long as it’s decent, clean, well-maintained… whatever.

But if you’re racing to a defined finish line, saying “what you earn doesn’t matter, what matters is what you do with it” is like saying that in a race, it doesn’t matter whether you’re driving a Renault 4 or a Dodge Viper, because, after all, if the Dodge Viper is running with 3 flat tires, the Renault 4 will still do better… right? (If it sounds absurd and silly, it’s because it is.)

Let’s put it this way: if you are smart with your money and personal finance, making double of what you make now will bring you there twice as fast. As simple as that. And you don’t become suddenly stupid with your money just because your income doubles, correct?

(Image courtesy of Jeff Belmonte @ flickr)

Specific: I want to build a net worth of 5 million dollars, within a decade.

Measurable: The objective is achieved when I have built a net worth of 5 million dollars. That translates to about USD3.5 million with the current exchange rate.

Achievable: Achievable as in people have done it, yes. Achievable as in I know how to get there, not yet But this is the whole point of this project.

Realistic: Sure. A lot of people have done it. Those investment bankers, getting paid a million a year, they’ll break through this goal like it’s nothing. Others have done it too using a different way.

Time-bound: 10 years.

Exciting: You bet it is!

Relevant for me: Definitely. There are so many reasons why I want to do this.