Pick your salary
 

You've just been offered a job for the rest of your life. It's not the best job in the world, but it's also not the worst one. You'll neither love in nor hate it. It's your basic 9-5 office job.
The catch is in the salary. You have the following choice when it comes to salary:
1. start out making $200K a year. This amount will never change neither higher nor lower
2. start out making $2500 a year. But every year your salary doubles. First year 2500, second 5000, third 10,000 etc etc

You have no way to supplement your income. No pokre, no stocks, no outside monetary support. Just what you make from this job.

Re: Pick your salary
 

Who the [censored] picked 200k... Are you within 12-15 years of your death?

Re: Pick your salary
 

[ QUOTE ]
Who the [censored] picked 200k... Are you within 12-15 years of your death?

[/ QUOTE ]
you'd be living in relative poverty for the first 5 years with the doubling method....

Re: Pick your salary
 

If you take the 200K job, after 7 years you would have grossed 1.4M and if you have used those 7 years wisely, could theoretically retire. If you take the 2500 job, after 7 years, you only have 317K and must work at least a few more years before you can retire. Yes, the upside is higher on the 2500 job, but if your goal is to get to retirement, the 200K job might be better.

You're also going to have a much more comfortable decade of preparation for retirement spending 40-50K per year and saving 150K.

The 200K option isn't that bad, unless you want to retire super rich.

Re: Pick your salary
 

i think i could find enough friends and family members to help out with my expenses for the first 4 or 5 years knowing they would be paid back more than their share a few years after that.

I Take the 2500 a year to be making 8 figures a year in 13 years all day.

Re: Pick your salary
 

[ QUOTE ]
i think i could find enough friends and family members to help out with my expenses for the first 4 or 5 years knowing they would be paid back more than their share a few years after that.

I Take the 2500 a year to be making 8 figures a year in 13 years all day.

[/ QUOTE ]
the rule is you're not allowed outside help. You're completely on your own.

Re: Pick your salary
 

the only problem with the 2nd option is that i would find it hard to retire

Re: Pick your salary
 

[ QUOTE ]
i think i could find enough friends and family members to help out with my expenses for the first 4 or 5 years knowing they would be paid back more than their share a few years after that.

I Take the 2500 a year to be making 8 figures a year in 13 years all day.

[/ QUOTE ]

I'm not so sure this is allowed. If it is then this is a 100% no brainer for anyone decently young. I think "no outside monetary support" could mean no place to stay or food provided by anyone you know, etc and especially no money.

Re: Pick your salary
 

Punker,

There is no way you can retire except in a 3rd world country on 1.4 mil unless you are already 60 when you start this.

TBM,

Relative poverty? By year 5 you make a decent living to get by. If you can use some debt for the first 4 it becomes EZ.

Re: Pick your salary
 

[ QUOTE ]
I think "no outside monetary support" could mean no place to stay or food provided by anyone you know, etc and especially no money.

[/ QUOTE ]
correct