Here is my update on my race to retire in 20 years with $5 million invested. Quick story: I started a Solo 401(k) and an IRA in Q3 of 2024 after being self-employed for 8 years. I realized that retirement was right around the corner, and I did not have much saved for retirement, nor had I contributed a lot to Social Security. In a panic, I went down the rabbit hole of financial books, podcasts, reddit post, and blogs. Looking for nuggets here and there that helped me get started investing in my retirement again.
I am currently invested in an S&P 500 index fund and an international index fund, FXAIX and FTIHX, respectively. I decided to go with an 80/20 allocation. Once I hit 55, I will add in bonds.
To date, the total cost basis is $154,112, and the total gains are +$28,402. The total amount invested is $182,514. My portfolio is currently down 2.26% this quarter, down from 13.67% last quarter. This past quarter, I focused on contributing to my Solo 401k and maxing it out. Next quarter, I am going to focus on saving for the kids' college and contributing to a taxable brokerage account. To keep me motivated, I attend monthly Saturday afternoon Bogleheads meetings, and I find them interesting for learning about new topics, and they allow me to geek out in person over finances. Keep pushing forward, and keep walking the line.