How 401(K) Sprints Can Make You A Multi-Millionaire (By AGE!)
The Personal Finance Podcast
Impact of Contribution Timing in Your 20s
Andrew contrasts same-dollar contributions earlier vs later, showing the big benefit of investing earlier.
In this episode of The Personal Finance Podcast, Andrew introduces the 401k Sprint strategy—a game-changing approach where you max out retirement contributions for just 5-10 years instead of grinding for 30-40 years straight, proving that a 25-year-old who contributes $23,500 annually for only 5 years can retire with over $2 million while someone starting at 60 can still add $430,000 in just 5 years using catch-up contributions. He breaks down the exact numbers for sprints starting in your 20s, 30s, 40s, 50s, and 60s, explains the difference between traditional and Roth 401k strategies, and shows why the 2-on/2-off cycle approach (maxing contributions for 2 years, taking 2 years off, and repeating) can still build nearly $3 million by retirement—proving that short bursts of intense saving combined with compound growth can beat decades of mediocre contributions.
Watch this episode on Youtube.
How Andrew Can Help You:
- Listen to The Business Show here.
- Don't let another year pass by without making significant strides toward your dreams. "Master Your Money Goals" is your pathway to a future where your aspirations are not just wishes but realities. Enroll now and make this year count!
- Join The Master Money Newsletter where you will become smarter with your money in 5 minutes or less per week Here!
- Learn to invest by joining Index Fund Pro! This is Andrew’s course teaching you how to invest!
- Watch The Master Money Youtube Channel! ,
- Ask Andrew a question on Instagram or TikTok
- Learn how to get out of Debt by joining our Free Course
- Leave Feedback or Episode Requests here.
- Car buying Calculator here
Thanks to Our Amazing Sponsors for supporting The Personal Finance Podcast
- DELL: Get a new Dell AI PC starting at $749.99, at Dell.com/ai-pc
- Indeed: Start hiring NOW with a SEVENTY-FIVE DOLLAR SPONSORED JOB CREDIT to upgrade your job post at Indeed.com/personalfinance
- Acorns: Start investing automatically with Acorns and get a $5 bonus at Acorns.com/PFP
- Chime: Start your credit journey with Chime. Sign-up takes only two minutes and doesn’t affect your credit score. Get started at chime.com/
- Thanks to Policy Genius for Sponsoring the show! Go to policygenius.com to get your free life insurance quote.
- Shopify: Shopify makes it so easy to sell. Sign up for a one-dollar-per-month trial period at shopify.com/pfp
- Go to https://joindeleteme.com/PFP20/ and Use Promo Code PFP for 20% off!
- Relevant Episodes:
- Should You Stop Using a Roth 401(k) After a Certain Income? (Money Q&A)
- What to Do With Your Old 401(K) (Step-By-Step!)
- Should I reduce my 401(K) Contributions to Save for a House? - Money Q&A
Connect With Andrew on Social Media:
Free Guides:
- The Stairway to Wealth: The Order of Operations for your Money
- How to Negotiate Your Salary
- The 75 Day Money Challenge
- Get out Of Debt Fast
- Take the Money Personality Quiz
Learn more about your ad choices. Visit megaphone.fm/adchoices
The AI-powered Podcast Player
