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A Financial Workshop for Millennials

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Jack is retired. Before retiring, he worked at IBM for over 28 years. His articles have over 120,000 views.



This workshop is scheduled for Dec. 5, 2019 on the campus of CCNY. It is a joint effort by the Business and Finance Affiliate group and the Asian Alumni group. The target audience is college students who are about to graduate and enter the work force. This workshop will help them get started on their way to financial security and independence,

- Nov. 2019

Introduction - Slide One

Everyone should be educated on money and finance. Not just how to to make money but how to invest and earn dividends and save for retirement.

Time is your friend. The sooner you start, the better you will be.

Investing is not complicated. It can be very simple and straight forward.

All it takes is a little knowledge, discipline and the will to succeed.

Slide Two - Rule of 72

The most important thing to know about money is that it compounds. Compounding is a simple phenomenon and it grows with time. Not just linear growth but geometric progression. The simple rule of 72 will always gives you a quick account of how fast that growth is. Growth is based on interest rate.

The rule of 72 say if you divide 72 by the interest rate, you will get approximately the number of years it take to double your money.

For example a $100 invested in a vehicle that gives an annual rate of 6%, will result at the end of 12 years a balance of $200. (72/6 = 12)

By the same token, a credit card balance of $100, with an interest rate of 18%, will result in 4 short years a balance of $200. (72/18 = 4)

As you can see, money can grow or decrease with the passage of time, depending on the interest rate.

Slide Three - How to Retire a Millionaire

Save early and you can retire a millionaire.

An investment of $10 a day starting at age 22, assume average rate of return of 7%, will get you over $1 million in 45 years.

Below is the plot that show how this is possible.

Slide Four - The Power of Compounding


Slide Five - Invest in the Market

For long term investing, like with a retirement plan, you want to maximize your rate of return. This can be accomplished by investing in the stock market or equities.

There has never been a ten year period of time the stock index has not gained in value, over the whole history of the stock market.

This means, if your horizon is long, your best bet is in the stock market.

Scroll to Continue

Plot of S&P Index Last 40 Years


Slide Seven - What To Do?

The simplest investing strategy for an individual is to invest in index funds. The diversity of the S&P which is the top 500 companies in the public sector.

The symbol is SPY.

If you have a $1000 in your bank account, here is how you get started.

1. Open an eTrade account with a broker such as eTrade, or Schwab or Firstrade.

2. Buy shares of SPY ETF currently trading at $309 per share.

3. Set up an automatic deduction plan from your employer and contribute regularly even if it is as small as $20 per pay period.

4. Check in once a month or once a quarter. When you have sufficient balance in your account to buy additional shares, do so.


This simple investing strategy is the easiest and most diverse portfolio you can make. It will give you long term return that is competitive with any other investment vehicle without the stress or headaches or costs and fees.

Any questions, please post at the end of this article. No need to be a member of HubPages to participate. Just enter your name as a guest...I will respond shortly.

Good luck.

This content is accurate and true to the best of the author’s knowledge and is not meant to substitute for formal and individualized advice from a qualified professional.

© 2019 Jack Lee


Jack Lee (author) from Yorktown NY on November 12, 2019:

Marie, thanks for the feedback. I do appreciate professionals weighing in on my simple strategy.

I tend not to advice people on bond investing because it has not lived up to it’s promise. In this new ultra low interest environment, the only game in town is the stock market.

Marie Flint from Jacksonville, FL USA on November 12, 2019:

I asked my financier daughter to read this article and specifically if she had heard of the 72 rule. The following is her response. (Edited out company name.)

"Yes. I have heard of this. The article is legit. I slightly disagree the the stock market is Always up over a 10year period; it is Usually up over a 10year period. There was a time called "the lost decade" where the stock market regressed to a point where it was 10 years prior (early 1999-2009). [My company] and I believe that investors should increase there [sic] Bond and cash holdings as they get closer to retirement and also if they have a low tolerance for risk and stock market volitility."


Jack Lee (author) from Yorktown NY on November 11, 2019:

Marie, This workshop was designed to teach college students how to save for retirement. It is not all encompassing. At age 22, they are not thinking about buying a house. You are correct, for most people, the house they live in is the main source of asset when they reach retirement. What I try to do here is to get them thinking about the value of money and how time is a critical factor.

Marie Flint from Jacksonville, FL USA on November 11, 2019:

Already in my senior years, I'm almost financially illiterate and make a better saint than a businessman. However, I find this write-up interesting and useful. I never heard of the 72 rule until you explained it.

My daughter has financial savvy, so I rely on her to handle part of my money. She works for an investment company. I'll have to ask her if she ever heard of the 72 rule.

I'm a little surprised you didn't mention real estate. (Personally, I'd like to homestead, even at this later stage of life--actually, I'm planning to live to 120, God willing.)

This is a useful article. The length is nice too--not too long, just enough to hold attention without losing interest.


Jack Lee (author) from Yorktown NY on November 11, 2019:

Just to get the conversation started, in my own experience, investing for the last 20 years, I have achieved an average return of 7% or more and in some years, above 10%.

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