Congratulations! You are taking a step toward Financial Independence! You must do 3 things to become a millionaire: 1.Pay all credit cards off monthly - do not carry credit card debt. 2.Make and Keep a reasonable budget - this takes discipline and self denial. 3.Maximize your ROTH IRA every year. *Use a reputable known company with diversified mutual funds. Money will not bring you happiness and it will not define who you are. It is not sacred; it is just a tool. Use this tool to be a positive influence in your family and community. If you have questions or suggestions, please contact Hank Brown at or This workbook & other tools can be found at

Ensign/ 2 nd Lt Budget Hank Brown Major USMC

Actions not Words freedom to choose my work or leisure. -OR- obligated to a job that will hopefully cover my expenses. dream about the legacy I leave my grandchildren. -OR- worry whether my money will last until I die.

Prepared for the Golden Years? 20% families prepared for retirement. Avg American saves -.7%!! The average family has $3800 in savings. Most people pending retirement have less than $40k -$50k saved. Social Security is Welfare. You are likely to live past 90 or 100 years.

Returns on Investment Since 1925, the stock market (S&P 500) has averaged 12% annual return on investment Adjusted for inflation this equates to over 8% return. In the 1990s the average return was over 17%.

Can you do it? Principle (PV)$32,500 Rate (R)8.0% Years (N*12)38 Monthly Contribution (PMT)$416 Future Value (FV)$1,909,787

Midshipman Brown ‘93 Principle (PV)$11,000 Rate (R)8.0% Years (N*12)14 Monthly Contribution (PMT)$832 Future Value (FV)$291,572

It Works! Principle (PV)$300,000 Rate (R)8.0% Years (N*12)23 Monthly Contribution (PMT)$832 Future Value (FV)$2,538,061

Investing Individual Account –Taxable –Vehicles Money Market Mutual Funds C.D.s Bonds Individual Stocks ROTH IRA –Maximize This ’07: $4000 ’08: $5000 ’09: +$500/ year –Tax Free Growth

Sources Money Magazine Forbes Kiplingers Smart Money Worth