Mike E. writes: “I just got back from vacation and saw your column with the footnote about $5 million in bonds and how preposterous that would be to most of us. Well, my parents have lived their entire lives using principles you recommend. They live below their means, buy used cars, buy in bulk, and invest for the future. They retired two years ago (ages 62 and 60) with an estate in excess of $3 million. They must have been doctors, lawyers or some other highly paid profession, right? No, my mom was a public school teacher and my dad was a factory worker. Their combined salaries were never more than $70K a year. They did have a few good stock picks and a long bull market to help their money grow, but it was their consistent saving over a long period of time that made them well off. Anyway, now most of their money is safely in bonds.”
A.T.: Warms my heart. What else can I say?