People often say ‘Saving your first $100,000 is the hardest’…
But what does it mean?

In short, what most people are referring to is that saving their first $100,000 dollars is the hardest financial milestone that they will ever hit.

I’m here to tell you that the hardest financial milestone you will hit is probably trying to save and accrue $10,000 dollars. Hear me out.

Every day, we wake up, go out into the public, and spend money on luxury items and foods. We don’t think twice about ordering from Amazon.com, picking up a $5 coffee from Starbucks (on average), or paying $16 for a burrito at Chipotle.

But we hesitate to pay ourselves first and save a few dollars at the beginning of the month. That’s why the average American can’t get ahead and lives paycheck to paycheck. We don’t prioritize ourselves or our futures.

And it’s because we don’t prioritize ourselves that trying to save $10,000 is borderline impossible for most people. That’s what makes it the hardest financial mile marker for most people.

But, if you do have a little bit of discipline, it’s easy to develop a habit of saving and investing in your future. It starts with just changing your spending habits and orienting them towards a little bit of growth.

Simply put, starting with saving anywhere from $5 to $50 a month can put you well towards saving your first $10,000 in a few years.

Even better, if you automate your savings by setting up an allotment from your paycheck — you won’t even notice the money leaving your account.

Taking you all the way back to 2015, that’s when I started my investing journey. I was in the fortunate position to save about $1,000 a month.

This might sound like a lot, but it didn’t happen by chance. I prioritized saving and investing above all else. I cut out unnecessary spending, avoided lifestyle inflation, and kept my goals front and center. I treated my savings like a non-negotiable bill, ensuring it was the first “expense” covered from each paycheck.

And here’s the most powerful part: once you hit your first $10,000, the next milestones become exponentially easier. That’s because you now have momentum and, if you’re investing, compound interest starts to work its magic.

For example, let’s say you invest your $10,000 in a low-cost index fund that averages a 7% annual return (such as Vanguard’s VOO, the S&P ETF). Without adding another penny, that $10,000 could grow to over $19,000 in just 10 years. Add regular contributions to the mix, and your financial snowball grows even faster.

So, while many say the first $100,000 is the hardest, I’d argue that the journey truly begins with your first $10,000. Achieving this milestone proves to yourself that financial independence is possible. It builds the habits and discipline needed for long-term success.

Start small. Stay consistent. And remember: every dollar saved today is a step closer to a secure and prosperous future.

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Thank you for your time this week. And always…

-Michael, with Military.Cash