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Recent research has indicated that an average smoker, if they quit around the age of 20, could effortlessly become a millionaire by the time they retire. In his report for the Investor’s Chronicle, Paul Claireaux provides data suggesting that an investment of £7.60 per day (the current cost of a packet of twenty cigarettes) into certain retirement funds starting at age 20, could build up to nearly £1 million by the age of 65.
These calculations factor in inflation, estimating the actual accumulated fund at £2,843,068, and the projected value of that amount at £935,865.
However, these calculations assume a specific scenario: a basic tax rate payer earning £35,000 per year, receiving a 20% income tax reduction on retirement fund contributions, and a 60% employer contribution to the fund.
That said, substantial savings can be achieved broadly. Several smokers, especially in countries like the UK, Australia, and the US where tobacco taxes have soared in the past two decades, now understand that the cost of smoking is simply exorbitant.
Many smokers are making efforts to quit entirely, while others are switching to e-cigarettes, a cheaper and healthier alternative. If you’re seeking affordable bulk supplies from an online alternative smoke outlet, check out migvapor.com.
Quitting nicotine can be challenging, as any current or former smoker can attest. Yet, an increasing number of people are recognizing the health and financial consequences and want to quit smoking.
E-cigarettes and vaping accessories are reportedly 50% to 70% cheaper than traditional cigarettes, with fewer health risks associated. There’s an upfront cost of approximately £40 for a starter pack. After that, e-cigarette users, or ‘vapers’, can maintain their nicotine intake for less than half the price. There are also some online retailers that offer discounted vaporizers.
The savings may not amount to a million pounds, but anyone who transitions to e-cigarettes and saves the difference, will certainly have a more robust retirement fund than those who don’t.
Content provided by ECigarette Direct
