What Is the Average Income for an Investor?

by

Average Investor Salary and Earning Potential

  • The average investor salary is $119,591 per year.
  • The bottom 10% make roughly $46,000 a year, and the top 10% makes $304,000.
  • Seasoned investors can earn anywhere from a few thousand dollars to millions annually.
  • The salaries of stock investors in the US range from $21,025 to $560,998, with a median salary of $100,799.

Income Investing and Investment Strategies

  • The primary goal of income investing is to create a constant stream of income from investments.
  • Invest a portion of your income to grow your wealth for future needs and wants.
  • Invest 15% of pre-tax income starting by age 30.

Understanding Investment Returns and Types

  • Returns in any year are far from the 10% average stock market return.
  • Major investment income types are bonds, stocks, municipal bonds, and dividends.

Assessment and Planning

  • Assess financial health, market trends, and competition.
  • Numbers alone don’t tell the investment earnings full story.

How Much Can Investors Make?

  • The average return for investors in the S&P 500 is about 10% per year.
  • To determine how much you need to invest to generate a desired amount of monthly income, multiply the desired monthly income by 12.

Role of Investment Goals

  • No matter how much you earn, the amount you invest each year needs to be based on goals.
  • Your investment goals provide you with an objective and motivate you to stick with a doable investing plan.

Leave a Comment