How does a $14K annual salary turn into a $70 million fortune? The answer is discipline, consistency, and compound growth, perfectly exemplified by Theodore Johnson.
Johnson’s amassing of wealth began in 1924 when he became a UPS driver. In those early days, Johnson lamented to a friend, whose identity is unclear, that he didn’t have a solid savings plan.
Johnson’s friend convinced him to treat saving money as a tax and that it was possible to live on less.
As a result, he asked UPS to auto-deposit 20% of his monthly income into a UPS investment account. He also purchased UPS stock whenever he could throughout his 28-year career.
The value of this investment grew alongside Johnson’s success as he was promoted to VP for industrial relations.
Upon retiring in 1952, Johnson left with $70K and continued reinvesting dividends into UPS stock. UPS’s growing profitability exponentially increased its value.
In 1992, Johnson and his wife, Vivian, created the Johnson Scholarship Foundation with the fortune gained from compound growth.
It supports the education of people with disabilities, financial insecurity and indigenous community members.
$36 million went to the foundation and another $3.6 million to two schools specialized for deaf students.
Through immaculate patience and dedication, Johnson left a legacy proving the power of compound growth.
With the support of his peers, he made decisions that continue to enhance the lives of others.
With in-depth industry knowledge and a drive to create positive change, a financial advisor can similarly help you carve the legacy you want to leave.
Navigating the complexities of the ever-changing financial landscape is made simpler with a trusted expert.
With their strategic and transparent guidance, you can take significant pressure off yourself and your finances, allowing them to flourish into something even greater.
What did you take away from Theodore Johnson’s story? Please share in the comments.