Varied parameter
Income growth (annual)
1% → 5%
Income Growth Comparison
Lawyer in Cluj-Napoca · Starting late
This page compares financial outcomes for a Lawyer living in Cluj-Napoca, Romania, following the Starting late life scenario.
A financial life that begins later, leaving fewer years for compounding to work. Success relies on disciplined saving, steady income, and sustained focus over a shorter horizon.
Cluj-Napoca combines strong tech opportunities with a high quality of life.
The comparison focuses on how changing the Income growth (annual) influences long-term results, while all other assumptions remain constant.
Simulation Overview
Base scenario assumptions
- The simulation starts at age 40 and runs until age 65.
- The initial annual labor income is €19,800.
- Labor income grows annually at an average rate of 3%.
- A labor income tax rate of 10% is applied to gross earnings.
- The saving rate is set to 20%.
- Minimum annual living expenses are €10,350.
- Savings are invested with stochastic annual returns.
- The average annual return is 5%, with year-to-year variability.
- All values are expressed in real terms, assuming average annual inflation of 3%.
- The simulation includes stochastic life events such as unemployment, and health issue.
- These events may temporarily affect income, expenses, or net worth.
- Financial independence is defined as having net worth equal to 25 times annual expenses.
- Bankruptcy is triggered if net worth remains below €0 for 2 consecutive years.
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Scenario Comparison
Results are shown as a realistic range. P10 represents a pessimistic outcome, while P90 represents an optimistic outcome. Most simulations fall between these two values.
| Scenario | Median Net Worth | P10 Net Worth | P90 Net Worth | FI Probability | FI Median Age |
|---|---|---|---|---|---|
| 1% | 170,059 | 113,879 | 250,308 | 9% | 63 |
| 3% | 215,792 | 149,362 | 310,244 | 29% | 63 |
| 5% | 274,235 | 191,378 | 386,307 | 61% | 62 |
How Your Financial Life Evolves
These charts show how each scenario affects long-term outcomes, including expected wealth, downside risk, and the likelihood of achieving financial independence.
Net Worth Median
Net Worth Range
Fi Probability
Fi Median Age
