London - If you are over 30 and still dream of making your fortune, prepare for some bad news.
A study shows that our financial destiny is set in the first ten years of working life – and that income growth peters out after we reach our mid-thirties.
In fact, by this stage most people have settled on the wage that will see them through until they retire.
American researchers studied the careers of five million workers over nearly 40 years, and found that the average employee will see their earnings rise by 38 percent between the age of 25 and 55. But the bulk of the increase happens in the first decade – with salary growth dropping to zero after the age of 35.
The study vindicates the idea that people should ‘get their head down’ while they are young – and concluded that the best way to ensure a healthy income is to take work with a ‘steep learning curve’ in your 20s.
Lead author Fatih Guvenen, an economics professor at the University of Minnesota, said young people who choose a job where they develop ‘valuable skills’ set themselves up for the best chance of success.
This shows ‘I’m investing in my future’, he said. ‘Soon, I’m producing more – and my employer is paying me more.’
And in case anyone needed greater incentive, the higher people reach in their twenties, the better off they’ll be. The top 1 percent of earners at this age can expect wage growth of 1,450 per cent by the time they are 55, while the top 5 per cent will see a 230 percent rise.
Daily Mail