"When Will I Make My Money Back?"

Browsing threads here... when someone is looking to buy a product, especially an expensive one, I see a question that comes up often:

"Well, when will I make my money back?"

Logically I can see the rationale for this question. If you are going to spend $1000 you want to know how quickly (or slowly) you will get that $1000 back.

But here's a different way to think about it:

Investing in Real Estate and the Stock Market ... a 12% return is generally considered a great return. To use round numbers, let's say you find something that earns you 20% return annually. That would be magnificent!

That means if you put $100 in something, it makes you $20 a YEAR. Split amongst 12 months, that's a little less than $2 a month.

If you buy a website or product for $100 that earns you $5 a month, you're way ahead of the stock market. You're earning an astounding 60% a year on your investment.

I know this is a bit of flawed logic because IM earnings go up and down, they might be very touchy, they don't compound at that rate, etc.. And honestly IM "investment" is a lot riskier too (i.e. easier to lose your money since it really depends a lot on the "investor's discipline")

But if you look at it from an investment side, you just put your money into something that at $5 a month earns you a 60% return on your investment.

Just another way to think about it when you spend/invest your money on your IM career.

Thoughts? Did I miss something obvious?