The Power of Compound Interest

Compound interest is literally money making money while you sleep, and it's the closest

thing to financial magic you'll ever find. Think about it this way.

You save 100 dollars a month starting at age 20 for that dream vacation fund. With a 4 percent

return, by age 65, you'd have over 151 thousand dollars. Your actual money

put in? Only 54 thousand. That extra 97 thousand is pure compound interest doing the

work for you. :max_bytes(150000):strip_icc():format(webp)/compoundinterest_final-5c67da5662ba458f8d9d229ab4ca4292.png) But here's where it gets wild. If your twin waits

until age 50 to start investing, they'd need to put in 5,000 initially plus 500 monthly

to even get close. That's almost double the investment for less money at the end.