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EDUCATION

The Power of Compounding

printable version

INVESTORS

CURRENT AGE

Mary

John

Bill

30

$

2,000

$

0

$

2,000

 

31

2,000

0

2,000

32

2,000

0

2,000

33

2,000

0

2,000

34

2,000

0

2,000

35

2,000

0

2,000

36

2,000

>0

2,000

37

2,000

0

2,000

38

2,000

0

2,000

39

2,000

0

2,000

40

0

2,000

2,000

41

0

2,000

2,000

42

0

2,000

2,000

43

0

2,000

2,000

44

0

2,000

2,000

45

0

2,000

2,000

46

0

2,000

2,000

47

0

2,000

2,000

48

0

2,000

2,000

49

0

2,000

2,000

50

0

2,000

2,000

51

0

2,000

2,000

52

0

2,000

2,000

53

0

2,000

2,000

54

0

2,000

2,000

55

0

2,000

2,000

56

0

2,000

2,000

57

0

2,000

2,000

58

0

2,000

2,000

59

0

2,000

2,000

60

0

2,000

2,000

61

0

2,000

2,000

62

0

2,000

2,000

63

0

2,000

2,000

64

0

2,000

2,000

65

0

2,000

2,000

Total Accum

$

231,439

$

172,701

$

404,140

Investment

-20,000

-52,000

-72,000

Income/Growth

$

211,439

$

120,701

$

332,140

Example assumes an 8% hypothetical growth rate compounded annually. Rates of return are hypothetical, are provided for illustrative purposes only, and do not reflect the performance of an actural investment. There can be no guarantee of return.