Don't wait! Start Saving Money Today!


“Thanks, Kim, for your financial help, and your friendship.” —Barb J.

The Cost of Waiting

Compounding, or compound interest, is interest computed on the accumulated unpaid interest as well as on the original investment. The chart below compares two 25-year-olds who both contribute $200 per month to their company retirement plan and receive an 8% annual rate of return compounded monthly. Cynthia contributes for 10 years and then stops.Todd waits 10 years and contributes until his retirement at age 65. Even though Todd contributed more money than Cynthia, his savings will never catch up with hers because her money earned interest for 40 years compared to his 30.

  Annual
Savings
Age Started
Saving
# Years
Contributed
Amount
Contributed
Accumulation
at Age 65
Cynthia $2,400 25 10 $24,000 $368,183
Todd $2,400 35 30 $72,000 $298,072

Free Quote in Minutes

Find out how much you could be saving, at no cost to you.

Call 435-688-7283

Call 435-688-7283

Send a quick message

Insurance and Safety Tips


More Insurance Articles

States we Insure

Alaska   Arizona   California   Colorado   Florida   Idaho   Maryland   Michigan   Minnesota   Montana   Nevada   New Mexico   Oregon   South Carolina   Texas   Utah   Washington

Insurance companies we represent

Safeco Insurance logo United Insurance Group logo The Hartford logo Foremost Insurance Group logo Progressive logo MetLife Auto and Home logo Travelers logo Dairyland logo Kemper logo Sublimity Insurance logo ASI American Strategic Insurance logo CSE Civil Service Employees logo CUIC Casualty Underwriters Insurance Company logo