In this episode, we talk about:
- Warren Buffett’s secret to getting ultra-wealthy
- How a penny doubled every day for 30 days is better than $1 million
- How choosing not to invest when you’re young will drastically decrease your money at retirement
- How small fees on your investments will greatly decrease your money at retirement
- The Rule of 72
Listen to this episode on:
- Compound Interest definition
- A Penny Doubled
- Why do I use a 5% rate of return in this episode?
- It is the same rate I used in the “How Much Should Millennials Save” episode.
- It is the approximate compound annual growth rate adjusted for inflation for stocks from 1970 to 2015 of 6%, adjusted for a 15% capital gains tax rate.
- Download this spreadsheet to calculate compound interest on your investments.
- Rule of 72