So, here's a graph I saw in my previous life as Financial Advisor and recreated. (The link is below.) We demonstrated the power of saving early, to convince people to start saving early. Initially I always thought of it as marketing, until I actually put it together in a spreadsheet.
Here's the SHOCKING part. If you look...
Person A saved $2000 a year starting at 21 and saved until 26 ($12,000). To get $1,510,252.43 for retirement.
Person B started late at 27 and had to save until 65 ($78,000). To get $1,532,182.84 for retirement.
It costs $66,000 more, because they started late, to get ONLY $21,930.41 more in savings for retirement.
If you truly think about it, it's only $77 per check every 2 weeks or $167 month or $5.48 a day to save the $2000 a year.
It's AMAZING how college graduates or even high school students aren't taught this in school.
Check out the link: https://goo.gl/3DpvFH
* Based on a rate of return of 12% per year. I'll show you how in another post! Stay tuned!
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