When it comes to saving, time is money

Your greatest ally for saving is your age. By starting early, you will considerably increase your asset Asset: Item or amount of money belonging to a natural person. s.

The secret to saving a tidy amount every year without depleting your liquid assets Liquid assets: Money immediately accessible or assets that can be quickly and easily converted to cash.   is setting something aside all year long. You can opt for periodic payments deducted straight from your account. It's amazing how a few dollars a week or a month can grow into a substantial nest egg!

With the magic of compound interest Compound interest: Interest that is calculated on invested capital as well as on previous interest that is periodically reinvested with the capital. , here's what a savings of only $10 a week¹ could earn:

Weekly payment of $10

Time span	Capital invested Capital invested: Amount of money invested in an investment vehicle or in an asset.	Accumulated interest	Total (capital Capital: Amount of money that you have available to spend or invest.   + interest)	Capital appreciation
After 10 years	$5,200	$2,248	$7,448	43%
After 20 years	$10,400	$11,646	$22,046	112%
After 30 years	$15,600	$35,096	$50,696	225%

1. Our example presupposed a compound return of 7% a year.