Desjardins Credit Union [Change site]
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:
Time span |
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% |
 |
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