Create your own plan to turn $1000 into $50,000 (then onto $1,000,000!) Compound Interest Explained

What If Advice Financial, Healthy Wealthy, Investing, Money Leave a Comment

What if… you have $1000. If you invest it… and get a 7% return each year, it will turn into 1 Million Dollars! (In only 100 years! 😉)

 

HOWEVER, add $100 per week and it will only take you 39 years! In this video we talk about how to create a plan to turn your $1000 into something more… all thanks to the magic of compound interest!)

 

The calculator we’ve used is from the calculator site: https://www.thecalculatorsite.com/fin… We’ve used ‘monthly compounding’ – this will vary depending on the type of investment. Some of the basic numbers from the video:

$1000 + $0 per week + 0% return + 50 years = $1000

$1000 + $0 per week + 7% return + 50 years = $50,000

$1000 + $0per week + 7% return + 100 years = $1,000,000

$1000 + $100 per week + 7% return + 7.5 years = $50,000

$1000 + $100 per week + 7% return + 39 years = $1,000,000

 

We haven’t factored in, tax, CPI, inflation and a number of other factors – this is just a starting point to create a plan and/or a savings goal! This is not personal financial advice. If you need help, see a financial adviser or contact us on info@whatifadvice.com.au

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