The Magic of Compound Interest

We've all heard the term compound interest. But what does it actually look like?  Investor.gov puts it like this:

[Compound interest] can be illustrated by using basic math: if you have $100 and it earns 5% interest each year, you'll have $105 at the end of the first year. At the end of the second year, you'll have $110.25. Not only did you earn $5 on the initial $100 deposit, you also earned $0.25 on the $5 in interest. 

It all comes down to: Start saving early!  We've compiled a handy chart for you to reference, as well. And if you're ready to start investing, we can help. Contact Roxanne at Waterman Wealth Strategies (503) 524-6974.