Mar 6, 2013

The Power of Compounding

I'm going to be doing a presentation tomorrow to my classmates about investing while you're young. I came across this fantastic article on the Bank of Montreal Website that demonstrates the power of investing while you're young

In this example, two different investors invest $1800 a year for their retirement. However, Catherine invested while she was young, and look at the difference it makes! Peter had to invest for more than 3 times the length that Catherine did just from waiting to save.


21 comments:

  1. Your presentation on saving at a younger age was fantastic. Great advice. Looking forward to more posts - maybe some day I will have you to thank for my savings plan!

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  2. Your presentation was great and very important. I am a terrible saver and use your blog for some great ideas to help me prepare better for the future.

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  3. This graph looks awfully familiar! haha. Very valuable information though, thanks Colin! I've been investing in my RRSP since 18.

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    1. That's awesome! You'll see that add up quick as you get older!

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  4. I really enjoyed your presentation yesterday! And your blog has really made me start to consider the future. I usually get freaked out thinking too far ahead but you have helped to ease my mind :)

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    1. No need to worry. As long as you start saving earlier rather than later, it's easy :)

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  5. Great advice! I will definitely be investing and saving in RRSPs as soon as I graduate. Your presentation was also helpful, I especially liked how you mentioned that with our generation changing jobs so often, it is more important to invest for our future on our own.

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  6. Much like the principal in Catharine's RRSP account, I never lost interest doing your presentation last week. Well done sir. I'm banking on you continuing this blog into the foreseeable future.

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    1. I think it would make cents to continue it into the future.

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  7. This was such a great presentation! I've never been great with money, or even with numbers for that matter lol, but the way you explained it, it really made a lot of sense. Thanks for all the tips Colin!

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  8. I actually think you persuaded me to do this.
    I went home and explained it to my boyfriend and explained why we had to start saving!

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    1. That's awesome. Honestly, it's so easy if you just start earlier rather than later. So start now, and be stress free about it later on in life :)

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  9. After discussing this with a family member last weekend and then listening to your presentation I am convinced I need to invest in RRSP's and even have an appt set up at my financial institution. Thanks Colin!

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  10. Now I know the magic of compounding and why it pays to get started saving early. Thanks for this valuable information.

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  12. Welcomes to google terminal from Austin Texas! google snake
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