In the journey to learn more about personal finance and investing, you more than likely have heard someone preach about “the power of compounding”. They talk about it with such praise and conviction, but it’s not until you see actual numbers and graphs that you stand there in AWE at the true power of compounding. With compounding…time is your friend. The earlier you start, the better off you will be with your investments. I’m twenty-six and I feel like I started very late. Below is an animated visualization (courtesy of Vanguard) that shows the true power of time and compounding. Honestly, I wish I had seen this earlier in my life before I meaninglessly squandered any money I had. Want to help your spouse/child/family member/co-worker/student/etc.? Show them this, I bet it will open their eyes and change their outlook on money.
click to play