Compound Interest ROCKS!

Jakg

I'm currently saving £200 a month (job + living with parents and free rent is great for saving ), but at the same time I was aiming for the smallest possible figure that would make a big lump sum at the end (i.e. £100k) - plus saving £42 could be done just by changing your mobile phone contract and broadband supplier / budgeting a little better...

tired_2

If you can't find a savings vehicle to beat inflation after tax (like now), then you won't make a penny.

iamesbo

tired wrote: »

If you can't find a savings vehicle to beat inflation after tax (like now), then you won't make a penny.

Just buy loads of tins of beans or something like that.

TRUSt_NO_1_2

Jakg wrote: »

blah blah blah compund interest.

My Mum used to go to the pictures and have something to eat for 3d (that's old pence) which is £0.0125 (one and a quarter pence)

Save away,but forget the Ferrari.
Maybe a Metro.

[Deleted User]

Inflation will ensure your 25K that has become 75K thanks to compound interest with be worth 12K.

Money is the only legal pyramid selling scam.

Riq

You really do sound as if you have just read a maths textbook and have become giddy with excitement about the compound interest function on a calculator...


ANS*1.05 = = = = = = = etc etc

pumpndump

Way to go, Jakg.

Einstein called compound interest the eighth wonder of the world.

and that's why

GENTLEMEN PREFER BONDS

Get rich slow, man.

StevieJ

Your next lesson is DCF

amcluesent

Anyone starting now is going to face peak oil, peak food, peak water, global pendemics, the mohammedans using nuclear bombs in our cities and we're overdue a big meteorit hit. you'd be mad to save.

EalingSaver

pumpndump wrote: »

Einstein called compound interest the eighth wonder of the world.

I believe Einstein was once asked "Whats the most powerful force in the Universe". His response was "Compound Interest".

Pity the same questioner didn't followup with "Whats the most destructive force in the universe" as I'm sure his reply would have been "Compound inflation".

And that in a nutshell is why you should max your tax free wrappers and not allow your savings to sit in poor rate funds. Or give to b****** who'll lose it all for you.

Keep saving.