If there is one mantra for retiring rich, it would be – start small and early. The earlier you start saving and investing money, the higher will be the corpus.
Still doubtful?
Let’s consider the case of 30-year-old Ravi. Assuming he saves and further invests Rs. 5,000 every month for the next 30 years, his corpus at age 60 will be around Rs. 3.6 crore! (Assuming returns of 15 %).
A CRISIL study found out that Equity Mutual Funds have even given annualized returns of 23% over the last 17 years, thus even beating the CNX Nifty in terms of annualized returns by 10%.
Now, consider the case of Mohan, who is 20 years old. Assume he also saves and further invests Rs. 5,000 till he turns 60, i.e, for 40 years. Can you imagine what his corpus will be on retirement? It will be around Rs. 15. 70 crore. (Assuming 15% returns). This can be easily calculated by the Power of Compounding Calculator.
At retirement, Mohan will be richer than Ravi by Rs. 12 crore because of the power of compounding. Albert Einstein even termed this power of compounding as the eighth wonder of the world. He further said that those who understand this power earn money, and those who don’t, pay for it.
Which category do you want to belong to?
Decide how much money you can save every month, login to the portals of any leading Financial Services company and check their Power of Compounding Calculator and further invest in any of the Mutual Fund schemes of top performing Fund houses.
Let’s not regret during the autumn years.
Still doubtful?
Let’s consider the case of 30-year-old Ravi. Assuming he saves and further invests Rs. 5,000 every month for the next 30 years, his corpus at age 60 will be around Rs. 3.6 crore! (Assuming returns of 15 %).
A CRISIL study found out that Equity Mutual Funds have even given annualized returns of 23% over the last 17 years, thus even beating the CNX Nifty in terms of annualized returns by 10%.
Now, consider the case of Mohan, who is 20 years old. Assume he also saves and further invests Rs. 5,000 till he turns 60, i.e, for 40 years. Can you imagine what his corpus will be on retirement? It will be around Rs. 15. 70 crore. (Assuming 15% returns). This can be easily calculated by the Power of Compounding Calculator.
At retirement, Mohan will be richer than Ravi by Rs. 12 crore because of the power of compounding. Albert Einstein even termed this power of compounding as the eighth wonder of the world. He further said that those who understand this power earn money, and those who don’t, pay for it.
Which category do you want to belong to?
Decide how much money you can save every month, login to the portals of any leading Financial Services company and check their Power of Compounding Calculator and further invest in any of the Mutual Fund schemes of top performing Fund houses.
Let’s not regret during the autumn years.
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