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The Power of Consistent Savings

September 15, 2017

The Power of Consistent Savings

By Rob Taylor


Everyone is told to save for retirement early. Everyone is told to save consistently.

You may wonder: just what kind of difference might an early start and ongoing account contributions make?

I’ll share some eye-opening numbers to show you (and you can verify them simply by using the compound interest calculator at, the Securities and Exchange Commission’s website).

If you are 30 years old and contribute $200 a month to a tax-deferred retirement account (initial investment of $200, then $200 per month thereafter), you will have $333,903.82 by age 65, if that account consistently returns 7% a year. (This is with annual compounding.)

If you change one variable in the above scenario – you start saving and investing at 25 years old instead of 30 – you will have $482,119.16 by age 65.

Start at 20 years old and you will have $689,998.84 by age 65.

An early start really matters. It gives you a few more years of compounding – and the larger the account balance, the greater difference compounding makes.

These are simple scenarios, but the impact of consistent saving and investing is undeniable. Over time, it may help you build a retirement account that could become a significant part of your retirement savings.

Are you saving enough? Be sure to find out. Contact me, and we can arrange to schedule a chat where we can take a look at the progress you have made, and whether your current efforts will have the potential to help you realize your goals.


This material was prepared by MarketingPro, Inc., and does not necessarily represent the views of the presenting party, nor their affiliates. All information is believed to be from reliable sources; however we make no representation as to its completeness or accuracy. Please note - investing involves risk, and past performance is no guarantee of future results. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional. This information should not be construed as investment, tax or legal advice and may not be relied on for the purpose of avoiding any Federal tax penalty. This is neither a solicitation nor recommendation to purchase or sell any investment or insurance product or service, and should not be relied upon as such. All indices are unmanaged and are not illustrative of any particular investment.

DISCLAIMER: The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of Global View Capital Advisors. LTD (GVCA) or any of its affiliates.