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TNT Financial Corner is written by Maureen Babin of Amarack Financial. People don't plan to fail.
They fail to plan. Who Wants to be a Millionaire? Is it possible to be a millionaire? If you weren’t born into money, haven’t won money or robbed a bank you may think it’s impossible to become millionaire, but it isn’t. There is one tried, tested and true way to be come a millionaire, it’s called the magic of compounding interest. Just how magical compounding interest works depends on three factors; - How much money you invest
- How much time you have to invest
- The rate of return you earn on your investment
So, let’s say you want to be a millionaire before you turn 50. The table below shows how much you’d need to invest monthly, using a rate of return of 12%.
| AGE | MONTHLY INVESTMENT | AGE | MONTHLY INVESTMENT | | 16 | $ 24.77 | 17 | $ 28.50 | | 18 | $ 32.78 | 19 | $ 37.72 | | 20 | $ 43.39 | 21 | $ 49.39 | | 22 | $ 57.46 | 23 | $ 66.12 | | 24 | $ 76.11 | 25 | $ 87.61 | | 26 | $ 100.68 | 27 | $ 116.14 | | 28 | $ 133.77 | 29 | $ 154.09 | | 30 | $ 177.57 | 31 | $ 204.67 | | 32 | $ 236.00 | 33 | $ 272.23 | | 34 | $ 314.17 | 35 | $ 362.77 | | 36 | $ 419.15 | 37 | $ 484.56 | | 38 | $ 560.88 | 39 | $ 649.73 | | 40 | $ 753.53 | 41 | $ 875.10 | | 42 | $ 1,017.91 | 43 | $ 1,186.24 | | 44 | $ 1,385.46 | 45 | $ 1,622.40 | | 46 | $ 1,905.82 | 47 | $ 2,247.17 | | 48 | $ 2,661.73 | 49 | $ 3,170.31 | | 50 | $ 3,802.00 | 51 | $ 4,598.80 |
As you can see the amount of money you need to invest gets larger as you get older. This happens because your money doesn’t have the same amount of time to compound, say at age 40, as it would if you began investing at age 16. Time is on your side, start investing now, you’ll be amazed how quickly your money grows.
Maureen Babin
Financial Advisor www.amarackfinancial.com
People don't plan to fail.
They fail to plan.If you have financial questions which need answering, kindly send them to
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attention Maureen and she’ll answer your questions! 
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