Compound Interest Examples

Compound interest means earning interest on both the original investment and the accumulated interest.

Example 1

$1,000 invested at 7% for 30 years becomes about $7,612.

Example 2

$5,000 invested at 7% for 30 years becomes about $38,000.

Example 3

$500 invested monthly for 25 years can exceed $400,000 depending on returns.

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