Growth
Savings &
Investments
The single most powerful financial decision you can make is to start saving and investing early. Time in the market beats timing the market — every time.
The single most powerful financial decision you can make is to start saving and investing early. Time in the market beats timing the market — every time.
Follow this priority ladder. Each rung builds the foundation for the next. Don't invest until you've covered the earlier steps.
Keep 3–6 months of essential expenses in a high-yield savings account. Not in your checking account. Not invested. Available within one business day. Boring and essential.
Calculate mineAlbert Einstein allegedly called compound interest "the eighth wonder of the world." Whether he said it or not, the math is extraordinary.
| Monthly Contribution | After 10 yrs | After 20 yrs | After 30 yrs |
|---|---|---|---|
| $100 | $17,384 | $59,295 | $156,929 |
| $300 | $52,153 | $177,885 | $470,787 |
| $500 | $86,922 | $296,474 | $784,644 |
| $1,000 | $173,845 | $592,947 | $1,569,289 |
Assumes 7% annual return, monthly compounding. Past performance doesn't guarantee future results.
You don't need to understand all of them. But knowing the basics of each helps you choose the right tool.
"Do not save what is left after spending, but spend what is left after saving."
How much should you have saved by each age? These guidelines from Fidelity are widely used as a starting point.
| Age | Savings Target | Based On |
|---|---|---|
| 30 | 1× annual salary | You should have saved one year's income |
| 35 | 2× annual salary | Mid-career build phase |
| 40 | 3× annual salary | Acceleration phase |
| 50 | 6× annual salary | Home stretch begins |
| 55 | 7× annual salary | Fine-tune spending |
| 60 | 8× annual salary | Target retirement readiness |
| 67 | 10× annual salary | Recommended at full retirement age |
Use the compound interest calculator to project your wealth based on your current savings rate.