Why Is Compound Interest Important To Us....

Compound interest on your investments can build up into a nice little pile of money over time. The chart below shows how a modest 5% rate of return can add up.

Earnings at 5% Rate of Return	Monthly Investment	Monthly Investment	Monthly Investment
	5 years	10 years	20 years
$5,000	$73.52 a month	$32.20 a month	$12.16 a month
$10,000	$147.05 a month	$64.40 a month	$24.33 a month
$20,000	$294.09 a month	$128.80 a month	$48.66 a month
$50,000	$735.23 a month	$321.99 a month	$121.64 a month

In the above table, if you invested just $121.64 a month for 20 years, and earned a modest 5% rate of return on that money; you would then have $50,000 dollars.