Now, people are all over the map in lifestyle, incomes and retirement ages, but living another dozen years. So, if they wish, the $10,000 they saved in their 20s, having earned returns for 3 more decades, can now sit there for another decade earning even more, compounding. The geriatric will still have years to spend it.
A lesson to be drilled into young kids. Save now, play later. Do as I say now, not as I did then.
How does one instill the lessons of compounding interest into the young, who generally have low incomes and are intent on spending their cash on fun? Should parents save for them, or are no lessons learned that way?
If I had any idea about how to manage money when I was in my 20s, I'd be roaming the world in my in my private jet after becoming a 5% owner of Q in 1996 and selling it all on December 29, 1999.
Well, let's be a little more realistic.
I'd be flying first class all over the world. |
