Part 5/8:
Assume a 30-year-old starts with zero investments and contributes €200 monthly, with an expectation of an annual profit of 9%. Over 35 years until retirement, this individual could amass a final balance of approximately €736,000, embodying the power of compounded returns.
Age 40: It’s Still Worthwhile
For those starting at age 40, the investment window reduces to 25 years. The total investment ends up being €88,000, yielding a final balance of €273,000. While this may seem lesser compared to the returns of starting at 30, it still represents significant financial growth against simply keeping money in a bank.