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Compound Interest

How a starting balance and steady contributions grow — and how much of the final number is your money vs. the market's.

Your plan

Raise your contribution each year, e.g. alongside salary growth.

The S&P 500 has averaged ~10% nominal, ~7% after inflation, over long periods. Compounded monthly here.

Future value
You put in
principal + contributions
Growth earned
In today's dollars

Balance over time

Your contributions Growth