The "Rule of 72"

Posted Monday, September 24, 2007, at 12:02 PM

The "Rule of 72" is a quick and simple way to approximate how long it will take for your money to double. Simply divide 72 by the interest rate you will receive. For example, an account earning 4% interest will double in about 18 years (72 divided by 4 equals 18).

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And then in 18 years it will be worth just about what you started with.

-- Posted by simmons on Mon, Sep 24, 2007, at 6:49 PM

As opposed to having much less money and spending power 18 years later. Gotta keep up with inflation -- or at least try!

-- Posted by chriswathen on Sat, Mar 15, 2008, at 9:54 AM