I’m sure most of you have heard about the benefits of compound interest.

Compound interest is when the interest you earn on a savings or investment balance is reinvested, leading to exponential growth in your money. It’s like your money making more money.

However, what is lesser known is looking at it through the lens of what it means to save more a few years before retirement.

So the question I plan on tackling today is how much earlier can you retire based on the change in savings rate, 10 years or so from retirement.

In today’s 2-minute video, I show you how compound interest works and how it can be used for early retirement.

Serge Berger

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Source: Investors Alley