Example # 1 demonstrates the Rule of 72. Take the numbers seventy-two and divide it by the percent of interest or rate of return of your investment to find how long it will take to double your money.
For example, if you put your money in a bank account, historically, your rate of return would be 3%. According to the Rule of 72, you will double you money every 24 years. (72 ÷ 3 = 24)
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Here are two examples to demonstrate the calculator: Click here for the math of this Calculator.
|Example # 1 Input||Example # 2 Input|
|Monthly deposit||$0||Monthly deposit||$1,000|
|Interest rate||3%||Return on Investment||10%|
|Example # 1 Output||Example # 2 Output|
|You'll reach your goal in||24 years||You'll reach your goal in||23 years|
|Then, you'll have||$2||Then, you'll have||$1,065,549|
|Investment Gain||$1||Investment Gain||$789,549|
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