The Rule of 72
The Rule of 72 has been mentioned on Personal Finance blogs before - and by no means should we forget it!
This simple rule is how long it would take your money to double at a given interest rate by dividing the interest rate into 72. The link above is to a handy calculator if you don’t think you can handle the math (and when you are dealing with 5.06% interest, it’s understandable you may need some help!). Initially, it seems like a pointless calculation - unless you start hearing people discussing doubling your money (or you’re wondering how much interest you’ll be needing in order to double your money by a certain time - maybe you’re saving up for a vacation, a car, or something similar?)
I’ll be revisiting this rule in the near future!
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