If You Put $300 in Your IRA Every Month for 20 Years, You Could Have This Much Cash by Retirement
When time is on your side, slow and steady wins the race.
Do you feel like you can't save enough money for retirement for it to matter? Don't fall into this trap! It often requires sacrifice and dedication to build a comfortable nest egg. And those who already have one usually grew their portfolio by taking small, steady steps. They may have started out with surprisingly modest sums of money too.
So, what would a $300 monthly purchase of an S&P 500 index fund in a tax-deferred IRA be worth 20 years in the future? More than you might think.
We must make one key assumption in this hypothetical scenario -- the S&P 500 will continue generating an average annual return of about 10%. Bear in mind the index's performance in any given year can vary widely, including losses about one out of every three years.
