3 Financial Facts To Be Grateful For This Thanksgiving

Thanksgiving is a time of reflection and gratitude. In my family, we start off by going around the table and saying things that each of us are grateful for, such as our health, our family, our successes for the year, and our friendships. This is a discussion of three financial facts you can add to your gratitude list this Thanksgiving.

Compounding Interest

Albert Einstein once said, “Compound interest is the eighth wonder of the world.” The reason that one of the smartest men in history regarded compounding interest so highly is that it gives investors the power to create more wealth than they thought possible with even small savings amounts. Compounding interest is easily illustrated by the Rule of 72. This rule states that if you take the number 72 and divide that number by your annualized returns, that is the approximate number of years it takes for your money to double.