James Laughlin explains how compound interest makes retirement achievable on less than you think. Saving just $1 a day grows to $20,000 by age 18 and over a million by retirement. Einstein called it the eighth wonder of the world.
There is this incredible force. You know, Albert we've mentioned, Albert Einstein called it the eighth wonder of the world. It is. It's compounding interest. It's incredible if you start saving a little bit of money, how quickly that adds up. Now I'm going to get these numbers a little wrong, right, because I don't have the calculators here. But you can go on to Sorted all Money Hub and work this out really quickly. But for example, if a kid born today had $1 a day saved in their kiwisaver, they'd have something like $20,000 by the time they were 18, right? That then becomes well over a million dollars by the time they've retired if you just save the traditional kiwisaver amount. And the important thing is it's almost like Warren Buffett. He's a really interesting phrase. He says I like to be almost negligent with my investments. Like I just want to buy them and hold them forever.
