Ramit Sethi shows why starting early matters more than investing more later. Person A invests $200 a month from age 20 to 30, then stops. Person B invests $200 a month for 20 years starting at 45. Person A ends up with $260,000 more because compound growth has decades to work.
This is why investing earlier is so powerful that you can even beat someone who makes way more money. Let's say Person A invests $200 a month for 10 years starting at age 20, and then they stop completely. Person B invests that same amount for 20 years. That's twice as long, but they start at age 45. That's quite common. Sometimes you have these outliers who start investing early, and then you have much more commonly people who start getting serious about investing around their 40s. But what is the result? Person A, who stopped investing at age 30, ends up with over $260,000 more than Person B. And Person B invested for twice as long, but they started later.
