http://www.silverbeach.com/Money/archives/27 Thoughts by an Engineer on How Money Works and How to Make the Most of What You Have Mon, 06 Feb 2012 08:01:56 +0000 http://wordpress.org/?v=2.0.4 http://www.silverbeach.com/Money/archives/27#comment-807 Mon, 23 Apr 2007 23:52:14 +0000 http://www.silverbeach.com/Money/archives/27#comment-807 [...] Because of the magic of compounding we now have $8441.28 growing for the next 20+ years simply by putting that money in early rather than later. If we had waited to fund our Roth IRA we’d have missed that gain. But remember those folks who waited to fund their 2006 contribution until April 15th missed that $441 gain, but they missed it with both their 2006 and 2007 contribution. Thus my wife and I are $882 richer because we funded early in both 2006 and 2007 than if we had waited until the last minute. And it’s all tax free, my favorite kind of money. [...] […] Because of the magic of compounding we now have $8441.28 growing for the next 20+ years simply by putting that money in early rather than later. If we had waited to fund our Roth IRA we’d have missed that gain. But remember those folks who waited to fund their 2006 contribution until April 15th missed that $441 gain, but they missed it with both their 2006 and 2007 contribution. Thus my wife and I are $882 richer because we funded early in both 2006 and 2007 than if we had waited until the last minute. And it’s all tax free, my favorite kind of money. […]

]]>