Do What Einstein Said and Becoming a Millionaire is Easy

Albert Einstein was not known for his wealth, but asides from his numerous achievements in Physics, he was also known for having said the following about wealth and money:

“Compound interest is the eighth wonder of the world. He who understands it, earns it … he who doesn’t … pays it.”

Einstein was born in 1879, and he died in 1955 at age of 76. If he invested $1 each year after his birth. Compounded at a rate of return of 10%, his investment of $1 each year would have become $15,379 at age 76, or just about $10,000 at age 72.

In other words, if he invested $100 each year instead $1? He could become a millionaire at age 72.

I do not know what kind heritage Einstein left behind. Just in case he did not do what he said, we can start early to invest.

Of course, $100 in 1879 or Einstein’s time was a lot of money, more than a month’s salary for most people. On the other hand, one million dollars is not what it used to be. That is another topic — inflation.

Share Button