Committing Concepts: Compound Awareness [Get Started] | Phil Township

When interest is compounded, rather than paid linearly, the overall size of the investment grows exponentially faster. The effects are harder to see in the early years, but eventually, they become quite pronounced. In this video, I explain how compound interest works.

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16 Antworten auf „Committing Concepts: Compound Awareness [Get Started] | Phil Township“

  1. How does compound interest works in Stocks?
    Let's say I bought One share of a company for $100 & after 20 years its market value is triple, means even after 20 years I will have only $300 if I sell it?
    Doesn't seems impressive when it comes to Stocks, or Am I missing something?

  2. Let’s say o have a broker and it’s free and I put in 1000 dollars and I let it sit for 25 years or so will that investements compound itself or do I have to do something. Basically if I bout an Apple stock and let it sit for 15 years would I have to do anything to make it compound or does do it by itself

  3. I fooled around with a compound interest calculator last night using the idea of adding $6,000 per year to an IRA. A new set of doors were blown open in my mind. I'm 37 years old, and with a rough guess I've probably squandered between $40k and $100k during the last 20 years (i.e., money spent on things that weren't completely necessary). This was a painful realization when I fooled with the calculator! I've had an IRA since I was 24 but never understood how incredible it would have been if I'd maxed out contributions from the start. That'll be changing starting this tax season! Thanks Phil.

  4. When I was in my 20s I participated in the 401k at the company I worked for. They also had a stock purchase plan where we could purchase at a 20% discount. A customer I had at the time who was a financial advisor just causually told me what I could do at my age to get in great financial shape. I did kind of the Dave Ramsey thing of paying off all my debt. I then did some investing when the market tanked in 2008. This allowed me to follow a calling I felt God had for me for many years and left secular work to do ministry to undocumented Hispanics in the US. About 10 years ago I moved to Latin America to do long-term mission work. That is what I am currently doing. I was able to purchase a home and vehicle in cash where I now serve due to my savings and investments. I am investing 15% of my salary using the principles you teach. I feel that God has worked through these principles to help me to serve others. Due to passive income growth I have not needed as much salary from my church nor do I ask for raises as often as I would otherwise. My plan is by the time I am 59.5 be financially independent so churches do not need to support me anymore. Be blessed!

  5. Hi Phil. Thank you for your very informative videos.

    Please correct me if my understanding is wrong. From how I understand it, stock market investing can be both simple and compound interest depending on your investment strategy.

    Compound interest.
    This is for traders (short/long term) who invest and reinvest the earning from previous trades.

    Simple interest.
    Buying-Holding-Selling. Usually found in retirement pitch from the financial agents.

    I would appreciate the inputs of everyone.


  6. Phil does not care about his SUBSCRIBERS, cause I reading all the posts, and he never reply or comment on them. His just compouding on you all…NOT ME, I will not subscribe until I see him replying…..this is a minimum of respect, event if infos is good!

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