Compound Interest articles

How Much Difference Does an Extra $100 a Month Make?

An extra $100 a month adds up to $1,200 a year. Over 30 years, that is $36,000 of additional contributions. But when those contributions earn returns that stay invested, the difference in the ending balance can be much larger. How much larger depends on the rate, time horizon, contribution timing, and taxes. The number on the screen also needs a second question: what could that future balance buy? …