Wednesday, May 2, 2012

Cost of Delay - Senario 3

1. Both Prospect A and B are age 30, they want to save for their retirement by the age of 55.

2. Prospect A saves 25 years with payment amount of RM6,000 with 8% interest.

3. Prospect B delays his saving 5 years later. He pays continuously until the age of 55 with the same payment amount and interest as Prospect A.

1. Prospect A gets RM473,726.48 by the age of 55 with an amount of RM150,000 invested.
2. Prospect B is Postponing 5 years and he would get RM296.537.53 by the age of 55 with an amount of RM120,000 invested.
3. Although Propect B pay RM30,000 lesser than Prospect A, but Prospect A earn RM177, 188.95 more than Prospect B.  

Click to enlarge the picture

                                                           Click to enlarge the picture

The sooner you start, the MORE you get ;)


Tan Min Chin, CH3


  1. that me.. start saving when u still baby

    1. too bad... i m not baby anymore :P