Interest

1. If you put $500 into a regular savings account in the bank when you are 18 years old, and add $50 each month, how much will you have when you are 68 years old (50 years later)?

A:$39,500.23

2. If you put $500 into a regular savings account in the bank when you are 30 years old, and add $50 each month, how much will you have when you are 68 years old (38 years later)?

A:$28,301.40

3. If you put $500 into a regular savings account in the bank when you are 40 years old, and add $50 each month, how much will you have when you are 68 years old (28 years later)?

A:$19,938.10

4. If you put $5000 into a regular savings account in the bank when you are 30 years old, and add $500 each month, how much will you have when you are 68 years old (38 years later)?

A:$283,013.98

5. If you put $5000 into a regular savings account in the bank when you are 40 years old, and add $500 each month, how much will you have when you are 68 years old (28 years later)?

A:$199,381.03

6 If you put $2,500 into a regular savings account in the bank when you are 18 years old, and add $25 each month, compounded quarterly, how much will you have when you are 68 (50 years later)?

A:$23,550.02

This makes me think that it is very worth it to have any kind of savings account, because over long periods of time, you can make a lot of money. Also, the earlier you start, the more money you make. It is not a linear addition. (10 years = 10,000 dollars) The more money you can put in to start means more interest, as the amount you add doesn't make as big of a difference in the overall total.