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Lenawee Co Michigan | Compounding interest is great. However I hate to become down on savings and investing but....fractional interest rates for many years now, plus any growth on the principal is taxed, I think we are all just losing ground trying to invest in anything. When you factor in REAL inflation and REAL taxes against your accounts, we are actually falling behind trying to save and invest.
A bad message for young people but just plain being honest. My first bank account paid 5% interest and first CD was at 16.5%. Figured against inflation and taxes it was probably breakeven holding money at those rates. Today's rates and taxes make it a loss in real future buying power. | |
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witholding taxes
