The Rule Of Seventy-Two And Investing

How long will it take you to double your money?

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Use the “rule of 72” when calculating how long it will take to double your money, given a specific and fixed rate of return.

You take 72 and divide it by the annual rate of return you are receiving. For example — at a 5% return (72/5), it will take 14.4 years to double your money. Increase the rate of return to 6% and you will reach your doubling goal in 12 years.