• Home
  • Personal Finance
  • Investing
  • Business
  • Career
  • Consumer
  • Debt
  • Lifestyle
  • Retirement
  • Taxes

Personal Finance News

Latest News About Personal Finance

  • Blogger Net Worths
  • Top Personal Finance Blogs
  • Blogroll

Earn An Extra $15,500 By Not Procrastinating

March 17, 2016 Leave a Comment

According to a 2013 study by the Investment Company Institute, about 40 percent of U.S. households own an IRA, holding more than $5.7 trillion in these accounts. Normally investors have a 16-month window between January and the following year’s April to make an IRA contribution for a given tax year. Many IRA investors wait until the last minute to make contributions. Vanguard completed an anlysis and found that over 30 years period you could earn an extra $15,500 by contributing early in January instead of procrastinating until April of the following year to contribute. The extra $15,500 assumes each investor contributes $5,500 for 30 years and earns 4% annually after inflation. Procrastination has a cost by missing out on a year’s worth of tax-advantaged compounding. To reduce procrastination, investors should set up automatic investments to make it easy to contribute regularly. (vanguard.com)

Related

Leave a Comment Cancel reply

Must Read

  • What's the Recommended Temperature for Vacant Home in Winter?
  • How to Reach a Live Person at IRS to Resolve Tax Problems
  • How to Refinance a Paid Off Car
  • How to Cash Out Pension Plan Early
  • Amazon Cash: Now You Can Pay With Cash on Amazon
  • Professional Panda Cuddler as the World's Best Job for $32,000 per Year
  • Two-Thirds of Americans Live Paycheck to Paycheck
  • 61% Now Living Paycheck to Paycheck
  • Half of Americans Are Just One Paycheck Away From Financial Disaster
  • Mark Cuban Explains How to Make a 16% Guaranteed Return

Recent Posts

  • More Americans Are Using ‘Buy Now, Pay Later’ Services To Pay for Groceries
  • 5 Tips To Get The Best Value On An Insurance Policy
  • 61% Now Living Paycheck to Paycheck
  • 36% Earning $100,000 or More Living Paycheck to Paycheck
  • Two-Thirds of Americans Live Paycheck to Paycheck
  • The Hit to Your Pocketbook From Higher Gasoline Prices: $2,000 a Year
  • Uber Now Lets You See How Many One-Star Ratings You Received From Drivers
  • Survey: 7 In 10 Americans Living Paycheck To Paycheck

Connect With Us

  • Facebook
  • Twitter
Home · About · Terms · Privacy · Contact · Copyright © 2023 · Personal Finance News