00:00Investing $100 per week for 20 years will grow to roughly $180,000 to $330,000 depending
00:07on your rate of return, but only $104,000 of that is money you actually contributed.
00:13The rest is compound growth, and the outcome is an estimate, not a guarantee.
00:18The math.
00:19$100 per week equals $5,200 per year, so over 20 years you deposit exactly $104,000 regardless
00:27of returns.
00:28Using compound growth, future value of an annuity, here's how the final total shifts
00:33by assumed annual return.
00:351.
00:36At 5%, a conservative bond-heavy portfolio, you'd end with approximately $178,000.
00:432.
00:44At 7%, commonly cited as a long-term stock market average after adjusting for inflation,
00:50approximately $227,000.
00:523.
00:53At 10%, the S&P 500's rough historical nominal average before inflation, not adjusted for
01:00it, approximately $331,000.
01:03The gap between these scenarios, over $150,000, shows why the assumed rate matters more than
01:10the weekly amount itself.
01:11Context changes this significantly.
01:13These figures assume consistent weekly investing with no missed contributions, reinvested dividends,
01:20and ignore taxes, fees, and inflation, which historically runs 2-3% annually and erodes real purchasing
01:27power.
01:28Meaning $330,000 in 20 years won't buy what $330,000 buys today.
01:33Market volatility also means actual returns won't be a smooth annual percentage.
01:39Some years will be negative, some sharply positive, and the sequence matters less over
01:4420 years than it would over 5.
01:46I can't verify current 2026 market conditions or predict future returns.
01:51So treat all three figures as illustrative scenarios, not forecasts.
01:56Practically, don't fixate on a single number.
01:58Model your own outcome at 5%, 7%, and 10% to understand your realistic range.
02:05Automate the weekly contribution so it happens regardless of market mood, and revisit the plan
02:10annually rather than reacting to short-term swings.
02:13Finally, remember that everything we discussed today is for educational purposes only and does
02:19not constitute financial advice.
02:21Good luck to everyone, and see you in the next video.