Comments on: How much of a difference does 1% make? http://www.moneymythos.com/2007/05/15/how-much-of-a-difference-does-1-make/ A narrative financial and investment column Fri, 21 Nov 2008 13:42:52 +0000 http://wordpress.org/?v=2.6.2 By: Jon @ Money Mythos http://www.moneymythos.com/2007/05/15/how-much-of-a-difference-does-1-make/#comment-22 Jon @ Money Mythos Wed, 16 May 2007 12:17:33 +0000 http://www.moneymythos.com/2007/05/15/how-much-of-a-difference-does-1-make/#comment-22 Well, if I, say, won the lottery and took my $10,000 monthly payouts and invested them, I would earn an extra $450 over the course of one year at 6% compared to 5%. Again, in the scope of things (that's an extra $450 from a total of $122,000 invested), the extra gain from that extra percent isn't all that much. But this is just over the course of one year. As with the $1000 a month, the $10,000 a month would also see huge gains over the course of 5 years in an account that had an extra percentage point in interest. Well, if I, say, won the lottery and took my $10,000 monthly payouts and invested them, I would earn an extra $450 over the course of one year at 6% compared to 5%. Again, in the scope of things (that’s an extra $450 from a total of $122,000 invested), the extra gain from that extra percent isn’t all that much.

But this is just over the course of one year. As with the $1000 a month, the $10,000 a month would also see huge gains over the course of 5 years in an account that had an extra percentage point in interest.

]]> By: Around the PF Blogosphere: May 15, 2007 | The Sun’s Financial Diary | A Personal Finance Blog on Saving and Investing http://www.moneymythos.com/2007/05/15/how-much-of-a-difference-does-1-make/#comment-21 Around the PF Blogosphere: May 15, 2007 | The Sun’s Financial Diary | A Personal Finance Blog on Saving and Investing Wed, 16 May 2007 01:46:03 +0000 http://www.moneymythos.com/2007/05/15/how-much-of-a-difference-does-1-make/#comment-21 [...] Money Mythos is also considering getting a FNBO account, but wondering how much of a difference 1% makes. The difference will be big if the basis is [...] [...] Money Mythos is also considering getting a FNBO account, but wondering how much of a difference 1% makes. The difference will be big if the basis is [...]

]]> By: Joe http://www.moneymythos.com/2007/05/15/how-much-of-a-difference-does-1-make/#comment-20 Joe Tue, 15 May 2007 22:31:52 +0000 http://www.moneymythos.com/2007/05/15/how-much-of-a-difference-does-1-make/#comment-20 What happens if you have $10,000 to save? What about 100k? How much of a difference is it then and would that matter to you? What happens if you have $10,000 to save? What about 100k? How much of a difference is it then and would that matter to you?

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