Finally, consider inflation…
Over time, your income must increase to provide the same purchasing power. For example, assuming a 4% inflation rate, an annual income of $115,000 would have to increase to just under $208,000 in 15 years in order to retain the same purchasing power it has today.
Conversely, if that $115,000 income remained level over those 15 years (again assuming 4% inflation), it would be worth only $64,000.
Every dollar you save today can help to bring you that much closer to tomorrow’s goals.
Goods cost more….Money is worth less as time goes by. How much was a gallon of gas or loaf of bread 20 years ago?
This combination kills growth…. You can help make it back up by reducing fees and NOT loses Money in the Market.