Financial Planning ->    Save Money   -> Save $1 million

How Much Must be Invested Today to Have $1 Million in the Future?

  # of Years & Amount That Must be Invested Today
% return 5 yrs 10 yrs 15 yrs 20 yrs 30 yrs 40 yrs 50 yrs 60 yrs
2.5% 883,854 781,198 690,466 610,271 476,743 372,431 290,942 227,284
5.0% 783,526 613,913 481,017 376,889 231,377 142,046 87,204 53,536
7.5% 696,559 485,194 337,966 235,413 114,221 55,419 26,889 13,046
10.0% 620,921 385,543 239,392 148,644 57,309 22,095 8,519 3,284
12.5% 554,929 307,946 170,888 94,831 29,203 8,993 2,769 853
15.0% 497,177 247,185 122,894 61,100 15,103 3,733 923 228

As you can see, if you could get an average return of 10% per year, you could deposit $8,519 today (yes, just one deposit) and have it grow to $1 million in 50 years.  This is the magic of compounding - earning a return from your previous returns.  You can also see that getting a 10% return, which is double a 5% return, results in a lot more than double the investment when invested for decades.

All amounts are compounded annually at the rate of returns shown above, and all amounts are pre-tax.

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