Work out compounding missed years cost instantly with clear inputs, formula shown and shareable results.
Money left idle does not simply lose those years' returns — it loses the compounding those returns would themselves have earned. Six idle years at 10% costs roughly three quarters of the original amount over a further twenty.
Compounding lost
Loss = amount × [(1+r)^(missed + remaining) - (1+r)^remaining]
Figures are estimates for planning only. Prices, returns, inflation and personal circumstances all change. This is not financial or tax advice — speak to a qualified adviser before making decisions.
Because the early years are the base on which all later growth builds. Losing them shifts the whole curve down.
No. Emergency cash serves a purpose — this applies to money with no near-term use sitting uninvested.