Two Doctors

September 16, 2008
Physician's Money Digest, February15 2003, Volume 10, Issue 3

The age at which you begin savingfor retirement makes a big differencein how much you will have stashedaway when you call it quits. Forinstance, if 2 doctors, one age 30 andthe other age 40, put away $200 permonth at a 9% return, the youngerdoctor would have nearly $593,000at age 65, while the 40-year-oldwould have only $226,000. Althoughno additional contributions weremade, the added value comes fromthe extra 10 years of compoundreturns. Consequently, a doctor whopostpones regular retirement savingsis making a big fiscal mistake.