The 20s Advantage
Every year you delay isn't just a year of missed contributions — it's a year of missed compounding on the compounding. Move the slider and watch the gap.
Roth IRA cap is $7K/yr (~$583/mo) in 2026. 401(k) cap is much higher — use that number if you have one.
7% is the long-run S&P 500 average minus inflation. Conservative-honest.
If you start at 22 instead of 29, you'll have
+$400K
more at retirement — with the same monthly contribution. Time is the asset.
Side-by-side
| Start at | Total contributed | Balance at 65 | Growth multiplier |
|---|---|---|---|
The math behind it
Compounding rewards time exponentially, not amount linearly. Starting at 22 vs. 29 isn't 30% more years — it's 30% more years of each previous year's growth growing too. That's why the same $500/mo can be worth $300-500K more or less depending solely on when you start.