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Benjamin Franklin said:
A Penny Saved is a Penny Earned.
A penny is just a penny, right? You find them in parking lots, shopping malls and restaurants. So insignificant you often don't know you've dropped them, or don't bother to pick them up.
So why would we want to save our pennies? Remember when you were a child, filling your piggy bank with pennies, nickels, dimes and the occasional quarter? It was not a lot, but you learned the value of saving money.
I took my virtual piggy bank filled with a my savings of a penny a day for one year ($3.65) and calculated how much I would have after 50 years ($182.50). Allowing a modest interest rate of 3% compounded quarterly, I would have $439.98. OK, that's still not a lot of money, I will admit. But, that is just the savings of one penny a day - one penny that might otherwise go unnoticed in a parking lot.
The point here is that small amounts add up over time, and even mighty oak trees were once acorns.
For my calculations, I used an online compounding calculator.
I was impressed that you'd calculated compound interest, then I saw your note. I'm old enough to have done that manually in my bank clerk days, though I don't remember how.
ReplyDeleteI tell my husband that if he put the money by instead of playing the lottery every week we really would be winners.
I visit your blog when I’m on ExposeYourBlog!
I agree. Out of every paycheck this year, no matter how small, I'm putting away 10%. Those pennies definitely add up!
ReplyDeleteI find that saving is easy if I never see the money. Having it take out and put into savings without me ever getting my hands on it is the only way for me!
ReplyDeleteEvery little bit helps - that's so true, Linda.
ReplyDeleteI save all of my change in a big jar until the end of the year [including pennies] and I am always AMAZED at how much money it adds up to.
ReplyDeleteAnji- Sorry to disappoint you, but there are a lot of helpful calculators online.
ReplyDeleteJayne- Saving is the key. My parents taught me that many years ago.
Linda- That is a really good strategy.
Talon- The little bits do add up.
Meleah- I have jar just for pennies. I don't get so many pennies because I use mostly use plastic these days.
Compound interest? Wow...that's impressive. Isn't it amazing what you find online?
ReplyDeleteYou are very right. I can't tell you how many times I walked by a penny without picking it up. Yet if I did, and put it aside, I could give it to someone who needs it more than I do. For some people, even $3.65 will help.
Also, think about it. If this were a "Save a Penny Campaign" and 100 people participated...$365 could be donated. Want to be the campaign manager?
Thanks for this post. You've given a challenge in your Quote post:~) I certainly will not be letting those pennies go to waste this year!
hi!!!
ReplyDeleteSara, you really can find just about anything online these days. And it is amazing just how much your spare change could add up to over the years. Don't I remember something about a "save a penny campaign" some years back?
ReplyDelete