Invest $7,000 at 5% interest for 13 years

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Understanding Long-Term Investments

Investing for the long term can be a powerful way to build wealth. When you invest $7,000 at a 5% annual return for 13 years, you're harnessing the power of compound interest. This means you're earning returns not just on your initial investment, but also on the accumulated interest over time.

It's important to note that while historical stock market returns have averaged around 10% annually before inflation, actual returns can vary. Always consider your risk tolerance and diversify your investments to manage potential market fluctuations.

Use our calculator to experiment with different scenarios and see how changes in your initial investment, interest rate, or investment duration can affect your potential returns. Remember, this is a simplified calculation and doesn't account for factors like taxes, inflation, or varying market conditions.