Become a Millionaire Without Doing Anything!

You've heard of the company Hardinge, McComb, Munden & Co. But have you ever thought about investing even your own small piece of money there? 
       
          Every year, just by investing in a small amount of money every month or week, or even putting a large sum of money in at the end of the year, you can EARN MONEY! I know what you're thinking right now. So how does this happen and what is this? Well, this can get you to become a millionaire by doing... absolutely NOTHING AT ALL!!! All you need to know and keep in mind of is interest. Have you ever heard of INTEREST though? Well, you basically sit there for 1 year, investing small amounts of money at times, and Hardinge, McComb, Munden & co will give you a special interest rate of 5%. But since I'm TOTALLY not a cheating employee that is trying to get more customers, I'll give you an even more special interest rate of 10%! That is... only if you're lucky enough to have me serve you.
       
          But how does this interest thing give you more money? Let's say that in one year, you put in $1000. Since your interest rate is 10%, specially in this company, you get an extra amount of $100! And something even more amazing, as even more years go on, your interest that you got from previous years also count as your depositing of money, and you get something called COMPOUND INTEREST. You get even... MORE MONEY!
          I'm pretty sure everyone out there has some money inside a little box somewhere in your house (so called "Emergency money" in some places) collecting nothing but dust and people forgetting about them. But think about the information above. There are so many DISADVANTAGES! If you gave all that money to Hardinge, McComb, Munden & Co, you get even more money out of it, instead of just leaving the money there like it's not even there. Also, when you just put your money in a box out of sight, you would still have the same amount after even 10 years past. But in Hardinge, McComb, Munden & Co, you would get hundreds of dollars more!
          
           Look at the differences of keeping your money at home and depositing it into Hardinge, McComb, Munden & Co, using these graphs.

Blue: Depositing money into our bank.

Pink: Stuffing your money in a tiny box.

What is interest? 

          It's simple. Interest is the amount of money the bank gives you back. Banks can have different interest rates, or a certain percent the bank will give you. Interest can be given daily, monthly, yearly, etc.     

 How DO you calculate interest?

          Let's say that Hardinge, McComb, Munden & Co are having a 10% interest rate this year, and you decided to deposit $1500 in the bank for a year. Keep in mind is that the more money you give to the bank, the more interest, or more money back, you get. The next year you would have $1,150 in your bank account. It's important to know that the next year, the interest is 10% of $1,150 - not $1,000, meaning you would keep building up the money for the bank to give you interest from, and as a result, you would keep earning more money. (In this example, interest is given yearly, but it can also be give monthly.) To calculate this, all you have to do is, like I said before, find the interest and add it to your previous amount of money. For example, if you deposited $1500, you would have to find 10% of $1,500, which is $150, and add 150 to 1500 (the previous amount) which would get you to $1,650 in total. That earned you $150 by doing NOTHING AT ALL!

You can also use a rate table:

(I used it to find 5% of $1000, which was $1050)

Only $100 or $150 per year?

          You're thinking that you get only $100 or $150 per year? Well, you're ABSOLUTELY WRONG! If you don't withdraw your money from your account, you get more and more money each year. But why? Well, let's say you get $1,650 from the previous year you got interest. Therefore, you won't get 10% of $1,000 again, but you will get 10% of $1650! This means, if it goes on and on without you withdrawing money from your account, in no time, you'll get MUCH more that $150 going into your bank each year.

Want more money?

          If you don't withdraw your money, you will get more money back. But this is very hard, ESPECIALLY since we have to live. Well, this is what would happen if you didn't withdraw your money. 

          If you didn't withdraw your money:

You would end up with $1277 from $1050, since you would keep building up the amount of money to get interest from it without removing, or withdrawing any more money.

If you DID withdraw your money:

(Let's say you withdrew $1000 every year.)

You would end up with $1221.03 from $1050, which is the same number you started with in the example above. You can see that even withdrawing $10, which doesn't seem like much, lessens by about $56 dollars! This is because there is less amounts of money to get the interest from.

Guess what?

          This proves that you can earn some serious money just with compound interest, especially at Hardinge, McComb, Munden & co. (You can also become a MILLIONAIRE just by depositing $1042.57 each year!)