The Rule of 72
This formula is used to estimate how long it will take to Double your money based on an interest rate. Simply divide 72 by the interest rate and you will get the number of years.
Example:
| Interest Rate | Period to Double |
|---|---|
| 4% | 18.0 years |
| 5% | 14.4 years |
| 6% | 12.0 years |
| 7.2% | 10 years |
| 8% | 9.0 years |
| 9% | 8.0 years |
| 10% | 7.2 years |
The Rule of 114
This formula is used to estimate how long it will take to Triple your money based on an interest rate. Simply divide 114 by the interest rate and you will get the number of years.
| Interest Rate | Period to Triple |
|---|---|
| 6% | 19.0 years |
| 8% | 14.3 years |
| 10% | 11.4 years |
| 12% | 9.5 years |
The Rule of 144
This formula is used to estimate how long it will take to Quadruple your money based on an interest rate. Simply divide 144 by the interest rate and you will get the number of years.
| Interest Rate | Period to Quadruple |
|---|---|
| 6% | 24.0 years |
| 8% | 18.0 years |
| 10% | 14.4 years |
| 12% | 12.0 years |
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