Yesterday @digi-me recommended this compound interest calculator.
I find it useful to plan our long term investments.
Currently I have $286.47 HBD in savings. This is why I made the calculation with this value for the initial investment.
I made the calculation with a $5 HBD monthly deposit. Of course probably I will transfer much more amount to savings. So I calculated with the minimum amount. This is why I describe this as a very conservative calculation.
In theory, I will transfer at least $60 HBD per year to savings, so at least $300 HBD in the next five years. This would give $694.64 HBD interest in total in the next five years, and in theory, the investment will be $1281.11 HBD after five years.
But in practice, reaching this value hopefully will not take five years.
If I follow the above mentioned theory, then the annual interest will be above $100 HBD after the third year, and it will be above $200 HBD after the fifth year.
The calculator can show the monthly breakdown too. Theoretically the monthly interest will be above $5 HBD after the third month, and it will be above $10 HBD after $10 HBD after the 27th month, and it will be above $20 HBD after 58th month.
This calculation makes the assumption that the annual/yearly interest rate of the HBD will remain 20%.
So hopefully this will work in long term. It is visible that even a small (a regular monthly $5 HBD) transfer to savings can produce a very good result in five years.
And this calculation does not even take into account other passive income sources. For example Hive Power, SPS, SPT, SWAP.HIVE:SPS liquidity pool, Splinterlands card leasing, etc.
In practice, I hope that I will get out of poverty in the next five years, and later I will be able to build a good enough passive income to financially be able to buy, maintain/repair and live on a sailboat.
Thank you so much for every help and support to everyone.
Have a nice day. All the best. Greetings and much love from Hungary.
