Results 1 to 2 of 2
    • Member Info
      • Native Language:
      • Korean
      • Home Country:
      • South Korea
      • Current Location:
      • South Korea

    • Join Date: Jun 2007
    • Posts: 1,271

    direct deposit

    Please make the following in red clear for me.

    If in your mid-twenties you put $10,000 into stocks in a tax-deferred account such as IRA, reinvested dividends and capital gains, and made no more direct deposits, you would have accumulated well over $350,000 by your mid-sixties.

    Is this saying "in order to accumulate a lot of money in the future, you must not have your salary or other payments directly transferred to your account. You have to invest them in somewhere else?"

    Thank you.

    • Member Info
      • Native Language:
      • American English
      • Home Country:
      • United States
      • Current Location:
      • United States

    • Join Date: Apr 2009
    • Posts: 12,312

    Re: direct deposit

    No, it is saying that the original investment of $10k would grow into $350k with no more investments added.

    It is typical for someone saving for retirement to put away something (a "direct deposit") from every paycheck. So, the point is that by adding to the investment on a regular basis, you would end up with much more than $350k.

Similar Threads

  1. Replies: 0
    Last Post: 29-Apr-2012, 09:18
  2. two months’ security deposit
    By suprunp in forum Ask a Teacher
    Replies: 1
    Last Post: 26-Jan-2012, 09:19
  3. check and deposit, what do they mean?
    By newlife in forum Ask a Teacher
    Replies: 1
    Last Post: 09-May-2009, 13:01
  4. [General] deposit in the mail
    By jesson cui in forum Ask a Teacher
    Replies: 1
    Last Post: 15-Aug-2008, 11:49
  5. deposit with?
    By joenuts in forum Ask a Teacher
    Replies: 3
    Last Post: 27-Jul-2006, 12:33


Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts