Apply compound interest to your life

I know that every time you read 'compound interest,' you associate it with investment. But what if I told you that there is an investment that requires no money and can beat the greatest return you could imagine? Delve with me into the power of compound interest in daily life.

What is the compound interest?

I will try to don't have to be very academic, and don't explain with math. In short words the compound interest is the interest accumulated that produces more interest.

Let's see an example, don't worry you don't have to understand the math. Imagine that you invest 100 $ monthly at 8% APR. The following chart obtained from Investor.gov shows the difference between applying compound interest and not.

But how this works in the daily life?

I know I said I wouldn't write about money, and the first example had to involve it. But that was just to highlight the power of this concept. Now, let's shift our focus away from money.

We have two main resources: money and time. If today we're setting money aside, then the only resource left is time. Where are you investing your time? How are you managing it? Take a moment to answer these questions for yourself, and be honest.

It's hard for me to remember exactly when I began investing time in myself. However, I do recall starting to go to the gym when I was 16 years old. That lifestyle change led to the implementation of other habits, so we can use that date as the starting point.

That date was 8 years ago, wow, it's hard to realize. I was so young, but I remember how I imagined myself in the next 5 years and I have hardly overcome.

Well, back to the main point before I get distracted. At that age, my close friends also made changes in their lives, unfortunately, not in the same direction. I don't know about the rest of the world, but in Spain, at that age, a high percentage of young people start doing drugs.

That reminds me the book 12 rules for live by Jordan Peterson, where he share a similar experience.

At the beginning, no changes were appreciated between them and me, but with the passage of years, the difference increased. Fortunately, that gap was noticed by some of them and motivated them to change too. But they started in a harder situation.

Here, I want to highlight that there is never a bad moment to start because even if yesterday was a better time to start, tomorrow will be worse.

The difference

Being honest, I didn't think much about the differences during this time, and the reason behind my self-development journey was simply to feel better about myself, not to be competitive.

However, nowadays, I encounter many revealing moments where sometimes I don't even recognize myself, in a good way. A recent example was last week when I went to a festival with some friends. We met some girls, and the girls saw me as a man, while they saw my friends as children.

I even asked about it because nowadays there is a rejection of masculinity. And although it was difficult for them to admit it, the conclusion is that their animal instinct supersedes their woke ideology.

But it's not only about that. In the last few months, my friends and I have had several job interviews, and I received many compliments on my confidence and physical presence. From dressing appropriately to knowing what to say, what to ask, and how to answer.

And like these two quick examples, there are a thousand daily situations that reaffirm to me that I'm on the right path.

The thing is that I haven't been studying this beforehand. I've simply been gradually incorporating small pills, which after 8 years, thanks to compound interest, have yielded results.

The orange pill

The sooner you start , the less your future effort will be and the greater your reward thanks to compound interest. However, be careful, because at the same it works with the good decisions, it also works with the bad ones.

Take your time to know what you really want for your life, and after the decision start working on it. But do it for yourself, don't be impatient looking for results. Let them surprise you. and you will see how much more rewarding it will be.