Beginning to invest earlier in life can have a dramatic impact on your total investment returns in the long run. Consider the following example. The Wisdom of Investing Early Brooke is an early investor. At age 30, she begins investing $2,500 per year in a tax-deferred account. The funds in her investment account compound at 9% annually. She continues investing until age 40, when she stops contributing to her investment account altogether. After 10 years of cumulative investing, Brooke has invested a total of in her investment account. From that point on, Brooke's investments continue to compound until she reaches age 65. By contrast, Robert is a late-starting investor. Robert waits until age 40 to begin his long-term investment plan Starting at age 40, Robert invests $2,500 per year into a similar tax-deferred account. The funds in his account compound at the same rate of 9% annually. Robert continues investing until he reaches age 65. After 25 years of cumulative investing, Robert has invested a total of in his investment account