BY AIDEN WARRICK
FINANCE INTERN
When I started my internship here at Summit, I figured I’d gain some basic work experience, sit in on a few meetings, learn some of the business world’s language, and add something solid to my resume. What I didn’t expect was starting to rethink my money habits.
I’m a college student. That means I’m accustomed to stretching a dollar, checking my banking app too often, and investing is something I can figure out after graduation. During this internship, I realized that starting sooner rather than later could make a difference to the tune of tens or hundreds of thousands of dollars.
I recently came across a graph that compared two portfolios. One was put together by a person who started investing at the age of 20 and stopped contributing after 10 years. The other started investing at 30 and kept contributing until retirement. Guess who ended up with more money for retirement? That would be the person who stopped contributing after just 10 years, the one who started a portfolio earlier and let compound interest do the work. That stood out because it wasn’t about how much they invested but when they invested.
Compound interest: The game changer not talked about enough
If you have never heard of compound interest, here’s the short version: It’s what you get when the money you earn from your investments starts earning its own money. Over time, it snowballs, and the earlier you start, the more powerful your money becomes.
No one tells college students that you don’t need a ton of money to take advantage of this. What you need is time and consistency. I always used to think, “Oh, I will start investing later, when I’m making more.” However, compound interest rewards those who start sooner rather than later.
What college doesn’t teach us
We learn many helpful things in college, such as calculus, literature, and macroeconomics. Yet, no one sits us down and says, “If you save $100 a month starting now, that could be six figures by the time you’re 50.”
No one really explains to college students the cost of waiting. Until this internship, I hadn’t thought about it, either. My dad had always told me it was essential to start early, and this was the first time I truly understood why it matters.
What I have done since learning this
- I opened a Roth IRA. (I know I’m not making much, but every bit I put in grows tax-free for decades.)
- I started saving automatically. ($50 or even $25 a month makes a difference.)
- I stopped thinking short-term. (When I get paid, I think about what it can grow into later rather than what I can buy right now.)
Final thought: This isn’t just about money
This internship showed me that wealth isn’t just about numbers. It’s about maintaining good habits, and those habits start now, whether we realize it or not. So, if you’re in college or just getting started, the best time to invest was yesterday. The second-best time? Right now.
