The full rhyme:
Start today, don't delay,
Every dollar wants to play.
Little seeds of money grow,
Bigger than you'll ever know.
Time's the magic, not the size —
Start today and watch it rise.
Picture two siblings. Both invest in the stock market. Both earn 7% a year, on average.
- The older sibling starts at 25. They invest $200 a month for 10 years, then stop. They leave the money invested until they turn 65. Total invested: $24,000. Value at 65: about $281,000.
- The younger sibling waits until 35 to start. They invest $200 a month for 30 years, until they turn 65. Total invested: $72,000. Value at 65: about $244,000.
The older sibling put in a third as much money. They still ended up $37,000 ahead.
Why? Money earns returns on itself, every year. The longer it sits, the more years it has to grow on top of its own growth. A dollar invested at 25 gets 40 years of that. A dollar invested at 35 only gets 30. That gap adds up.
A quick reality check. Real markets don't return a steady 7% every year. Some years are up. Some years are down. This example also ignores fees and taxes. 7% is just a common rough assumption for stocks over the long run. It's not a promise. Past performance doesn't tell you what's coming next.
Bottom line. Start now, even with a small amount. Time does most of the work, not the size of your check.