Why? The power of compound interest. In the long run, compounding -- which simply means that your investments make money, and then that new money in turn also earns a profit -- offers a very powerful and easy way to make your money grow.

Here's an example.

Suzanne and Jack both save $1,000 per year ($83.33 per month or $19.23 per week). The money each saves earns 10% interest per year. Suzanne starts at age 22 and stops at age 30. Jack starts at age 30 and stops at age 65. On the face of it, you might think Jack will look better in the long run, having saved for a full 35 years (as compared to Suzanne's eight-year effort). But the reality of long-term savings isn't always what it appears.

The chart below demonstrates the value of starting to save your money early.

In this example, Suzanne only invested a total of $8,000. But by age 65, she will enjoy net earnings of $380,865. Jack, on the other hand, will have put away a full $35,000 by his 65th birthday. But his net earnings will be $294,039 -- $86,826 less than Suzanne's. Jack never caught up.

Age	Suzanne Invests	Savings	Jack Invests	Savings
22	1,000	1,100	0	0
23	1,000	2,310	0	0
24	1,000	3,641	0	0
25	1,000	5,105	0	0
26	1,000	6,716	0	0
27	1,000	8,487	0	0
28	1,000	10,436	0	0
29	1,000	12,579	0	0
30	0	13,837	1,000	1,100
31	0	15,221	1,000	2,310
32	0	16,743	1,000	3,641
33	0	18,418	1,000	5,105
34	0	20,259	1,000	6,716
35	0	22,285	1,000	8,487
36	0	24,514	1,000	10,436
37	0	26,965	1,000	12,579
38	0	29,662	1,000	14,937
39	0	32,628	1,000	17,531
40	0	35,891	1,000	20,384
41	0	39,480	1,000	23,523
42	0	43,428	1,000	26,975
43	0	47,771	1,000	30,772
44	0	52,548	1,000	34,950
45	0	57,802	1,000	39,545
46	0	63,583	1,000	44,599
47	0	69,941	1,000	50,159
48	0	76,935	1,000	56,275
49	0	84,628	1,000	63,002
50	0	93,091	1,000	70,403
51	0	102,400	1,000	78,543
52	0	112,640	1,000	87,497
53	0	123,904	1,000	97,347
54	0	136,295	1,000	108,182
55	0	149,924	1,000	120,100
56	0	164,917	1,000	133,210
57	0	181,409	1,000	147,631
58	0	199,549	1,000	163,494
59	0	219,504	1,000	180,943
60	0	241,455	1,000	200,138
61	0	265,600	1,000	221,252
62	0	292,160	1,000	244,477
63	0	321,376	1,000	270,024
64	0	353,514	1,000	298,127
65	0	388,865	1,000	329,039
	Value at age 65	$388,865	Value at age 65	$329,039
	Less Total Contributions	$(8,000)	Less Total Contributions	$(35,000)
	Net Earnings	$380,865	Net Earnings	$294,039