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<p>[QUOTE="-jeffB, post: 2190690, member: 27832"]How's that again?</p><p><br /></p><p>I came across a little piggy-bank (actually a plastic mouse) in my attic last month that was suspiciously heavy. I removed its plug, and found that it was stuffed with change -- twenty SBA dollars, and fifty 1972 dimes. This was surely a birthday gift from my grandparents, probably around 1980.</p><p><br /></p><p>How much is that $25.00 worth in 2015? $25.00 (unless I find a rare variety somewhere in there). If you can find a place where I can use it to buy $51 in goods, I'm all ears. (Although, to be honest, I'd rather use 2015 paper money; I'm sentimentally attached to that little mouse and its contents.)</p><p><br /></p><p>"Simply saving" money, as in "tucking it away", doesn't let it track inflation. You have to <i>invest</i> it, put it into something that earns interest or a return.</p><p><br /></p><p>The original scenario was buying a nickel for $25 in 1964, and finding it worth $51 today. If my calculator isn't lying to me, that works out to about a 1.45% compound rate of return. You're not taking a loss in nominal dollar terms, but you're underperforming most other <i>investment</i> classes.[/QUOTE]</p><p><br /></p>
[QUOTE="-jeffB, post: 2190690, member: 27832"]How's that again? I came across a little piggy-bank (actually a plastic mouse) in my attic last month that was suspiciously heavy. I removed its plug, and found that it was stuffed with change -- twenty SBA dollars, and fifty 1972 dimes. This was surely a birthday gift from my grandparents, probably around 1980. How much is that $25.00 worth in 2015? $25.00 (unless I find a rare variety somewhere in there). If you can find a place where I can use it to buy $51 in goods, I'm all ears. (Although, to be honest, I'd rather use 2015 paper money; I'm sentimentally attached to that little mouse and its contents.) "Simply saving" money, as in "tucking it away", doesn't let it track inflation. You have to [I]invest[/I] it, put it into something that earns interest or a return. The original scenario was buying a nickel for $25 in 1964, and finding it worth $51 today. If my calculator isn't lying to me, that works out to about a 1.45% compound rate of return. You're not taking a loss in nominal dollar terms, but you're underperforming most other [I]investment[/I] classes.[/QUOTE]
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