Patterson Accounting - Calculators

Discover the magic of compounding!

If you could have one of the following as your payment for thirty days' work, which would you choose? (A) $10,000, or (B) a penny the first day, two cents the second day, four cents the third day, eight cents the fourth day, and so on, with each day doubling on out to thirty days.

The $10,000 sounds very attractive, but the fact is that the penny doubled each day for thirty days adds up to over five million dollars. Of course, that is 100% interest compounded daily, a rate not available to most of us working folk. Nevertheless, this example shows you the power of compounding on your investment earnings.

Here are some easy-to-use calculators.

You can get rough answers to your financial questions by using the following calculators and making a few estimates on your part. If we can be of assistance or answer questions for you, please call us.

	College Funding: Do you know how much you need to set aside to fund a college education for your child? Education Funding Calculator
	Retirement: How much must you save each month for your retirement? Retirement Calculator
	Your IRA: What will your Individual Retirement Account (IRA) be worth when you get ready to start drawing on it? IRA Calculator
	Roth IRA: How does a Roth IRA compare to a traditional IRA? Roth Calculator
	Home Purchase: How much house can you afford? Home Loan Calculator
	Mortgage: What will your mortgage payment be? Mortgage Calculator
	Mortgage or Investments: Should you prepay your mortgage or invest the extra money? Financial Calculator
	Mortgage Interest: What is the actual interest rate on a mortgage? Interest Calculator
	Savings: What will your savings grow to? Savings Calculator
	Loans: How do you calculate loan repayment? Loan Calculator
	Prepayment: How do you calculate prepaying a loan, paying off credit card balances, etc? Prepayment Calculator
	Loan Payment: What payment is needed for different loan amounts or different interest rates? Loan Comparison Calculator

Patterson Accounting
Certified Tax Practitioner
3040 N. University

Decatur, Illinois 62526
(217) 877-6766

Fax: (217) 875-4647
E-mail: pjp@pattersonaccounting.com