The rule of 72 unveils the powerful impact of compound interest on money. It also reveal 2 types of people 

1.    People who don't understand how money works- they end up working for the money. 
2.    People who understand how money works- they let money work for them.

              

              Wealthy people tend to spend time learning and understanding how money works. They look for advice and solutions to get better returns for their money.

               A lot of poor people lack knowledge about personal finance. Some don't care to understand it at all. Many have no plan and little savings. What savings they have are usually put into accounts with a low rate of return. Their money doesn't work for them. 

               Compound interest work both ways. It can make you or break you. If you owe money, the compound interest on your debt can ruin you. As a result, many people keep paying bills with high interest. Despite numerous payments, the balance of the bill barely goes down because high interest on the balance continues to compound. Sometimes, it feels as if it's impossible to totally pay the balance. 

                The Rule of 72 is a mathematical concepts that approximates the number of years it will take to double  the principal at a constant rate of return. The performance of investment fluctuates over time and as a result, the actual time it will take an investments to double in value cannot be predicated with any certainty.

                Additionally, there are no guarantees that any investment or saving program can outpace inflation. This is a hypothetical example and is not intended to presents a real investment. Both the principal and returns of investment vary over time. Seeking higher rates of return involves greater risk.