06/09/2026
📊 U.S. stocks have returned about 10% a year on average over the last century, which works out to roughly 7% after inflation.
At 10%, money invested for 20 years multiplies about 6.7 times, 30 years about 17.4 times, and 40 years about 45 times.
At the 7% inflation-adjusted rate, those same windows produce about 3.9x, 7.6x, and 15x.
The gap between the two columns is inflation: the 10% figure is what your account statement will show, and the 7% figure is what that balance actually buys.
In dollars, $10,000 invested at 25 grows to about $452,600 by 65 at 10%, but that balance has the buying power of about $149,700 in today's dollars.
Notice that the last 10 years do the heaviest lifting: at 10%, the multiple jumps from 17.4x to 45.3x between year 30 and year 40.
These are long-run averages, not guarantees, and any specific 20 to 40 year stretch has landed both above and below them.
The multiples also assume the money stays invested the whole time, so every withdrawal restarts the clock on that dollar.
*The content shared here is for educational and informational purposes only. It is not personalized investment, tax, legal, or financial advice. Consult a licensed professional before making decisions based on your specific situation.*
