The Rule of 72: How to Grow Your Wealth Quickly

Shawn Plummer, CRPC

Chartered Retirement Planning Counselor

What is the Rule of 72?

The Rule of 72 is a simple and powerful tool that helps you estimate how long it will take for your investment to double, given a fixed annual rate of return. By dividing 72 by the annual interest rate, you can quickly determine the number of years required for your investment to grow twofold.

How It Works

  • Estimation: The Rule of 72 provides a rough estimate by dividing 72 by the annual interest rate. For example, at an 8% annual return, your investment will take approximately 9 years to double (72/8 = 9).
  • Application: This rule is versatile and can be used for various financial scenarios, such as estimating the growth of your retirement savings or understanding the impact of inflation on your purchasing power.


  • Simplicity: The Rule of 72 is easy to understand and use, making it a quick reference for gauging the growth potential of investments.


  • Accuracy: While useful, the Rule of 72 is an estimate and does not consider compounding or varying interest rates over time.
  • Inflation: It does not account for inflation, which can affect the real value of your investment returns.

Practical Example

Imagine you invest in a deferred annuity with a 6% annual return. Using the Rule of 72, you can expect your investment to double in approximately 12 years (72/6 = 12). This estimation can help you plan your financial future more effectively.

Inflation Consideration

The Rule of 72 can also estimate how long it will take for the cost of goods and services to double due to inflation. For instance, with a 3% inflation rate, prices will double in about 24 years (72/3 = 24).

Rule Of 72 Investing

Rule Of 72 Calculator

Rule Of 72 Calculator

Additional deposits









How We Can Help

At The Annuity Expert, we understand that planning for your financial future can be challenging. As an experienced insurance agency, annuity broker, and retirement planner for over 15 years, we are committed to finding the best solutions at the lowest costs. We specialize in helping you grow and protect your investments while meeting your financial goals.

Understanding Your Challenges

We know the uncertainties you face when planning for retirement. Market fluctuations, inflation, and unexpected expenses can create anxiety and uncertainty about your financial future. We empathize with your concerns and are here to provide the guidance and support you need.

Our Commitment

We believe in transparency, trust, and tailored solutions that meet your unique needs. Our mission is to help you achieve financial security and peace of mind through expert advice and personalized strategies.

Rule Of 72

What We Recommend

Step 1: Initial Consultation

  • What Happens: During your initial consultation, we will discuss your financial goals, current investments, and risk tolerance. This helps us understand your unique situation and tailor our recommendations.
  • Main Benefit: You gain clarity on your financial goals and a personalized plan to achieve them.

Step 2: Customized Strategy Development

  • What Happens: Based on our initial consultation, we will develop a customized investment strategy that aligns with your goals and risk tolerance. This includes selecting the best annuity products and investment options.
  • Main Benefit: You receive a tailored investment plan designed to maximize your returns and minimize risks.

Step 3: Ongoing Support and Monitoring

  • What Happens: We provide continuous support and monitoring of your investments, making adjustments as needed to keep your financial plan on track.
  • Main Benefit: You enjoy peace of mind knowing that your investments are actively managed and optimized for growth.

Features and Benefits

  • Expert Advice: Access to professional advice from experienced financial planners.
  • Personalized Plans: Customized strategies tailored to your unique financial goals.
  • Active Management: Ongoing monitoring and adjustments to keep your investments on track.
  • Transparency: Clear and honest communication about your investment options and performance.

Common Objections and Rebuttals

  • Objection: “I can manage my investments on my own.”
    • Rebuttal: While self-management is possible, professional guidance can optimize your returns and provide peace of mind.
  • Objection: “The fees are too high.”
    • Rebuttal: Our fees are competitive, and the value of expert management often outweighs the costs through better performance and risk management.

Failing to seek professional advice can lead to missed opportunities, suboptimal returns, and increased risk. Without a strategic plan, you may struggle to achieve your financial goals.

By working with The Annuity Expert, you will experience the confidence and security that comes from having a well-managed, growth-oriented investment plan. Our expertise ensures that your financial future is in capable hands, allowing you to enjoy life without financial stress.

Contact us today for free advice or a free quote and take the first step towards a secure financial future.

Request A Quote

Get help or a quote from a licensed financial professional. This service is free of charge.

Contact Us

Shawn Plummer, CRPC

Chartered Retirement Planning Counselor

Shawn Plummer is a Chartered Retirement Planning Counselor, insurance agent, and annuity broker with over 14 years of first-hand experience with annuities and insurance. Since beginning his journey in 2009, he has been pivotal in selling and educating about annuities and insurance products. Still, he has also played an instrumental role in training financial advisors for a prestigious Fortune Global 500 insurance company, Allianz. His insights and expertise have made him a sought-after voice in the industry, leading to features in renowned publications such as Time Magazine, Bloomberg, Entrepreneur, Yahoo! Finance, MSN, SmartAsset, The Simple Dollar, U.S. News and World Report, Women’s Health Magazine, and many more. Shawn’s driving ambition? To simplify retirement planning, he ensures his clients understand their choices and secure the best insurance coverage at unbeatable rates.

The Annuity Expert is an independent online insurance agency servicing consumers across the United States. The goal is to help you take the guesswork out of retirement planning and find the best insurance coverage at the cheapest rates

Scroll to Top