Summary: The key to building retirement savings lies in the power of compounding, where investment gains eventually outpace annual contributions. Even small amounts saved consistently can grow significantly over time. Many Americans struggle with living paycheck to paycheck, hindering their ability to save for retirement. However, starting with even a few dollars a month can lead to a substantial nest egg with compounding. The S&P 500 index fund illustrates how investments can grow over 10, 20, and 30 years, showcasing the benefits of long-term investing.

Additionally, maximizing Social Security benefits can provide a significant boost to retirement income, with potential strategies to increase annual payments. While saving for retirement may seem daunting, starting early and investing consistently can lead to substantial growth over time. By making small changes to spending habits and prioritizing savings, individuals can take steps towards a more secure financial future.

Read more at Nasdaq: How Compounding Returns Can Help You Retire a Millionaire — Even on a Modest Income