Every investor wants their money to double as quickly as possible. In this case, it is important to understand how long it will take for the money to double, what the correct rule is, and what percentage of return is needed. The Rule of 72 provides answers to all these questions. It helps calculate the time required for an investment to double. Apart from this, the Rule of 114 and Rule of 144 are also important for investors. These rules help determine the time needed for an investment to triple or quadruple.

What is the Rule of 72?

The Rule of 72 is a simple formula that helps you calculate how many years it will take for your money to double at a certain interest rate (Return on Investment – ROI). To use this rule, you divide 72 by the interest rate.

For example, if an investment gives an 8% annual return, it will take 9 years for your money to double. If the interest rate is 12%, it will take 6 years for your money to double.

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When Will the Money Triple?

To calculate how many years it will take for your money to triple, divide 114 by the interest rate.

For instance, if an investment provides an 8% annual return, it will take 14.25 years for your money to triple. With a 10% return, it will take 11.4 years.

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When Will the Money Quadruple?

To find out when your money will quadruple, divide 144 by the interest rate.

For example, with an 8% return, it will take 18 years for your money to quadruple. If the return is 12%, it will take 12 years for the money to quadruple.