Rule 13 of 19 · Chapter III — Let Time Do the Work
Let compounding do the heavy lifting
Why this rule exists
Compounding is the closest thing to magic that money offers, and it is almost entirely a reward for patience. Your returns earn returns, and those earn more, so growth that looks flat and dull for years eventually bends sharply upward. The catch is that nearly all the payoff arrives late, which is exactly when impatient people have already given up. The engine runs on time, not cleverness. Your job is not to be brilliant. It is to start early, add steadily, and then resist the powerful urge to interrupt the machine.
In practice
Give compounding the two things it needs: time and non-interference. Start as early as you can, keep contributing through good markets and bad, and leave the balance to grow instead of dipping into it. Reinvest all dividends and gains so they can compound too. Avoid the temptation to pull out when headlines turn grim, because selling low is how the impatient hand their returns to the patient. Check your accounts rarely enough that daily swings do not rattle you. Then let years, not weeks, do the work.
When it doesn't apply
Compounding cuts both ways, because carried debt compounds against you at its interest rate, which is why clearing it is so powerful. And the math assumes you leave the money alone. Goals within a few years will not have time to compound meaningfully, so keep that money safe and separate instead.