When Is It Too Late in Life to Start Investing? History Offers a Resounding Answer.
Key Points
Even older folks generally have enough time in which to grow their wealth.
There are multiple ways to build a better retirement -- starting right now.
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Let's say you're 45 -- or maybe even 65 -- and you haven't yet started investing, at least not in earnest. Is it too late for you? Not at all. Sure, the more time your nest egg has to grow, the more it can grow. But don't count yourself out -- at almost any age. Here's why.
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Most of us have not saved nearly enough for retirement. Check out the numbers below, from the 2025 Retirement Confidence Survey.
|
Amount in savings and investments* |
Percentage of workers |
|---|---|
|
Less than $1,000 |
16% |
|
$1,000 to $9,999 |
9% |
|
$10,000 to $24,999 |
7% |
|
$25,000 to $49,999 |
7% |
|
$50,000 to $99,999 |
12% |
|
$100,000 to $250,000 |
13% |
|
$250,000 or more |
37% |
Data source: 2025 Retirement Confidence Survey.
*excluding the value of a primary home
See? Fully 51% of workers have less than $100,000 socked away, and 32% have less than $25,000. Plenty of these people are well into or beyond middle age, too.
Fortunately, here's some good news: If you start saving and investing today, you can improve your future financial health. The table below shows how much you might amass over time if your money grows at 8% annually. Even over just five or 10 years, you can build value for your future.
|
Growing at 8% for |
$7,000 invested annually |
$15,000 invested annually |
|---|---|---|
|
5 years |
$44,351 |
$95,039 |
|
10 years |
$109,518 |
$234,682 |
|
15 years |
$205,270 |
$439,864 |
|
20 years |
$345,960 |
$741,344 |
|
25 years |
$552,681 |
$1,184,316 |
|
30 years |
$856,421 |
$1,835,188 |
|
35 years |
$1,302,715 |
$2,791,532 |
|
40 years |
$1,958,467 |
$4,196,716 |
Data source: Calculations by author.
I'm focusing on the stock market here, because it's arguably the best way for most of us to build long-term wealth. There's no way to know how the stock market will perform, but over long periods, the S&P 500's average annual returns have been close to 10% -- so I'm trying to be a little conservative. Over your particular investing period, the market might average 6% or 12%.
Note, too, that the stock market is only for money you won't need for at least five, if not 10, years. You don't want to have to withdraw a chunk of money soon after a market crash, as that can put an outsize dent in your portfolio.
Once you enter retirement, that doesn't mean you need to get out of the stock market. Remember that if you retire at, say, 65, and then live to 90, much of the money in your portfolio will be there for 20 or 25 years -- plenty of time for it to grow.
For best results, read up on withdrawal strategies in retirement. If you think you're behind, consider some ways to improve your financial situation before retiring. One powerful strategy is to delay retiring for a few years.
Where to invest $1,000 right now
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*Stock Advisor returns as of September 25, 2026.
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