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The concept of risk and reward significantly improves with an increase in the amount of money you have to invest. For beginners, investing small amounts might yield trivial returns, which can be discouraging. However, reaching a savings milestone of $10,000 creates an opportunity to harness the power of compounding interest effectively.

For example, investing $10,000 with a 10% return yields a significant reward—$1,000—compared to only $1 earned from a mere $10 investment. As individuals save and invest more, the returns grow disproportionately relative to the risk they take on, creating an unfair money risk-reward ratio that benefits those who have more saved.

Dismantling Credit Card Debt

Credit card debt is a significant concern for many individuals today.