Quick answer
At 8% a year, money doubles in about 9 years (exactly 9.0).
How it works
The Rule of 72 is a quick mental shortcut: divide 72 by your yearly return to estimate how long money takes to double. We also show the exact answer.
Formula
Estimate = 72 ÷ rate · Exact = ln(2) ÷ ln(1 + rate)
Assumptions & limitations
- Results are rounded for display.
Frequently asked questions
How accurate is the Rule of 72?
Very close for returns between about 6% and 10%. It drifts at very low or very high rates.