I’m Giving Away $479 to 50 People

by Kevin on February 4, 2008

So we haven’t fully funded our Roth IRAs, but I’m giving away more than $23,000. That makes sense, right?

Well, thanks to ING Direct — it’s true! If you sign up with ING Direct through my referral, we both win. Here’s how I did the math.

  • Your Initial Deposit: $250
  • Bonus Deposit from ING (for depositing $250+): $25
  • Total Principle: $275
  • Assumed Interest Rate: 3.25% (current savings rate is 3.4%)

If you leave that $275 in the account without adding any money to it, in 30 years the account will have $729.04 in it. Take away your original principle of $250, and you’ve earned $479.

This assumes:

  • interest rates won’t go back up to the 4%+ we’ve enjoyed until the recent federal reserve cuts
  • you don’t add any additional principle; if you did, it would be obviously worth much more
  • you don’t pay taxes on the interest earned each year (which is untrue, I’m just ignoring it for simplicity)

And just for disclosure sake: I’ll earn a $10 bonus if you sign up.

Setting up an account with ING is a great first step. ING makes it easy to setup multiple accounts so you can save for specific goals. Transferring money is easy. Customer service is great. I can’t say enough about ING. If you’re interested, just leave a comment with your e-mail address!

{ 1 comment }

Jennifer Still March 21, 2009 at 5:28 pm

I’m interested in setting up an ING account. I’ve just found your blog, so I’m not sure how old this post is. But, if you can still send out a referral so I can sign up for an account, I’d appreciate it. Thanks!

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