As we conclude our four-part series on financial planning for young investors, we focus on building long-term wealth. Financial expert Barry Bigelow joined Good Morning Northland, to discuss compound interest and smart investment strategies.

“Compound interest is that your money makes more money for you,” Bigelow explained. “It plays the role of the doubler. If you set aside $5,000 at market rates, it can double in about seven years. By the end of a career, this could grow to $400,000 to $600,000—even without additional investments.”

For young professionals, Bigelow advises increasing investments as income grows. “Taking some of your raises and continuing to invest can set you on a path toward over a million dollars at retirement,” he said. However, he stressed the importance of reducing risk as retirement nears.

For those unsure where to start, Bigelow recommends financial education. “Spending time learning how investments work is a small price to pay.”

He also suggests shifting strategies as income rises. “Consider pre-tax investments—traditional IRAs and 401(k)s—over taxable accounts like Roth IRAs. This ensures multiple financial sources in retirement, reducing tax risks.”

Bigelow reminds us that financial success requires informed decisions and consistent strategy adjustments.