What does the unmade switch cost over 30 years?
The Unmade Switch
$20,000 at 0.5%, for 30 years — the long-term cost is $129,000.
How the number's built.
The money felt safe in the bank. Accessible. Responsible. $20,000 at 0.5% becomes $23,228 after 30 years. At 7%, it becomes $152,245. The switch was one afternoon of paperwork. The gap it left open was $129,000.
Switching today still recovers $71,000.
No rush. It keeps until you want it.
switching savings today vs 10 years later
switch today (30 yrs at 7%): $152,245
10-year delay: $81,352
recovery back ≈ $71,000
$20,000 principal sitting in low-interest savings
grows to $23,228 after 30 years (0.5% return)
grows to $152,245 in an index fund (7% return)
lost opportunity cost = $152,245 - $23,228
gap ≈ $129,000
Assumptions
- Index fund return is 7% annually, adjusted for inflation.
- Savings account return is 0.5% annually.
- Initial deposit is a single $20,000 lump sum.
- Taxes and investment fees are excluded.
- Recovery pathway assumes funds remain in savings for 10 years before the switch.
The cost of leaving savings uninvested
Last reviewed: May 2026.
An estimate built for reflection — not financial, medical, or legal advice. The figures follow the assumptions above.