Definitions –
Compound Interest: Accumulative interest where interest is added to the principle amount
and it is placed on both the initial price or principle amount and the interest.
Simple Interest: Only the principle amount has interest and it doesn’t accumulate
Compounding: Compounding is the process in which an asset's earnings, from either capital
gains or interest, are reinvested to generate additional earnings over time.
Financial Funds: A fund is a pool of money that is set aside
Superannuation: In Australia, superannuation, or just "super", is compulsory for all people
who have worked and reside in Australia. The balance of a person's superannuation
account, or for many people, accounts, is then used to provide an income stream when
retiring.
Retirement: The action or fact of leaving one's job and ceasing to work.