A 403b Biography, by AI

I asked AI (Google Gemini) to use actual 403b contribution/return data to both create a narrative and generate a chart illustrating the power of compounding.  Source of this data: a real living, breathing, retired North Carolina public school teacher.  Here’s what AI produced in 15 seconds– the delay caused by my Chromebook which cannot handle our 2 Gig fiber speeds. Side note/Internet Service hack: $70/month rate locked in for 10 years (cancellable at any time) with Lumos (T-Mobile Fiber).

Now on to the AI generated biography of this 403b...

The data vividly illustrates the transformative power of compounding interest, turning consistent, relatively small contributions over decades into a substantial final portfolio value.

A 403b Biography: The Marathon of Money

The investment journey, spanning nearly 30 years from November 14, 1994, to July 1, 2024, began with consistent, manageable contributions, often in small amounts like $50 or $100 per month (and two whole years of $0 contributed). Over this long time frame, the total amount the investor (an actual public school teacher in NC!) actually put into the account (Total Contributions) was $83,825.

At first, the growth was slow, with the portfolio value line barely inching above the contribution line. This is the foundation-building stage, where every dollar is working, but the overall market gains are small relative to the principal.

However, as the years passed, something remarkable happened. The returns earned by the portfolio began to earn their own returns. This is the power of compounding. It creates an accelerating effect where growth doesn't just happen on the principal, but on the accumulated gains as well. (The money was working harder than the teacher?)

By July 1, 2024, those  $83,825 in contributions had grown into a total Portfolio Value of $404,185.   The true measure of compounding's power is the difference:     

{Portfolio Value}   -   [Total Contributions] =  (Growth from Compounding)            

     $404,185         -          $83,825               =           $320,360

In this instance, the money earned from compounding $320,360 was nearly four times the amount the investor physically contributed--- $83,825.  The consistent, little-by-little contributions laid the groundwork, but time and compounding did the heavy lifting, turning a small, steady stream of savings into a substantial nest egg.   The End…

Clearly Gemini needs to work on its empathy/emotion algorithm—- this is simply incredible!!!

Just Imagine if the same phenomenal power of compounding was engaged in this teacher’s 457b, the spouse’s 403b, each of their Roth IRA accounts, their taxable brokerage accounts, and the 529 Plans for each of their children.  I don’t have to.  Neither do you!

Just get started! Put your money to work for you while you work, play, and sleep!  If you need help getting started, you know where to find me.

Yours in Financial Fitness,

David

Norman Financial Coaching

P.S. For the data nerds out there, below are the teacher's downloaded statements showing the actual contributions made over 30 years.

Date Investment Transaction Type Amount

06/05/2024 FID CONTRAFUND Contributions 100

05/02/2024 FID CONTRAFUND Contributions 100

03/27/2024 FID CONTRAFUND Contributions 100

03/07/2024 FID CONTRAFUND Contributions 100

02/07/2024 FID CONTRAFUND Contributions 100

12/27/2023 FID CONTRAFUND Contributions 100

12/05/2023 FID CONTRAFUND Contributions 100

11/06/2023 FID CONTRAFUND Contributions 100

10/03/2023 FID CONTRAFUND Contributions 100

09/05/2023 FID CONTRAFUND Contributions 100

06/01/2023 FID CONTRAFUND Contributions 100

05/04/2023 FID CONTRAFUND Contributions 100

03/29/2023 FID CONTRAFUND Contributions 100

03/02/2023 FID CONTRAFUND Contributions 100

02/02/2023 FID CONTRAFUND Contributions 100

01/13/2023 FID CONTRAFUND Contributions 100

11/30/2022 FID CONTRAFUND Contributions 100

11/03/2022 FID CONTRAFUND Contributions 100

10/07/2022 FID CONTRAFUND Contributions 100

09/06/2022 FID CONTRAFUND Contributions 100

06/10/2022 FID CONTRAFUND Contributions 100

05/04/2022 FID CONTRAFUND Contributions 100

03/29/2022 FID CONTRAFUND Contributions 100

03/02/2022 FID CONTRAFUND Contributions 100

01/26/2022 FID CONTRAFUND Contributions 100

12/22/2021 FID CONTRAFUND Contributions 5,000.00

11/26/2021 FID CONTRAFUND Contributions 5,000.00

11/03/2021 FID CONTRAFUND Contributions 5,000.00

10/04/2021 FID CONTRAFUND Contributions 5,000.00

08/09/2021 FID CONTRAFUND Contributions 2,000.00

07/01/2021 FID CONTRAFUND Contributions 175

06/02/2021 FID CONTRAFUND Contributions 175

05/03/2021 FID CONTRAFUND Contributions 175

04/01/2021 FID CONTRAFUND Contributions 100

03/02/2021 FID CONTRAFUND Contributions 100

02/02/2021 FID CONTRAFUND Contributions 100

12/23/2020 FID CONTRAFUND Contributions 3,000.00

12/01/2020 FID CONTRAFUND Contributions 3,000.00

11/02/2020 FID CONTRAFUND Contributions 3,000.00

10/02/2020 FID CONTRAFUND Contributions 1,000.00

09/09/2020 FID CONTRAFUND Contributions 1,000.00

08/03/2020 FID CONTRAFUND Contributions 1,000.00

06/25/2020 FID CONTRAFUND Contributions 1,000.00

06/02/2020 FID CONTRAFUND Contributions 1,000.00

05/08/2020 FID CONTRAFUND Contributions 1,000.00

04/02/2020 FID CONTRAFUND Contributions 1,000.00

03/03/2020 FID CONTRAFUND Contributions 1,000.00

02/03/2020 FID CONTRAFUND Contributions 100

12/24/2019 FID CONTRAFUND Contributions 100

12/03/2019 FID CONTRAFUND Contributions 100

11/12/2019 FID CONTRAFUND Contributions 100

10/10/2019 FID CONTRAFUND Contributions 100

09/09/2019 FID CONTRAFUND Contributions 100

08/02/2019 FID CONTRAFUND Contributions 100

06/27/2019 FID CONTRAFUND Contributions 100

06/05/2019 FID CONTRAFUND Contributions 100

05/08/2019 FID CONTRAFUND Contributions 100

04/04/2019 FID CONTRAFUND Contributions 100

03/07/2019 FID CONTRAFUND Contributions 100

02/12/2019 FID CONTRAFUND Contributions 100

01/04/2019 FID CONTRAFUND Contributions 100

12/03/2018 FID CONTRAFUND Contributions 100

11/05/2018 FID CONTRAFUND Contributions 100

10/04/2018 FID CONTRAFUND Contributions 100

09/05/2018 FID CONTRAFUND Contributions 100

08/03/2018 FID CONTRAFUND Contributions 100

07/02/2018 FID CONTRAFUND Contributions 100

06/14/2018 FID CONTRAFUND Contributions 100

05/04/2018 FID CONTRAFUND Contributions 1,000.00

04/05/2018 FID CONTRAFUND Contributions 1,000.00

03/06/2018 FID CONTRAFUND Contributions 1,000.00

01/31/2018 FID CONTRAFUND Contributions 1,000.00

12/26/2017 FID CONTRAFUND Contributions 1,000.00

12/04/2017 FID CONTRAFUND Contributions 1,000.00

11/09/2017 FID CONTRAFUND Contributions 1,000.00

10/03/2017 FID CONTRAFUND Contributions 100

09/12/2017 FID CONTRAFUND Contributions 100

08/04/2017 FID CONTRAFUND Contributions 100

06/28/2017 FID CONTRAFUND Contributions 100

06/06/2017 FID CONTRAFUND Contributions 100

05/03/2017 FID CONTRAFUND Contributions 100

04/07/2017 FID CONTRAFUND Contributions 100

03/06/2017 FID CONTRAFUND Contributions 100

02/06/2017 FID CONTRAFUND Contributions 100

01/20/2017 FID CONTRAFUND Contributions 100

12/02/2016 FID CONTRAFUND Contributions 100

11/04/2016 FID CONTRAFUND Contributions 100

10/06/2016 FID CONTRAFUND Contributions 100

09/09/2016 FID CONTRAFUND Contributions 50

08/11/2016 FID CONTRAFUND Contributions 50

07/07/2016 FID CONTRAFUND Contributions 50

06/06/2016 FID CONTRAFUND Contributions 50

05/09/2016 FID CONTRAFUND Contributions 50

04/13/2016 FID CONTRAFUND Contributions 50

03/10/2016 FID CONTRAFUND Contributions 50

02/11/2016 FID CONTRAFUND Contributions 50

01/08/2016 FID CONTRAFUND Contributions 50

12/07/2015 FID CONTRAFUND Contributions 50

11/10/2015 FID CONTRAFUND Contributions 50

10/09/2015 FID CONTRAFUND Contributions 50

09/03/2015 FID CONTRAFUND Contributions 50

08/19/2015 FID CONTRAFUND Contributions 50

06/26/2015 FID CONTRAFUND Contributions 50

06/08/2015 FID CONTRAFUND Contributions 50

05/04/2015 FID CONTRAFUND Contributions 50

04/06/2015 FID CONTRAFUND Contributions 50

03/09/2015 FID CONTRAFUND Contributions 50

02/05/2015 FID CONTRAFUND Contributions 50

12/27/2014 FID CONTRAFUND Contributions 50

12/26/2014 FID CONTRAFUND Contributions 50

11/06/2014 FID CONTRAFUND Contributions 50

10/06/2014 FID CONTRAFUND Contributions 50

09/05/2014 FID CONTRAFUND Contributions 50

08/04/2014 FID CONTRAFUND Contributions 50

06/27/2014 FID CONTRAFUND Contributions 50

06/09/2014 FID CONTRAFUND Contributions 50

05/09/2014 FID CONTRAFUND Contributions 50

04/04/2014 FID CONTRAFUND Contributions 50

03/10/2014 FID CONTRAFUND Contributions 50

02/10/2014 FID CONTRAFUND Contributions 50

12/24/2013 FID CONTRAFUND Contributions 50

12/16/2013 FID CONTRAFUND Contributions 50

11/08/2013 FID CONTRAFUND Contributions 200

10/07/2013 FID CONTRAFUND Contributions 200

09/09/2013 FID CONTRAFUND Contributions 200

08/06/2013 FID CONTRAFUND Contributions 200

06/27/2013 FID CONTRAFUND Contributions 200

06/10/2013 FID CONTRAFUND Contributions 200

05/06/2013 FID CONTRAFUND Contributions 200

04/05/2013 FID CONTRAFUND Contributions 200

03/07/2013 FID CONTRAFUND Contributions 200

02/07/2013 FID CONTRAFUND Contributions 200

01/11/2013 FID CONTRAFUND Contributions 300

12/06/2012 FID CONTRAFUND Contributions 300

11/05/2012 FID CONTRAFUND Contributions 300

10/04/2012 FID CONTRAFUND Contributions 300

09/06/2012 FID CONTRAFUND Contributions 300

08/06/2012 FID CONTRAFUND Contributions 300

06/28/2012 FID CONTRAFUND Contributions 300

06/06/2012 FID CONTRAFUND Contributions 300

05/04/2012 FID CONTRAFUND Contributions 300

04/05/2012 FID CONTRAFUND Contributions 300

03/05/2012 FID CONTRAFUND Contributions 300

02/03/2012 FID CONTRAFUND Contributions 300

12/27/2011 FID CONTRAFUND Contributions 300

12/05/2011 FID CONTRAFUND Contributions 300

11/07/2011 FID CONTRAFUND Contributions 300

10/06/2011 FID CONTRAFUND Contributions 300

09/08/2011 FID CONTRAFUND Contributions 300

08/05/2011 FID CONTRAFUND Contributions 300

07/14/2011 FID CONTRAFUND Contributions 300

06/06/2011 FID CONTRAFUND Contributions 300

05/05/2011 FID CONTRAFUND Contributions 300

04/06/2011 FID CONTRAFUND Contributions 300

03/07/2011 FID CONTRAFUND Contributions 300

02/07/2011 FID CONTRAFUND Contributions 300

01/07/2011 FID CONTRAFUND Contributions 300

12/06/2010 FID CONTRAFUND Contributions 300

11/10/2010 FID CONTRAFUND Contributions 300

10/11/2010 FID CONTRAFUND Contributions 300

09/13/2010 FID CONTRAFUND Contributions 300

08/06/2010 FID CONTRAFUND Contributions 300

07/01/2010 FID CONTRAFUND Contributions 300

06/10/2010 FID CONTRAFUND Contributions 300

05/10/2010 FID CONTRAFUND Contributions 300

04/12/2010 FID CONTRAFUND Contributions 300

03/04/2010 FID CONTRAFUND Contributions 200

02/10/2010 FID CONTRAFUND Contributions 100

12/26/2008 FID CONTRAFUND Contributions 100

12/08/2008 FID CONTRAFUND Contributions 100

11/10/2008 FID CONTRAFUND Contributions 100

10/09/2008 FID CONTRAFUND Contributions 100

09/11/2008 FID CONTRAFUND Contributions 100

08/07/2008 FID CONTRAFUND Contributions 100

07/10/2008 FID CONTRAFUND Contributions 100

06/16/2008 FID CONTRAFUND Contributions 100

05/05/2008 FID CONTRAFUND Contributions 100

04/10/2008 FID CONTRAFUND Contributions 100

11/14/1994- AXA Equitable   Contributions 15,900.00 

 1/5/2008                                                                                                       

11/14/94 Equitable Life Insurance 50

12/14/94 Equitable Life Insurance 50

1/13/95 Equitable Life Insurance 100

2/14/95 Equitable Life Insurance 100

3/14/95 Equitable Life Insurance 100

4/13/95 Equitable Life Insurance 100

5/12/95 Equitable Life Insurance 100

6/14/95 Equitable Life Insurance 100

9/14/95 Equitable Life Insurance 100

10/14/95 Equitable Life Insurance 100

11/14/95 Equitable Life Insurance 100

12/14/95 Equitable Life Insurance 100

1996 Equitable Life Insurance 1000

1997 Equitable Life Insurance 600

1998 Equitable Life Insurance 1500

1999 Equitable Life Insurance 1500

2000 Equitable Life Insurance 1600

2001 Equitable Life Insurance 2000

2002 Equitable Life Insurance 1000

2003 Equitable Life Insurance 2000

2004 Equitable Life Insurance 2000

2005 Equitable Life Insurance 600

2006 Only contributed to 457b/Roth IRA 0

2007 Only contributed to 457b/Roth IRA 0