Cable TV or retirement - you decide. How much does a lifetime of cable cost? While the cost of monthly cable packages varies significantly, the average is about $80 a month. Multiply that cost by 50 years and it totals a whopping $48,000. If you think that number is alarming, wait until you see the next one.

If you invest that $80 a month in a low cost S&P 500 index fund that returns 8 percent annually, the amount grows to an eye-popping $638,000. That's a lot of dough to pay for 500 channels of TV most people will never watch. If you can bump up your returns to 9 percent, the number grows to almost $1 million.

The beauty of compounding. The numbers seem almost mystical. Most people can wrap their minds around turning $80 a month into $48,000 over 50 years. It's the jump to $638,000 with just an 8 percent annual return that's mind-bending. We can thank compound interest.

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However, the reality is that most individuals and families spend money each month in ways that do not add meaningfully to their quality of life. For some people it may be cable TV. For others it may be a cell phone package they don't need, high interest rates on debt they could refinance or an expensive car. Figure out what you are spending money on that doesn't increase your happiness if you are interested in a way to reduce your monthly spending without sacrifice.