Why is time so important when you are trying to reach your savings goal?

Because of the growth of investment and reinvestment of the dividends. It compounds over time. You also experience ups and downs in the market and over time it helps average out.

You need to think about time; like how long is the investment for. For 6 months, a year, 5 years, 10 years, or even longer. You will get a different dividend rate from a low rate dividends on a short term investment like a 6 month CD to a higher rate of dividends on a long-term investment like a 10 year CD.

A savings account is where you deposit money at a financial institution and you are letting that institution use your money ( a loan to the financial institution) until you need your money. Since you are letting a financial institution use your money you will receive Dividends which is the same as interest on a loan. You will receive more dividends the longer you let the financial institution use your money.