Everyone who wants to create a fortune has a long way to go, first we need to learn how to earn, save and then learn how to make money work for us. Someone creates a business for this, someone is looking for investments, but the essence remains the same, we earn, save and increase our capital.
I'm wondering how long we'll need to do the savings? Who has already reached any significant level, are you still saving, or you can afford to live without any financial restrictions?
I have just started taking steps towards achieving my well-being and it is still very difficult for me to understand how I can achieve my goal and become a wealthy person. The thought that I will have to save for a long time now seems difficult, will it not tire me, will I be able to go this way. I already have some bitcoin and I like the feeling that I own something of value. When I manage to save some money, I buy again, but this is not permanent because I do not have a permanent job. Sometimes I want to buy new sneakers, and I decide to buy or postpone, sometimes I doubt if I'm doing the right thing, maybe I should provide myself with everything I need and save only what remains, if left.
Probably now I am thinking that I would not like to save all the time, I would like to reach the level at which I would be a wealthy person and I would not have to worry about money, but I have no idea when I can achieve this.
In general, many people state that saving can save or secure financial assets. Although not giving benefits, there are many reasons why people still like to save cash in savings in their financial planning. The biggest reason is of course easy to access and the value does not change. For example, for the Emergency Fund, of course saving money in the bank is the best step that can be done and can access the money at any time.
But there's a flip side to this. Because the risk is very small, the flowers are not much. There are at least two losses you face. First, the value of your money continues to decrease every year due to inflation. Second, you don't get benefits from compound interest from time to time.
If you have been saving a long time, you might have realized that the money you save does not provide large amounts of interest. Yeah, your money is not growing. Here’s The Thing. Because the cost of living continues to increase, your money naturally needs to continue to grow. At least, your money must be able to survive the inflation rate, because if not then you will lose every year and this will affect your future financial planning.
The solution? Investment!
When you invest your money, the value of your money can increase (or decrease) depending on the form of investment you make. Some investments still have a high risk. But indeed the higher the risk, the greater the profit (or loss) that you can get.
Many people think that investment means spending money to "buy" digital shares or assets like Bitcoin. In fact, investment is more appropriate to be said to save money than buying. Indeed, SiH calls her not to equalize investment with savings, where you can use savings to buy sneakers or target bags whenever you want. However, you can sell your investment and return it to cash even though it takes a few days for the process, and after tax deduction and other costs.
source:
pina.id