Topic: Why we should prioritize investment over saving - page 9. (Read 2277 times)

Saving is good, everyone should save. But if we can utilize that savings instead of sitting it will give us more return in future. Yes I am talking about long term investment. All of us usually save. Everyone has some reason behind saving, some save to fulfill their dreams or some save for business or other things. Most of the people keep savings in the bank or in their own box and it stays the same in the future it doesn't increase or decrease. If we don't saving like this, long-term investment in Bitcoin will pay us more than the invested money in a future (everyone usually saves long-term). We should invest 80% of our savings in bitcoins, and leave 20% of the money to come out of major problems, such as health problems or other problems. It will also saving and make a profit. And also we can't need to seek help from others in times of danger. So you can definitely make a long-term investment in Bitcoin.

Firstly inflation can lead to depreciation of the value of money and simply saving without investing money can result in loss of purchasing power over time. secondly rising commodity prices can hinder positive changes in lifestyle despite increasing salaries so investment is considered a better solution to increase the value of wealth. next the focus on survival and profit in investing is considered important, requiring careful thought and management to avoid potential failure.

I agree with what you said; we still need to have another source of income so that we have many sources of income and not just one source, to be honest. That's why other businessmen are getting richer because they multiply their sources of income.

So, we should do the same. Let's not stop at just one business; let's look for other investment opportunities that can help us grow our capital in the future. Because through investment, we can actually increase our savings even faster.

I support the choice of investing in gold because it will preserve the value of our assets in the long run. Regarding the issue of inflation or currency devaluation, I do not deny it but I think we should stop exaggerating them. Currency depreciates over time but does not depreciate so quickly that it loses 30-50% of its value in 1 to 2 years, so there is nothing wrong or redundant with saving for emergencies. Inflation will only affect money stored long-term without being used, while money used in the short term is not affected by inflation. We should stop exaggerating things.

You are right I agree with you. Currently inflation has increased a lot and the value of money is decreasing day by day, so money should not be saved or kept in banks. For example, according to my country, where a laborer was paid BDT 300 a few years ago but today it is BDT 500, the wages have not increased but the value of money has decreased. You are right about this, that investing in bitcoins or gold or land rather than saving will protect your money from inflation. However if you can afford land or gold then you can buy gold or land. If you cannot afford to buy land or gold then you can invest in Bitcoin using DCA method.

That's right, if we don't want to have financial problems then we have to be able to invest and also save, some people still can't invest because they are not ready with the income they have so they need to save first then they can try to invest from the results their savings.
The inflation rate will indeed reduce the value of the money from the savings we have and if we still save money it will be very different after inflation occurs The money we have will decrease in value because of inflation.
Yes, when we decide to invest, we must have funds that we can hold for a long period of time so that we are not disturbed when the investment is underway and we also have to have a good plan so that it can be carried out well.

Indeed, there are many people who prioritize investing over saving, but there are also many who prioritize saving over investing. In my opinion, there is nothing wrong with prioritizing saving. Of course there are benefits that we can get because by saving, if there is an urgent need, we can take out money. We can easily go to an ATM or bank, but the risk is that if we save for a long time, we will definitely be hit by inflation, but actually it's not a problem because by saving at the bank, there are benefits that we can get, such as making it easier to withdraw money when we are urgent with life's needs. and I'm sure almost everyone saves at the bank because they feel the extraordinary benefits.

investment really provides a lot of benefits and usually if our money is invested like buying btc, land or gold then we potentially won't be hit by inflation but if our money has been put into bitcoin or land then if there is an urgent need of course we will need time to change it turns back into money and sometimes if you force it, for example, if you sell BTC while the price is going down, you will suffer a loss. but by investing and selling at the right time, our money will double, in essence we will get big profits. and many people have become successful as a result of investing.

So in my opinion, in this case, savings and investment are something that is needed and as many people say, only money that is ready to be lost is worth investing.

Both are alternatives to financial health, but saving is very different from investing. Saving is the activity of saving money that can be withdrawn when needed, while investing can provide greater profits for the future. The inflation rate which continues to increase every year will make the value of money in savings continue to decrease, the purchasing value continues to increase making savings not the best alternative for the long term.
The reason many members who comment here choose investing rather than saving is because investing can make a profit without having to work too hard. So investment is the right choice for future financial plans. If you don't need funds quickly, investment is the solution.

i get the gist of it, when we are talking about saving we are also talking about the decreasing in purchasing power which means that we might be saving $1000, but $1000 in 5 years will equate to $600 for example and that already 40% decreasing of purchasing power and that means saving is just us losing money slowly instead of it adding up while sacrificing current purchasing power.
if we invest, though if the APY not so high, maybe 10%, we are already countering inflation our money will be retained, and then in 5 years we still retain the purchasing power.
indeed thats the best way to go with nowadays.
but also, i think increasing salary is also one way, keep finding better job, jumping from one job to another as long as it pays better, is one way to get better life in my opinion.

Get more benefit why have prioritize the investment than saving, actually for emergency fund we can take it from investment without have saving fund. Inflation is big problem had to face by every one when saving their money for five years later or more and investing help us how to get increasing money when invest it more five years later.

Saving money actually have drop valuable with inflation happening very years and $1000 saving fund hasn't the same values in five years later, but when using it for investment assets get potential increasing profitable more than few percent and keep your investment grow up more than fist amount of your investing.
Now make your research benefit between saving and investment, you can comparison with $1000 valuable in last five years and looking right now how much product can purchase with this amount regarding in last five years ago.

said multiple times but worth emphasising again

savings is not your wealth pot. its your emergency pot.
just calculate your housing COSTS.(not luxuries, not random spends). so just the essential housing costs, bills and food necessities(basic staples, not restaurant, not take-out).
work out a timeline worse case of how much time you might need to use a survival budget
and that is the total easy access savings you need to target

once you get to that target stop saving and then put your excess ongoing income into investing

the savings pot is there as a rainy day fund to cover emergencies so that you do not need to raid your investments or be pulled into debt

Many people have found that saving money has been very helpful, but these days, all they need to do is invest it instead of saving it because inflation has caused money to lose value. Even if you save thousands of dollars now, it won't solve your problems because of the high cost of commodities. For this reason, people whose salaries are increasing are not seeing a change in their daily lives despite price increases. as well as having a respectable sum on hand for whenever you need money or in case of an emergency. and there are no huge profits from fixed deposits either. The globe is evolving into new phases. and management is necessary for everything. And the moment you invest in anything, your main concerns will be survival and profit. Survival is crucial because there are a lot of businesses out there that have the potential to fail, so you need to be a good thinker to succeed because investing requires a lot of thought.

Inflation is one big problem but that’s not the only reason why you should rather invest than save. Imagine you have $1000 and you save it. Let’s assume that for 5 years, the money wasn’t affected by inflation. When you take out the money to spend it, it will only be $1000. However, that’s not the way it should be. We are not supposed to save money to be able to spend it. We’re supposed to have a source of income from where we can spend at any time. Instead of saving that $1000, if you invest it for that 5 years, you can end up with $5000, $10,000 or even $50,000 depending on how you go about investing it. For me it’s more than inflation.

Everyone here is for sure can avail to take risk while there are people that can't do that much with it and just choose to save for their own future. But little did they know that buying a property and fully paying it is already an investment. Why? That's because it is appreciating while those that have been mortgaging it for how many years are still considered it as a liability until it's fully paid. But what's good with it is that they can rent it out if it's allowed to do so. So, with those savers that didn't know what to do with their money is just to go and buy those traditional assets for their safety if they can't take that much risk.

Saving should not serve as our end goal towards financial security and stability but it should only be our first step towards realization of our finances. While a lot of us are focused on saving, only few have taken the risk to take an extra mile and invest their savings. Yes, it could be risky but it’s the only possible way to grow your money and bring you multi sources of income aside from the salary you get from your stable job.

However, I’m not going to say prioritize saving over investing but I guess there should be balance between the two. If we are going to save, then we should see to it save also for our investment, to save for emergency funds and to save for the brighter future of the family.

   it requires a goal, further it requires patience. In today's cut through, competitive and show+off world everybody is trying to show off to others what they have. This requires spending money on unnecessary and unfruitful items whose utility fades over time. Moreover investment and that right one is an art which is to be learnt patiently which people don't have or least resisted to learn. Whatever investment strategy which works for one don't work for others. Not all are impatient one. It is just a section of people who don't save and invest. Moreover this tendency is largely seen in young generation (majority) and not mostly in case because of over hype attitudes they had.
   Savings accounts can have a poor reputation because they have such low returns, particularly in today’s economic climate. It’s true when taking inflation into account, you can actually lose money on a savings account in the long run. The Federal Reserve has not been kind to savers, especially since the financial crisis when the Fed dropped the interest rate to a historic low. But even in the current American economy, saving has some distinct advantages over investing. Investing is a natural way of making money and making your dreams reality.

Such a solution is indeed quite good and is very possible to be implemented by everyone who wants to experience a good future for themselves through this. But we also need to determine what form it is in, because not all forms of savings are suitable to be considered as future investments, for example fiat savings which generally will only save us temporarily to buy something. So if we want to create savings that can be considered as an investment for the future, I think it is only more suitable for Bitcoin and gold. Because apart from the possibility of making a profit when prices increase, these two assets also have more value in the eyes of many people at this time.

Saving is really good, and it's a nice idea if we save a certain amount of money while earning money, because it will help and it has been helping throughout, but investment is better than saving money. In my opinion, saving money cannot double or put profit in the money you have really saved. There is even a possibility of you spending that money in the name of solving financial problems, but if you invest the money in something meaningful, you will surely get something on top of the money you invested.

But saving, just like the inflation you are talking about now, is now common, and what’s happening is that if you save money that you want to use for something with this current inflation, your budget may increase, and you may not have money to add and buy what you want, but if you invest the money in something meaningful, you won’t lose money, even if you add money and purchase what you want.

Our savings should also be part of our investment because we are having them kept for us for future use, when we have our savings to have accumulated to a certain amount reasonable for starting a business investment, then we will have to fall back on the savings to get this achieved, henceforth from that time onwards, we are to keep working to maintain the investment have another savings we could later fall back to in the future.

I agree that saving should be the priority over investing. If we have no savings, we have no reserved money. It is very important for urgent needs in the future. Meanwhile for investing, it is a good idea to multiply the money but it is done when we have excess money only. Many people said that investing is better than savings but they don't consider the reserved money. Sure, investing can be success or fail. If we put all the money in investment, how we have reserved money? 

Of course, we must have stable income from good jobs in real life. If we have stable income, we will be easy to allocate money for investment and savings. But if we still have no stable income, it is better to focus on savings first. Investment is good but it should use the safe money, safe money means the excessive money.