Created: 19 August 2020
It is then important to understand how the two are connected when it comes to growing your wealth.
To save, or not to save…
Saving money is essential to prepare for the future ahead. It gives you purchasing power to plan ahead and ensure you have the financial capability to pursue your dreams. Without savings, how would one be able to make purchases, achieve life goals such as marriage, building a family, pursue higher education, or whether any financial storms?
Investment comes into the picture due to several factors, most crucially inflation. Over time, the value of your money erodes due to rising cost, and this is known as inflation. The money you have now will be worth less in the future, and investment is a way to ensure you always have enough to sustain your lifestyle and have the same or more purchasing power in the future.
Now that the importance of saving and investing has been stated, here are some best practices on attempting to save and invest:
Saving and investing is definitely an important financial habit to have, and it takes realisation of it, discipline and hard work to work towards growing one’s pool of wealth to achieve life goals.