How to save money and beat up inflation rate? Options please!

[jademaxsuy]

I would like to know from your brilliant ideas to come up in a decision on how to save money and beat the inflation rate. Inflation rate is very common to all or most of the economy every country faces. The capacity of money to buy goes down as inflation rate increases consecutively over a period of time. The most affected in this problem were the poor like me.

I was geared to save as one insurance company came to our workplace and invited us to join with them. The agreement is we have to pay monthly which will then accumulate over a period of time and had a lot benefits for being a part of the insurance company. The monthly payments accumulated will be 10-15 years with more or less 10-20% returns from the accumulated savings being made. However I am still not satisfied because the inflation rate goes to 4-7% annually that might not compensate even 20% increase over optionally 10 or 15 years of returns from the insurance company.

Since I have the idea in saving money through bitcoin, so probably this could be a better chance in getting away from this inflation rate as another option in saving money other than the insurance company or even banks (the traditional way of saving money). Banks and insurance company does only offer low interest of increase of the savings so I am not favorable to it.

As I imagine, during the old days of bitcoin started @ 1 dollar then now doubles its market price everytime and up to present market price which is relatively high. It shows a higher increase rate of returns from the savings more than the the other ways of saving money as I have mentioned above. Basically if one saves money through bitcoin, then higher chances are that it could beat the inflation rate over a period of time. Besides whenever I will be needing the money with bitcoin I could easily withdraw it anytime as I am the one to manage the bought bitcoin being held. There is no third party and just purely system or platform of bitcoin that will help me to save money and beating up inflation rate at the same time.

However, I am little bit worried as what others had told that putting your money to bitcoin is risky. This is why I need to know your ideas on what could be the good thing to do to pursue in saving money. But, I am also open to other options from you guys if you have just do not attempt to scam.

Do you think that bitcoin will be better in saving money and beating up the inflation rate?

[Upgrade00]

If it's a local firm, insurance would likely be saved up in your local currency and still be subject to inflation rate. Same with banks that offer low interest returns on amounts saved up and are equally impacted by inflation.

AFAIK, it's quite difficult to find an asset with a static value, which neither falls nor rises overtime. It's either a tangible assets which loses value or a financial asset which has a speculative value, there are also assets with intrinsic value such as landed properties.
No one would want to save up in a depreciating commodity like cars (except in cases of vintage ones) or gadgets and putting your money into assets that are projected to appreciate does not count as saving, but investing. And any investment comes with it's fair share of risks. Bitcoin falls under this category;

However, I am little bit worried as what others had told that putting your money to bitcoin is risky.

Putting your money into any investment venture comes with its fair share of risk. The volatility in bitcoin potentially increases this risk. You can explore other less volatile assets like gold.
Only invest what you can afford to lose
Do your own research

[jseverson]

However, I am little bit worried as what others had told that putting your money to bitcoin is risky.

The same is true for basically everything else though, which is why some people prefer to sit on cash. It should also be noted that putting all your eggs in one basket is inherently risky by itself, so no matter what you end up doing, you should diversify.

On that note, it should be perfectly safe to have a portion of your savings in Bitcoin both for sizable future returns and beating the inflation. I would like to point out that diversification doesn't really work in the crypto market -- as a whole, it tends to follow Bitcoin's price movement, so putting money on more cryptocurrencies will only expose you to more risk with generally minimal gain. If you want to invest in crypto, buy Bitcoin and nothing else.

As for the traditional finance side, it may be worth putting another portion in an index fund, which should be perfect for people like you who just want to park their money somewhere. Precious metals are safe bets as well.

It's ultimately up to you to do research regarding what suits your risk appetite though.

[gentlemand]

The monthly payments accumulated will be 10-15 years with more or less 10-20% returns from the accumulated savings being made.

That's an absolutely mediocre 'deal'. I can't believe anyone would offer that to someone without expecting a punch in the face in return. 1 year at 1% is just about tolerable if you can't find anything else, beyond that it's an insult.

If Bitcoin survives the next few years then I'd be staggered if it didn't beat inflation by a vast amount and it's not as if you have to put everything into it.

You'll get more focused thoughts on conventional options if you tell us what country you're in.

[Ucy]

Well, Bitcoin was designed to beat the inflationary problems. Deflation is part of its feature. 

I would advice you put your money into things without centralized political/non-political interference or control.(It very important to avoid them esp long-term)  Building something like that would be challenging but possible.
You could basically build something that is very safe, morally legal and close to impossible to centralized. Once the centralization, lawlessness, secrecy etc are taken away, you could invest in it longterm. 

I would begin to invest in good/safe things that I fully control and that will be highly needed during the time of serious crisis. (we are approaching the "this time"). Most likely use local Blockchains/decentralized tech to control the "good/safe things"

[mu_enrico]

I would like to know from your brilliant ideas to come up in a decision on how to save money and beat the inflation rate. Inflation rate is very common to all or most of the economy every country faces. The capacity of money to buy goes down as inflation rate increases consecutively over a period of time. The most affected in this problem were the poor like me.

If you are already wealthy, it's called hedging, while if you are still poor, you might prefer to put your money in some investment plan.
Hedging usually done with gold or government bonds or both, while investment can be varied according to your risk preference, typically stock or corporate bond, or both.

I was geared to save as one insurance company came to our workplace and invited us to join with them. The agreement is we have to pay monthly which will then accumulate over a period of time and had a lot benefits for being a part of the insurance company. The monthly payments accumulated will be 10-15 years with more or less 10-20% returns from the accumulated savings being made. However I am still not satisfied because the inflation rate goes to 4-7% annually that might not compensate even 20% increase over optionally 10 or 15 years of returns from the insurance company.

Probably you were offered some unit-link type of investment. Generally, I'd say stay away because:
- probably you won't need the insurance;
- you have to pay the fund manager fees (included);
- you need to trust the insurance company.

It might be better if you buy mutual funds or buy stocks directly. You can construct your own portfolio with blue-chip companies that you like.

Do you think that bitcoin will be better in saving money and beating up the inflation rate?

Sadly, no one can predict the future, so investing in Bitcoin is still very risky in the long run. Well, if you don't want to miss the moon train, you can use a small portion of your total investment into Bitcoin. It's like a gamble that can give you a substantial amount of money if you are lucky.

[ethereumhunter]

If you want to save your money in bitcoin, you know that bitcoin price will always fluctuate, and no one will know when bitcoin price will increase so high. Bitcoin price itself is not stable at some price, and it is always changing, so that can makes you worry. But if you are okay with that, you can start to save your bitcoin, and don't spend it until the price increases. Besides of bitcoin, you have another option to save your money in gold, and we know that gold price tends to stable, but some analyst says that the gold price can increase higher too.

Depositing your money in your bank account will also work, but you can not expect a big return in one year or more because it has its calculation about giving the return to its members.

[exstasie]

I was geared to save as one insurance company came to our workplace and invited us to join with them. The agreement is we have to pay monthly which will then accumulate over a period of time and had a lot benefits for being a part of the insurance company. The monthly payments accumulated will be 10-15 years with more or less 10-20% returns from the accumulated savings being made. However I am still not satisfied because the inflation rate goes to 4-7% annually that might not compensate even 20% increase over optionally 10 or 15 years of returns from the insurance company.

You can literally find bank accounts that pay better than that.

If all I'm looking to do is beat inflation, then investing in stable revenue-generating businesses is appealing. Property management comes to mind.

Well, Bitcoin was designed to beat the inflationary problems. Deflation is part of its feature.

That doesn't guarantee its price will appreciate. Someone who bought in December 2017 is still significantly down on their investment; forget hedging inflation. It's a high risk, high reward speculative investment.

[slapper]

Well, putting your money in bitcoin is not really risky at all, but putting all of your money in bitcoin can be a problem. We all know that bitcoin has been adopted and recognized by the people for more than 5 years. However, nothing ensures that bitcoin will live for the next 10 years. No matter how good bitcoin is, it was only born 10 years ago. Gold is a different story. It has been on this planet since the Earth was created and people have been using gold for thousands of years. That's why its a safe haven and people trust gold the most. If I were you, I would split my money into half and put one in bitcoin, the other for gold.

That's my advice for maximum profit with minimum risk in which you can defeat the inflation. And there are still various ways to generate money passively. Try to make research on the Internet and you will find out
Best regards

[Jating]

Well, putting your money in bitcoin is not really risky at all, but putting all of your money in bitcoin can be a problem. We all know that bitcoin has been adopted and recognized by the people for more than 5 years. However, nothing ensures that bitcoin will live for the next 10 years. No matter how good bitcoin is, it was only born 10 years ago. Gold is a different story. It has been on this planet since the Earth was created and people have been using gold for thousands of years. That's why its a safe haven and people trust gold the most. If I were you, I would split my money into half and put one in bitcoin, the other for gold.

The risk is that when you put everything in one basket. Bitcoin is not bad, but you need to have plan B, C, D just in case you really need to cash out specially if there are emergencies.

That's my advice for maximum profit with minimum risk in which you can defeat the inflation. And there are still various ways to generate money passively. Try to make research on the Internet and you will find out
Best regards

There is trading as well, you save some bitcoins and then have some to play around the market. Of course it's not passive because you still need to work your ass off. But if will be a good option, in my opinion. As far as insurance though, I'm not a fan of it, personally. I have been scammed myself and there are history of insurances pulling a exit scam here in my country.

[Findingnemo]

Don't save your money that is the best way to beat inflation, investing on anything which gives more returns per year than actual inflation of your local currency will give you overall profits.Cryptos are highly risky to invest so don't invest all your money in cryptos for any reason,just distribute and invest on different assets and also having less liabilities will help you in saving money.

[DraGonD]

Try to check kucoin pool-x. They have a lot of staking programs sometimes with incredible hight ARP. Yes, they usually offer shitcoins for this, but sometimes 15 arp could be real numbers

[sunsilk]

As you know, there are plenty of bitcoin folks that have decided to save their retirement through bitcoin. But the same with your perspective, it's risky because it's volatile and that's why you should only invest what you afford to lose.

You are already on the right track and you know the behavior of bitcoin. You have the idea of how it works and how it quickly moves from phase to phase in just a short period of time. But if you are worrying that you can't take it, spread your money through other investments that can produce profit like renting a real estate you own which basically means, you have to invest in a real estate.

[Lucius]

Regardless of all the possible risks when it comes to investing in something, the worst option is to just keep the money (fiat) in the bank or under the mattress. In either case, inflation will do its thing - and if you're unlucky in life, thieves will look right under your mattress.

Since you are asking this question on the bitcoin forum, it is logical that most of the answers will be to invest in Bitcoin. Although it is a very risky investment, it proved to be extremely profitable (except for a short period in late 2017 and early 2018), but some simply ignored warnings not to enter during such a large pump that had to stop at one point.

If you want to put some of your money at risk (but also a possible big profit), then invest a certain percentage in Bitcoin. If you want relative security choose gold or silver or maybe real estate investing. No one can give you a 100% successful formula, because that would mean they can predict the future - and it all comes down to studying the past and speculating on what might be in the future. 

[South Park]

I would like to know from your brilliant ideas to come up in a decision on how to save money and beat the inflation rate. Inflation rate is very common to all or most of the economy every country faces. The capacity of money to buy goes down as inflation rate increases consecutively over a period of time. The most affected in this problem were the poor like me.

I was geared to save as one insurance company came to our workplace and invited us to join with them. The agreement is we have to pay monthly which will then accumulate over a period of time and had a lot benefits for being a part of the insurance company. The monthly payments accumulated will be 10-15 years with more or less 10-20% returns from the accumulated savings being made. However I am still not satisfied because the inflation rate goes to 4-7% annually that might not compensate even 20% increase over optionally 10 or 15 years of returns from the insurance company.

Since I have the idea in saving money through bitcoin, so probably this could be a better chance in getting away from this inflation rate as another option in saving money other than the insurance company or even banks (the traditional way of saving money). Banks and insurance company does only offer low interest of increase of the savings so I am not favorable to it.

As I imagine, during the old days of bitcoin started @ 1 dollar then now doubles its market price everytime and up to present market price which is relatively high. It shows a higher increase rate of returns from the savings more than the the other ways of saving money as I have mentioned above. Basically if one saves money through bitcoin, then higher chances are that it could beat the inflation rate over a period of time. Besides whenever I will be needing the money with bitcoin I could easily withdraw it anytime as I am the one to manage the bought bitcoin being held. There is no third party and just purely system or platform of bitcoin that will help me to save money and beating up inflation rate at the same time.

However, I am little bit worried as what others had told that putting your money to bitcoin is risky. This is why I need to know your ideas on what could be the good thing to do to pursue in saving money. But, I am also open to other options from you guys if you have just do not attempt to scam.

Do you think that bitcoin will be better in saving money and beating up the inflation rate?

Technically speaking you are not asking how to save but how to invest to beat the inflation rate, as we know if you just keep your money in a bank account that gives you no interest then over the long run you are losing purchasing power, if you want to avoid this then as you have discovered you have no other option but to invest.

There are several options for this, one option is to leave a professional do the job for you, there is just one big disadvantage with that, most investments firms cannot beat the market or the rate of inflation and many lose money for their clients, as such your only option is to do it yourself.

Investing in bitcoin is as you may guess one of the first options that comes on this forum, but you cannot do it blindly, there are good moments to do it and there are also bad moments as well, in order to reduce your risk it is imperative that you learn all what you can about how to invest and in your case that you do it for the long term as this improves your chances of seeing profits by just buying and holding your coins.

[Negotiation]

The main way to save money is to invest in Bitcoin. The basic idea behind investing is to make a regular income over a period of time. Over time your investment grows and so does your money does for example the next five years will not be the same if the investment is made and it can grow further. Thus, investment is extremely important for everyone. But first, you have to save money before investing One way to get closer to your desired goal is to understand the power of compound interest. Compound interest means an interest that is not only calculated in the initial currency but also takes into account the accumulated interest as compared to the previous period. We can save money by investing in both the short term and the long term.

[Febo]

Do you think that bitcoin will be better in saving money and beating up the inflation rate?

Yes. But first its demand needs to mature so volatility will stop. Bitcoin was very deflationary this year. Bitcoin inflation in 2020 is -26%

[jademaxsuy]

Well, Bitcoin was designed to beat the inflationary problems. Deflation is part of its feature.

yeah that is the good thing about bitcoin. However the risk is also there as being mention of its volatility make its more potential for losses. If you can rate the risk in investing bitcoin from 1-10 which is 1 is the lowest and 10 is the highest what could be your answer?

Putting your money into any investment venture comes with its fair share of risk. The volatility in bitcoin potentially increases this risk. You can explore other less volatile assets like gold.
Only invest what you can afford to lose
Do your own research

Yeah risk is part of investment and properties as what you had mention could be one way of good investment or even gold but then it would be needing money to acquire it. And  if time comes that you will be needing the money then  you will have the difficulty in selling the asset without dropping its market price to get an urgent sales.

[Mauser]

I think a well diversified portfolio will beat the inflation rate in the long run.
Even though prices are fairly high at the moment, a good portfolio should include stocks, bonds, commodities and of course crypto currencies.
Bitcoins are probably a very safe bet, its very well known all around the world and has already many investors.
For stocks and commodities I would recommend just some indicies if you don't want to invest a lot of time to do your own research.
For bonds there are special bonds that payout inflation adjusted returns which could be an option.

[Upgrade00]

but then it would be needing money to acquire it. And  if time comes that you will be needing the money then  you will have the difficulty in selling the asset without dropping its market price to get an urgent sales.

You should never invest funds you cannot afford to lose, reason why I stated that; investments are not a means of hedging funds as there is a potential risk involved. This way you will not be pressured to sell at a loss (due to a drop in price or urgent need) when liquidating your assets.
As I mentioned earlier, you will need to do your own research and understand the financial market, this would help you decide which asset(s) is most suitable.