Why we should prioritize investment over saving

[tabas]

Saving is just the start to financial freedom because you're teaching yourself on how to be financially responsible for yourself. And I think everyone who is starting needs to understand the importance of it. But after you start the discipline of saving then you'll eventually learn the importance of investings. Because you'll then understand that when you save, you're not going to be rich.

So too me we should think of investing more of our money than saving it, so that  inflation wouldn't eat it up.

And as you save, that's one enemy of yourself and your money. Because nothing is being done by your money and it should be done through reinvesting so that it will appreciate. As in savings, the interest rate you earn there is little and not enough compared to the inflation rate and that means the value of your money is lower than how things have gone up.

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[bitzizzix]

In my opinion, both are very important and must have different goals and must be done according to ability.
And it's good for us to have both, and save for reserve funds such as sudden needs, illness or other important money needs that require us to use them.
And investing as early as possible is very good, the aim is for the future or in old age. When we are no longer able to work but still have money to meet our needs so that we can live our future or old age financially calmly and happily.
And besides that, by investing we can protect the value of assets as early as possible from inflation which causes a decrease in the purchasing power of the money we have, and also the money we have can work and increase.
So both are very important and must be done, set aside money to save and also to invest according to our abilities and for sustainable living comfort and also for the future.

[el kaka22]

I would say those are basically similar things. I get that investment is using the savings, but without savings how could you invest? You need to first save some money in order to start investing. However, I agree that at certain point you will not need to save anymore because your investment will grow to a point where it will be like an income for you and that will do a lot better for you. I get that it's a risk, but it is not really a big risk and you could just use that as your benefit.

Without even saving a dime, your investment will eventually become your revenue, your income that will make you live. There are plenty of people who saved enough money that they are no longer working and just living off their investment income.

[romero121]

I would say those are basically similar things. I get that investment is using the savings, but without savings how could you invest? You need to first save some money in order to start investing. However, I agree that at certain point you will not need to save anymore because your investment will grow to a point where it will be like an income for you and that will do a lot better for you. I get that it's a risk, but it is not really a big risk and you could just use that as your benefit.

Without even saving a dime, your investment will eventually become your revenue, your income that will make you live. There are plenty of people who saved enough money that they are no longer working and just living off their investment income.

Savings and investment are the same thing, and without saving, investment isn't possible. First, we need to make a few savings, and investing gives us better rewards. With savings, there is a kind of zero risk, and the earnings will be limited, whereas with investment, the risk will be high, as will the earnings. Savings can help us in critical situations, whereas investment helps create wealth. In my view, both are important in financial life, maybe the percentage allocated could be varied. To me, 20% savings and 50% investment seem to be fair, as the 20% savings help us withstand life if things go against our predictions.

[_BlackStar]

Saving our hard earned money have never been a bad idea, but their are certain things we need to consider before thinking of saving, such as inflation.
Inflation is truly the real enemy to every money that is being saved up, because when the time is right like a year time, when it should be used for it purpose, the value wouldn't be as how it actually was when you started saving it, but on the other hand, if we have been investing that money into Bitcoin, land or gold bit by bit, over the course of a year, the value of that your investment would have added additional value compared to our savings that will be eaten up by inflation.
So too me we should think of investing more of our money than saving it, so that  inflation wouldn't eat it up.

Don't save more fiat - but invest more. Fiat will lose value over time - but you still need to own fiat instead of just investing. Bitcoin, gold, property, land and several other investment options are things to consider - but of course they won't completely protect you from inflation. I admit you are right - so do it instead of just saying it.

Fiat certainly has its uses - but having fiat to hedge is bad. In fact, I wouldn't even consider deposits as a profitable investment - let alone just keep them in cash. Have fiat just enough - at least as a reserve budget instead of investing it all.

[sulendra12]

So too me we should think of investing more of our money than saving it, so that  inflation wouldn't eat it up.

That's true that inflation is a real pain if you save your money but if you need sort of instant money when something bad happens and I think saving is the best way to use for that kind of problem. I'd treat investment as a last source of money if I need to use it for emergency funds. It really hurts in the long run for my saving funds but it needs to be done and I think having both complements each other really well.

[kingvirtus09]

   In investment, if we choose a good opportunity, it will help us grow our capital in the future, and when that happens, it will also help us give and add savings. Because if we only focus on savings from no other source than work, its growth will take a long time, and the interest will be low if it is only deposited in the bank.

   That's why they do something else; they prefer to invest in Bitcoin because, even if they don't do anything else, they know that as the day goes by, the time will come when the value will really increase. In short, when the bull run starts, it is possible that our capital can repeat itself more than three times.

[poodle63]

So too me we should think of investing more of our money than saving it, so that  inflation wouldn't eat it up.

That's true that inflation is a real pain if you save your money but if you need sort of instant money when something bad happens and I think saving is the best way to use for that kind of problem. I'd treat investment as a last source of money if I need to use it for emergency funds. It really hurts in the long run for my saving funds but it needs to be done and I think having both complements each other really well.

in the case of emergence, liquidating crypto as an investment is a piece of cake, its really different with other investment like real estate investment it will be pain in the ass indeed thats why diversifying is the key here, some portion goes to crypto and the other goes to other form of investment.
but to be fair though, as long we are paying insurance and gets our health covered i think its not gonna be that much of a problem with investing, the emergency things already been taken care of by the insurance since usually its what most people are doing.
therefore investing and not having any saving at all could also do, im also doing this putting all my money in investment only have really few cash left in my wallet but things has been going well.

[yhiaali3]

This is true with regard to cash or bank accounts, but it is not true with regard to Bitcoin, gold, real estate, or property that maintains its value and can increase in value over time.

Yes, investing cash in projects that bring you monthly or annual profits is much better than saving it because it loses its value over time due to inflation. Therefore, there are two ways: either investing in successful projects that increase your capital or converting it into Bitcoin and gold and saving it in the long term.

[bayu7adi]

Until now, investments have consistently been regarded as superior to merely holding onto cash or FIAT currency. I distinctly recall how the price of instant food in my area back in 2008 has now surged by 200%. Meanwhile, the average salary in my locality has increased by 100% (approximately) since 2008. While this inflation might not appear tangible in the daily time frame, widening the time interval to 5 or 10 years truly demonstrates the reality of inflation.

IMO... it's all about adjusting the allocation for storing FIAT currency to meet short-term needs. On the other hand, Bitcoin investment assets can function as savings because they can be easily exchanged for FIAT or vice versa, unlike deposits, which involve a complicated process.

[LastKiss]

Saving our hard earned money have never been a bad idea, but their are certain things we need to consider before thinking of saving, such as inflation.
Inflation is truly the real enemy to every money that is being saved up, because when the time is right like a year time, when it should be used for it purpose, the value wouldn't be as how it actually was when you started saving it, but on the other hand, if we have been investing that money into Bitcoin, land or gold bit by bit, over the course of a year, the value of that your investment would have added additional value compared to our savings that will be eaten up by inflation.
So too me we should think of investing more of our money than saving it, so that  inflation wouldn't eat it up.

We should have an emergency fund in our life so saving is important too, because when you have investment priority but with zero saving you can disrupt your investment strategy. Don't ignore saving some from our income just like we save some portion from our income for investing, long ago I ended up using my investment to pay my medical bill because I didn't have any savings and it was when Bitcoin at a low price made me lose my opportunity to take profit from my target.

[Xcode7]

Until now, investments have consistently been regarded as superior to merely holding onto cash or FIAT currency. I distinctly recall how the price of instant food in my area back in 2008 has now surged by 200%. Meanwhile, the average salary in my locality has increased by 100% (approximately) since 2008. While this inflation might not appear tangible in the daily time frame, widening the time interval to 5 or 10 years truly demonstrates the reality of inflation.

IMO... it's all about adjusting the allocation for storing FIAT currency to meet short-term needs. On the other hand, Bitcoin investment assets can function as savings because they can be easily exchanged for FIAT or vice versa, unlike deposits, which involve a complicated process.

That is true, but it goes back to our knowledge in investing because not all investments can be profitable.
Investing should not be haphazard and haphazard, we must also take into account the long term and to avoid falling currency prices because inflation is not a reason because it happens over a long period of time so that we can still save for the things we need. useful and even invest in the future.

I don't think everything has to be done in a hurry.

And to invest in Bitcoin, actually I don't doubt it at all, but it comes back to our targets and desires because investing in Bitcoin also doesn't promise to always provide profits even though it is quite easy to exchange it for FIAT currency when we need it urgently.

[Ahli38]

Saving our hard earned money have never been a bad idea, but their are certain things we need to consider before thinking of saving, such as inflation.
Inflation is truly the real enemy to every money that is being saved up, because when the time is right like a year time, when it should be used for it purpose, the value wouldn't be as how it actually was when you started saving it, but on the other hand, if we have been investing that money into Bitcoin, land or gold bit by bit, over the course of a year, the value of that your investment would have added additional value compared to our savings that will be eaten up by inflation.
So too me we should think of investing more of our money than saving it, so that  inflation wouldn't eat it up.

Investing is indeed the right step for the long term rather than saving. And this is closely related to inflation which can continue to reduce the value of the currency we save. Even when I reflect on the prices of several products in my country 2 years ago and now, I am personally a little surprised. Because believe it or not, prices have risen by almost 75% - 100% in those 2 years. So it can be said that if I save my money for 2 years then I will have experienced quite a big loss in terms of currency value. For example, 2 years ago, the instant noodle brand that used to be my favorite had a price of Rp. 2000,- (Rupiah) and this year the price has increased to Rp. 3500,- (Rupiah) Rp. 4000,- (rupiah). And the same thing happens with other things. In simple things like that, we already understand that the decline in the value of the currency actually continues to occur without us realizing it as the prices of our daily necessities rise. So that's why investing is a choice that I also make.

[Oasisman]

Saving our hard earned money have never been a bad idea, but their are certain things we need to consider before thinking of saving, such as inflation.
Inflation is truly the real enemy to every money that is being saved up, because when the time is right like a year time, when it should be used for it purpose, the value wouldn't be as how it actually was when you started saving it, but on the other hand, if we have been investing that money into Bitcoin, land or gold bit by bit, over the course of a year, the value of that your investment would have added additional value compared to our savings that will be eaten up by inflation.
So too me we should think of investing more of our money than saving it, so that  inflation wouldn't eat it up.

We should have an emergency fund in our life so saving is important too, because when you have investment priority but with zero saving you can disrupt your investment strategy. Don't ignore saving some from our income just like we save some portion from our income for investing, long ago I ended up using my investment to pay my medical bill because I didn't have any savings and it was when Bitcoin at a low price made me lose my opportunity to take profit from my target.

Exactly, that's the part of the saying "invest what you can afford to lose", without emergency funds, your investments is at risk of unwanted withdrawals, thus it would result into a loss, especially when the market is down or at a bearish period.
I think tha correct process of investment/saving, is to save first at least 5-6 months of the total of your monthly income, then you can proceed to invest your money after that. Those savings will be considered as your emergency funds (for health and immediate job termination) and will be considered as an investment protection funds.
A lot of this kind of scenario have happened before, they thought they can make profit even before an emergency arises.

[slapper]

The threat of inflation is real; inflation steals our money without our knowledge. Anyone who wishes to retain or develop their money should know about Bitcoin, land, and gold. In an unpredictable financial landscape, Bitcoin shines. It is an asset and a statement against outmoded financial arrangements that have failed us repeatedly

Avoid oversimplifying. Investing entails risks and obstacles. Expertise, patience, and risk tolerance are needed with volatile assets like Bitcoin. The biggest risk is not leveraging our resources. We must be strategic to battle inflation and secure our financial future. Investment should come first, but do so with open eyes and a thorough grasp of what you're doing

[Rockstarguy]

Saving our hard earned money have never been a bad idea, but their are certain things we need to consider before thinking of saving, such as inflation.
Inflation is truly the real enemy to every money that is being saved up, because when the time is right like a year time, when it should be used for it purpose, the value wouldn't be as how it actually was when you started saving it, but on the other hand, if we have been investing that money into Bitcoin, land or gold bit by bit, over the course of a year, the value of that your investment would have added additional value compared to our savings that will be eaten up by inflation.
So too me we should think of investing more of our money than saving it, so that  inflation wouldn't eat it up.

I don't think their is any investment without savings. Savings is very important to start or make plans for investment.  When savings becomes wrong is when people save without making any plans how to make any investment with the money. Saving money with no plan of investing it but just leaving it in the bank for a longtime is a wrong financial decision, with time this will make the money to lose value. The best way to attain better financial height is to save and make plan for investment that will yield more profit.

In this time just savings is not the decision people needs to focus on because on a daily basis inflation is going high, which people need to have the understanding to learn how to build more money than wasting it in saving for every longtime.  We are in a a difficult time that money  can't be in a place , it needs to be spent to add more value.

[Uruhara]

Investments can potentially make our wealth grow over time and of course with the risk that it can also decrease. But saving money will only make the amount of our money increase but the value is prone to inflation. And if suddenly the country we live in now experiences hyper inflation then the money we have saved will lose so much value. Like the case in zimbabwe and Venezuela.

So I prefer to combine the two. That is I save money for me to invest after enough. So save in the short term and then invest it for the long term. simple right?

[arwin100]

Saving our hard earned money have never been a bad idea, but their are certain things we need to consider before thinking of saving, such as inflation.
Inflation is truly the real enemy to every money that is being saved up, because when the time is right like a year time, when it should be used for it purpose, the value wouldn't be as how it actually was when you started saving it, but on the other hand, if we have been investing that money into Bitcoin, land or gold bit by bit, over the course of a year, the value of that your investment would have added additional value compared to our savings that will be eaten up by inflation.
So too me we should think of investing more of our money than saving it, so that  inflation wouldn't eat it up.

We should have an emergency fund in our life so saving is important too, because when you have investment priority but with zero saving you can disrupt your investment strategy. Don't ignore saving some from our income just like we save some portion from our income for investing, long ago I ended up using my investment to pay my medical bill because I didn't have any savings and it was when Bitcoin at a low price made me lose my opportunity to take profit from my target.

People need to make sure that they are well prepared when taking investment decision since there's no going back if everything may fail especially if they don't have back up funds or emergency funds to use if everything falls unexpectedly. So savings is also important so to acquire this maybe we should have multiple income streams so that we will not get broke and can start over again once we are ready to risk again.

I know investment is important since this is what really needed to have better life but we should plan carefully each decision we made since rushing all things its because we think the current one we want to participate is the current trend then for sure there's huge chance that we will fail for this especially if we want fast return of the investments we go.

[boty]

Investments can potentially make our wealth grow over time and of course with the risk that it can also decrease. But saving money will only make the amount of our money increase but the value is prone to inflation. And if suddenly the country we live in now experiences hyper inflation then the money we have saved will lose so much value. Like the case in zimbabwe and Venezuela.

So I prefer to combine the two. That is I save money for me to invest after enough. So save in the short term and then invest it for the long term. simple right?

It is true that if we are able to invest well, we will be able to increase the wealth we have and we will also be able to minimize the losses we will face from investing because we have a lot of experience in this field, but if we choose to save, there are also risks. the value of the money we have will lose even though we have accumulated a lot of money and the country we live in experiences inflation.
I agree with you, if we combine these two things if we want to maintain the value of the assets we have and also the money we have accumulated, because if we only do one thing and we experience failure this will really make it very difficult for us to deal with it.

[rangga28]

Investments can potentially make our wealth grow over time and of course with the risk that it can also decrease. But saving money will only make the amount of our money increase but the value is prone to inflation. And if suddenly the country we live in now experiences hyper inflation then the money we have saved will lose so much value. Like the case in zimbabwe and Venezuela.

So I prefer to combine the two. That is I save money for me to invest after enough. So save in the short term and then invest it for the long term. simple right?

It is true that if we are able to invest well, we will be able to increase the wealth we have and we will also be able to minimize the losses we will face from investing because we have a lot of experience in this field, but if we choose to save, there are also risks. the value of the money we have will lose even though we have accumulated a lot of money and the country we live in experiences inflation.
I agree with you, if we combine these two things if we want to maintain the value of the assets we have and also the money we have accumulated, because if we only do one thing and we experience failure this will really make it very difficult for us to deal with it.

Saving and investing are both very important things that must be done, but each person certainly has their own perspective. In my opinion, saving is very important if your source of income is still within normal limits, meaning setting aside a little money from your daily income because this will make your daily finances less burdensome. Meanwhile, investments must be made when finances have truly reached a safe point. So in my opinion these two models must really be instilled in someone's mind to strengthen their economy and improve it.