I was taught early to save money. In fact, that’s all I was taught. I learned about investing in my adult years, and there’s a TON of difference.
So, what’s the difference between saving and investing?
Saving is simply putting money away, say under your mattress, in a jar, a piggy bank, a checking account, a savings account, or even a money market account.
The mattress, jar, and piggy bank aren’t going to earn any interest. Heck, the checking, savings, and money market accounts aren’t going to earn much either.
Basically, those strategies are just for storing money.
Investing is putting money away with the intent that it will earn money. Real Estate is one avenue. Buy a property and when it’s paid off it will earn money. Hopefully, its value will also grow and selling it will bring a profit.
The stock market is another avenue for investing. Despite its ups and downs, it’s historically returned profits.
Investment avenues are designed to allow your money to make money. Cool, huh?
There’s a bunch of great info on saving and investing. Let’s explore some.
Compounding Interest: Good vs Bad – Get the skinny on how compounding interest affects credit debt and investment growth. (Shin, Money is not Taboo)
Investing the Model A Way – The stock market is not the place to make money fast, but it’s a good one. Historically it’s overall performance has been positive in growth. (Shin, Money is not Taboo)
5 Clever Saving Techniques to Trick Yourself Into Saving – Need some ideas to help you put money away? Check these out. (The Practical Saver)
15 Personal Finance Goals to Consider – You’re going to achieve more with goals than without them. These will help you get ahead financially. (Young Adult Money)
How You Can Ensure You Have Enough Money for Retirement – Retirement is awesome, if you have money to enjoy it. How much do you need? This article will give you an idea. (Life and My Finances)
9 Ways to Save Money on Your Wedding – Weddings don’t have to cost an arm and a leg. Rachel knows that, as she just got married, under budget. You learn her tricks in this article. (Rachel Slifka, Money is not Taboo)
How to Invest in Real Estate Without a Ton of Money – Real estate can be a great investment, but not everybody can afford to buy property. Want to get in on the action without a lot of capital? You can learn how in this article. (Shin, Money is not Taboo)
15-Year Mortgage Paid Off in 5 Years – Want to save on your mortgage, freeing up more money for investing? Shortening your mortgage time will save you tons of interest. (Marriage, Kids, and Money)
I Didn’t Know That I Had Set Up a Personal Escrow Account, but I’m Glad I Did – Do you have bills that you don’t pay every month, but have to, here and there during the year? Here’s what I blundered into, to plan for those unexpected bills. (Shin, Money is not Taboo)
7 Ways to Save Money Without Realizing It – Find out how ways to save money that you didn’t know were options. These ideas make it easier to put some dough away. (Young Adult Money)
16 Ways to Invest $100 – You’ll find some great ideas in this article. I learned a bunch and will have to look into some of these strategies, closer. (Good Financial Cents)
An Easy Way to Invest in ETFs – Learn how to invest in Exchange Traded Funds using the App Stash (Your Average Dough)