Is Saving Normal Money Even Worth It?

• Author: Chris Remington
• Posted: 2024-11-16

1. Get help with your rent payment or use some of it towards buying a home


Millions upon millions of people are out there right now looking to invest in their personal future. Many are buying precious metals. Some are getting into crypto-currencies. Others are investing in things like real estate and private property. The point being that there are tons of individuals who are looking toward a future where they will be financially comfortable and will not have to struggle to make ends meet. If you're one of the many people concerned with personal investing, then you may be looking for a good way to go about it. For a lot of people out there, it's usually as simple as saving money. Though, unfortunately, that hasn't worked out too well for many people.

Look at it this way. In the 1950s, a single US Dollar was worth exactly that. That's when $1 had its full spending power. Today, however, that dollar is quite literally only worth a nickel compared to back then. So, imagine you're in your 80s now, and you've been saving money back since the 1950s. If you managed to save a million dollars, which would have been a fortune back then, you've basically only saved the equivalent of a couple thousand in a relative sense. Now imagine that you saved something else that appreciated in value. You would be rich.

This is why it's a bad idea to save money as a personal investment. Savings accounts are good in theory, but they're only ever as good as the currency is strong. For the US Dollar, it's simply not very strong at all.

Inflation Is Insane

The fact is that inflation is out of control. If the dollar has lost literally 95% of its value in 70 years, what's it going to be worth when you retire? Understand here, of course, that it's not so much that the dollar is currently worthless. It's all about what it has the power to buy. It used to be so powerful a piece of currency that it could get you milk, bread, eggs and maybe even some meat, all for that dollar. Today, it might get you a candy bar, and you still might owe some change as tax. That's just how much the entire market has inflated around that dollar, to the point it's teetering on the edge of being worthless.

There Are No Guarantees

Speaking of the dollar being worthless, that is not outside the realm of possibility. While it's not really likely, the fact is that it has been seen before. In fact, it has been seen in America. After the Civil War in the 1800s, the Confederate money that was used traditionally in the south was utterly worthless. It was good for nothing but to start fires with. More recently, in Zimbabwe, their currency crashed so hard that people were literally walking around with billions of dollars in paper currency and couldn't buy a meal with it. No one wanted that money. It was entirely worthless. You would like to think that this is something that couldn't happen to the US Dollar, but are you willing to risk your entire future on that assumption? It's far better to just invest in something more solid.

Money Still Spends Now

The good news for personal investment is that money still spends right now. As of right now, with inflation where it's at and the strength of the dollar, things have been relatively stable. So if you're thinking about getting in on something like crypto, precious metals, IRAs, or diversifying in any way, now would be the time to do it. In the next few years, it's really hard to say what the value of that dollar is going to be. Personal investing is all about the future, but the actual present is when you need to act. Gold, for instance, is the type of commodity that you can buy that's physical. There's no centralized authority that prints it in a factory somewhere; it has to be physically mined from the Earth. So anything you pay on that cannot entirely deflate. Paper money is subject to the whims of international creditors, whereas physical investments like precious metals live by the laws of supply and demand. So it's a much safer bet to make on your future.

There are all sorts of different routes you can take when investing in your personal future. Just try to stay away from things that can be devalued and leave you broke.