Our Two Cents On Your Savings Account

It’s common knowledge that setting a little bit of money aside regularly is a good idea. It just makes sense – what if something came up and you needed the extra cash? Aside from having a little bit of “emergency money” on hand, it’s necessary to save up for some of the bigger purchases you’ll make in life – like a down payment on a vehicle or house. If you’re really smart, you’re also setting aside money to retire, and money to pass on to your kids if you have them. These are all great reasons to save, but there's something missing if we stop here… and it's pretty big.

Just picture this: You save a little from each paycheck - you use a little for an emergency, you use a little for a down payment on a car, then a house, then a second car, etc. There’s always something… These are important purchases, but when does the cycle end? Your savings empties; you replenish it; it empties again, so you replenish it again. You trade hours for dollars every day to sustain this cycle. What if you were SAVING FOR FREEDOM FROM THE CYCLE? 

This is the perspective on saving that could affect your potential to succeed! When you're saving money to spend, it's gone once you spend it, right? But, if you're saving money to invest, that money has the potential to offer profitable returns in the future. 

Now, wait a second, don't let yourself be discouraged or think that the rest of this article is going to be confusing because words like "investing" and "profitable returns" are being thrown around. It might not be as complicated as you think . . .

Investing looks different for everyone. Ask yourself if you want to start your own business one day. If the answer is “maybe”, start setting aside money now. Even if you don’t end up doing it, that money can later be invested in a different way. What would really stink is deciding 20 years from now that you’re finally ready to dive in, and you’re not financially able to. Being an entrepreneur can be tough, and you’ll need all that you’re able to set aside before taking that big leap. And yes, setting aside money to start your own business is investing. It's investing in your bright future. :) 

Investing in the stock market is another way to invest in your own bright future. Like investing in your own business, this is an option with the potential to create monthly cash flow. Again, don't assume you're about to be thoroughly confused. It's true, investing in the stock market isn’t something you want to do blindly; it takes skills! But teaching people these skills in a simple way is exactly what TRADEway does. We break down the confusing stuff for you, and help you take small steps to reach big goals. You don't have to jump in blindly, or feel pressure to put your money in a position that you’re not sure about or comfortable with. You should feel confident and prepared, and our focus is on getting you there.

You certainly don't have to pick "one way or the other" with these two options. In fact, if you want to be an entrepreneur some day, investing in the stock market now might help you get there faster. Investing in the stock market doesn't have to be a full time gig, so it might be the right option for you if want to take a portion of your current savings and grow it over time in order to invest in your own business later. Think about the other things we mentioned earlier, like big purchases, retirement and inheritance funds, etc. Investing in the stock market could even help you reach these goals faster too.

While you're working to figure out what your next step will be, why not make a plan to create an “off limits” stash of money, so that it’s there when you figure out what investments are right for you? Being stuck in a cycle of saving, spending, and trading hours for dollars isn't your only option. A bright, new perspective on saving could drastically affect your potential to succeed. When you have a long-term plan in place and you're learning a new skill, saving is much more exciting!

At our live events, there’s something for everyone to learn. If you're interested, head to our website events.tradeway.com for more information, video messages from our speakers, and a schedule of events.