Americans save money because no one can predict the future and having a safety net is important when it comes to avoiding unnecessary debt.  It is also a great way to plan for retirement, and make sure there’s extra money to enjoy life as it happens.  Saving money is just the start, though. Investing money is where you really make a difference when it comes to achieving and attaining your goals.  So how can we do that?

Wealthy people know that they can’t make all the money and then just put it all in the bank.  It will never grow enough, and people can’t be expected to just earn all their savings.  You have to get your money working for you too.  It has to be invested in something that is working like you do, to eventually provide you with the funds that you need when you stop working.  So how do we do that?

This process is called “monetization.”  The movement of money – and there are many traditional and non-traditional ways to do this.  The first option is to invest in the stock market, perhaps a guided stock portfolio, SMAs, Mutual Funds, Strip Bonds, or Exchange Traded Funds (ETFs).  You can do this on your own with an on-line trading account or you can get a financial planner to help you.  Another option is to invest in real estate, decidedly one of the oldest ways to make money and you need a place to live – Right?  Why not buy a home, move up to a larger home, buy a second residence or buy a rental or investment property?  There are many people who have made their fortunes and become extremely wealthy just buying and selling real estate, many of whom have never invested a dime in the stock market.

Christine’s Tip:

Saving should be part of your number one goals – along with being happy and healthy.

Overspending is somewhat like overeating.  We rationalize one more cookie or our last supper before a new diet on Monday, just as we rationalize a family holiday on credit.  We feel that we really need the vacation and, what’s more, we also feel we deserve to have this time for ourselves and our family.  When we return from vacation to get the bill and pay off the credit card with funds from our line of credit, we feel totally defeated again.  This has to end if there is to be a wealthy future.  You need to put your lifestyle on a diet.  It won’t be easy, but nothing important or worthwhile is ever easy.  Once you get your budget down to a lean, mean working machine, I guarantee you will be happier.  Things will change.  Every facet of your life will get better. 

Believe me – it does work.   It’s that simple.