Saving
-Short-term: Ready to go
Saving is typically for smaller, shorter-term goals in the near future (usually three years or less) like going on vacation or having money for an emergency.
-Ready access to cash
-Minimal risk
-Earn interest--You can earn interest by putting money in a savings account, but savings accounts generally earn a lower return than investments.
Investing
-Long-term: Achieve major goals
Investing can help you reach bigger long-term goals (at least four to five years away), like saving for a childs college education.
-Harder to access cash
When you invest your money, its typically not as easy to get your hands on it quickly as compared to a savings account.
-Always involves risk
-Potential for profit
SO IT'S YOUR CHOICE ON OW YOU WANT TO HANDLE YOUR MONEY
-Short-term: Ready to go
Saving is typically for smaller, shorter-term goals in the near future (usually three years or less) like going on vacation or having money for an emergency.
-Ready access to cash
-Minimal risk
-Earn interest--You can earn interest by putting money in a savings account, but savings accounts generally earn a lower return than investments.
Investing
-Long-term: Achieve major goals
Investing can help you reach bigger long-term goals (at least four to five years away), like saving for a childs college education.
-Harder to access cash
When you invest your money, its typically not as easy to get your hands on it quickly as compared to a savings account.
-Always involves risk
-Potential for profit
SO IT'S YOUR CHOICE ON OW YOU WANT TO HANDLE YOUR MONEY