I see that many of you actually liked the concept of 20 % method wherein you allot 20% of your earnings to be saved as emergency fund.
So I was thinking, if that 20% allotted will be invested in a time deposit kind of account, will it still be possible to earn as much or invest it in cryptocurrency? Or maybe just let the money sleep until such time you will need it?
What will be a wise kove to do with the noney you have saved up?
You could (and probably should) put it into some form of a safer investment. There are a lot of stock options out on the market that allow for pretty continual growth albeit very slow. This would be better than just leaving your money in a risky investment or just letting it sit under a mattress somewhere because at least you collect some interest. As you keep making money, you'll end up with more in that emergency fund until it becomes something that you can actually work with in a few years/decades.
If people spend less, businesses do not make profits. If businesses do not make profits they make job losses or they higher their prices. This can have a direct impact on a families disposable cash; it will decrease. Office for National Statistics, showed that without a sharp drop in household saving in the second quarter, there would be a drop in households' incomes. Therefore the ONS said that people should actually start listening to Government incentives and follow their encouragement to spend more. This way, they would actually increase their overall wealth.
Reference:
http://www.bbc.co.uk/news/business-11426497%5D%5D