Resolute Capital's video: SAVING or INVESTING Which one should you do

Resolute Capital - https://www.instagram.com/resolute_capital/ Connor King - https://www.instagram.com/connortking/ Banks Nash - https://www.instagram.com/banksnash/ DISCLAIMER: THIS VIDEO IS FOR ENTERTAINMENT PURPOSES ONLY. YOU SHOULD ALWAYS CONSULT WITH A PROFESSIONAL FINANCIAL ADVISOR BEFORE MAKING ANY DECISIONS WITH YOUR MONEY WHAT IS THE DIFFERENCE BETWEEN SAVING AND INVESTING, AND WHICH IS MORE IMPORTANT? In simple terms, I try to distinguish them by growth. With saving, you know it is just sitting there, not growing or going anywhere. The only thing happening is depreciation because of inflation. Investing is typically money that you are hoping grows. As an example, if you have $1,000 and you want to save it, you put it in a savings account and it is not going up at all except for a small amount of interest. It is actually decreasing because of inflation (assuming your interest rate is below inflation rate). As far as savings, you know you aren't going to lose a ton of money because it is very conservative. Saving is crucial to anyone's financial journey. If all your money is invested, you have no peace of mind that you still have some. With investing, on the other hand, you are hoping the $1,000 grows over time. Hopefully it does, but it also has big dips and could decrease sometimes, which makes it more risky by nature. To recap, you need both. If you are just doing one, that is a bad sign. You definitely need to save money, but at some point in your financial journey, the majority of your cash should be invested. This will allow your wealth to grow for the future. Cash set aside is good for emergencies, etc., but a good portion of your funds should be invested, which will allow your $100,000s to turn to $1,000,000s over time, if it invested well. Money saved will simply slightly fade over time. I HAVE A JOB THAT WILL MATCH 401K CONTRIBUTIONS, SHOULD I PUT MONEY INTO 401K OR ROTH IRA, OR BOTH? If you have an employer that will match 401k contributions, it is like they are giving you free money. It is definitely wise to invest into that first, for even though you will eventually be taxed, the free money match will greatly help your returns. You will end up with more money in the future if you go for the 401k match first. If you have any money leftover, you can invest that into your Roth IRA. You can do both, but you should prioritize the 401k investing first. Resolute Capital on Twitter! - https://twitter.com/CapitalResolute Checkout the website of our parent company - https://www.resoluteteam.io/ Sub count at time of upload: 178