Answer:
Saving and investing can do two things for you:
Saving:
-Prepare you for future plans like taking a vacation
Investing:
-Can build your wealth for future spending and other purposes
Step-by-step explanation:
For individuals and families, it may be worth their while to invest. Investing in savings and building assets as a part of their financial well-being plan. Emergency savings funds allow you to handle unexpected emergencies such as; if your living space has been destroyed by a tornado or storm, you can use the money you have stored to buy an apartment and food for the time being so you can get back up on your feet. Investing is an effective way to put your money to work and potentially build wealth. Smart investing may allow your money to outpace inflation and increase in value. The greater growth potential of investing is primarily due to the power of compounding and the risk-return tradeoff. Saving money is important because it helps protect you in the event of a financial emergency.
Additionally, saving money can help you pay for large purchases (houses, cars, etc.), avoid debt, reduce your financial stress, and provide you with a sense of financial freedom. These reasons show it is a good idea to invest and have money "work for you".
Have a great rest of your day
#TheWizzer