Why do some people choose to invest their money instead of just keeping it safe in a savings account?

The answer lies in understanding a sneaky problem called inflation - the way prices gradually increase over time.

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Have you noticed groceries costing more than they used to?

Here's what inflation does: $100 today won't buy the same amount of stuff in 10 years. Prices tend to rise about 2-3% annually.

This means your money slowly loses purchasing power just by sitting still.

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If inflation is 3% a year, about how much would prices rise on a $100 purchase next year?

Saving means putting your money somewhere safe, like a savings account or under your mattress. Your money stays the same amount, but its buying power shrinks over time.

Saving protects your money from being lost, but not from inflation.

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What's one advantage of keeping money in savings?

Investing means putting your money to work by buying things that could grow in value over time - like pieces of companies or government bonds.

Unlike saving, investing gives your money the potential to grow faster than inflation.

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What do you think might be one downside of investing compared to saving?

Here's a simple example: $1,000 in savings might earn 1% per year, while inflation runs 3% per year. You're actually losing 2% of purchasing power annually.

That same $1,000 invested might grow 7% per year on average, beating inflation by 4%.

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Which scenario sounds better for your future buying power?

The key insight: saving preserves your money's amount but not its power. Investing aims to grow your money's power over time.