Saving Does Not Have to Mean Using a Bank

Even so, saving money should not automatically always be saved in a bank. It could be more effective if the savings are in the form of assets. Why? Saving in the form of money can depreciate in value, taking into account the inflation factor. In short, bank saving may not give adequate results when the money value can be be eroded by inflation.

In addition, saving in banks is also not free. There are expenses charged to the bank savings account. The monthly administration fee amount depends on the type of savings, taxable income, taxable costs if the balance is at the minimum level, and so forth. Of course there is interest, but it is very small.

Thus, financial planning experts recommend to save more in assets. The fundamental explanation is that the savings would not significantly increase the value of money. However this is not the case if the savings are instead in the form of assets, for example gold. And this means in the form of gold bullion or precious metals instead of jewellery.

Saving gold could be a solution to maintain the value of wealth. Gold is an object whose intrinsic value remains stable. In addition, gold is very safe because age and it’s component is not going to change shape or colour by reaction due to air, liquids, and other metals.

Another advantage is that gold has always been immune to inflation. Its value is never lower than average inflation. In addition it also is a liquid asset that can be cashed at any time when needing money quickly. The only risk, at best, is of losing it, which can be remedied by storing gold in safe deposit boxes.

Also, saving gold can be started from the smallest value. Today gold bullion is sold with a starting weight of 5 grams. So do you do not need a big capital of millions of dollars to save gold. A little at a time bought over a long period can build up to a profitable nest-egg.

Remember though, that the goal of saving more gold is intended for the long term rather than just speculation.