How to make the most of what you earn… $AVING AND INVE$TING How to make the most of what you earn…

My Nonny used to say “Save some money every day, no matter how little

WHY DO PEOPLE SAVE MONEY? For a rainy day To buy expensive things For additional income For retirement

Where do people save and invest? SAVINGS INSTITUTIONS including……. 1.Commercial Banks 2. Savings and Loan Associations 3. Mutual Savings Banks 4. Credit Unions

WHAT ARE THE DIFFERENT WAYS TO SAVE? Passbook and Statement Savings - currently have very low interest rates, can withdraw money at any time. Interest Checking Accounts Money Market Savings Accounts – currently pay slightly higher than Statement accounts, withdraw money at any time. Certificates of Deposit – Higher rates than MM, you must keep money in for a certain period of time. US Savings Bonds – In buying this, you are lending money to the US treasury and they are paying you back with interest. Stocks, Bonds, Mutual Funds, Pension Plans, - will be covered later

What do I look for when saving and investing?

When saving and investing, consider… Safety - How secure is your $? Savings accounts are insured by the US government, stocks more risky Rate of Return - How much interest is paid on your investment? Liquidity - How easy is it to get your money out if you need it?

SAVING MONEY, NO MATTER HOW YOU DO IT, IS THE BEST WAY TO ALWAYS HAVE SOME MONEY WHEN YOU NEED IT!!!