40 Plus Finance

Follow My Journey Managing Finances At 40 Years Plus

  • Home
  • Financial Freedom
  • Personal Investing & Finance
  • Real Estate Investing
  • Resources
  • About
  • Facebook
  • Twitter
  • YouTube

3 Reasons Why It’s So Hard to Get Rich Saving Money

February 13, 2022 By Kurt last modified on December 17, 2022 Leave a Comment

There are quite a few reasons why it is very hard to get rich by saving money. One of the big reasons is because of taxes. When you save money, you actually are getting hit hard due to taxes as saving isn’t an activity that the government wants it’s people to do. Inflation is also an issue because when you save money, it depreciates over time. Finally, avoiding risk can prevent you from getting rich as you need to spend money in order to make money.

Key Takeaways:

  • Inflation makes it much harder to save because the higher the inflation the less value the dollar has.
  • Taxes prevent us from saving money as a good chunk of our salary is removed each year.
  • It is difficult to make money by avoiding risks as sometimes you need to make a risk in the stock market for example to get a huge reward.

“However, that same amount invested with compound interest would have grown to about $20,000, assuming a 6 percent rate of return. Even if you only earn a 4 percent rate of return, it still grows to around $7,000.”

Read more: https://www.richdad.com/why-its-hard-to-save-money?feed=blogs

Further reading:

No related posts.

Filed Under: Summary

About Kurt

Real Estate Investor, media buyer, faithful Red Sox Fan. Pursuing financial freedom while being a family man.

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

CFT Academy

Popular Posts

Financial Freedom Update - December 2022

Financial Freedom Report – December 2022

Here is my December 2022 journal report on my path to financial freedom. … [Read More...]

what is passive real estate investing

What Is Passive Real Estate Investing?

The ultimate dream for alot of investors is to invest in real estate for a … [Read More...]

How to Invest $1million 7 ways

How to invest $1 Million in 7 Ways

Have you ever heard stories about how famous athletes try to invest … [Read More...]

Inside 40 Plus Finance

About Us

Contact Us

Privacy Policy

Affiliate Disclosure

 

Financial Freedom

Monthly Financial Freedom Reports

Financial Freedom Calculator

Reviews

Cash Flow Tactics Review

Categories

  • Classics
  • Features
  • Financial Freedom
  • Financial Freedom Monthly
  • Personal Investing & Finance
  • Real Estate Investing
  • Summary

Connect With 40 Plus Finance

  • Facebook
  • Twitter
  • YouTube

Recent Posts

  • How to Invest in Index Funds: A Beginner’s Guide
  • How Much Should You Contribute To Your 401(k)?
  • Digital Nomad Employment
  • Should You Make Roth or Traditional 401(k) Contributions?
  • How To Invest In Real Estate With Little Money

Contact Us · Privacy Policy · About · Affiliate Disclosure ·
Copyright © 2023 · Forty Plus Finance

Disclaimer: 40 Plus Finance is for purely educational purposes only and is not selling investments, insurance, real estate, securities, or anything other than education and is not providing tax advice, legal advice, or investment advisory products. You need to become educated about any financial product before purchase and consult a CPA and/or attorney in order to make the best financial decisions for yourself. As an Amazon Associate I earn from qualifying purchases.