Can’t go wrong with a full asset class diversified 60/40 separately managed account.

She is right.

It is the reason I refuse to buy a house in the bay area.

Housing prices here are insanely inflated and absolutely unworthy of consideration. If the prices were cut in half I'd consider it.

inflation is currently around 2%. Meaning you have to be making at least that per year to just break even on your value, sitting in cash is losing value to inflation (purchasing power of your dollars goes down).

So if your investments are returning like 2-3% a year you're really just treading water, not gaining much of anything.

Mmhmm. Are all things inflating at the same rate?

How do taxes play into this concept?

What if I never intend to buy anything?

If I chose to purchase goods in another country at significantly differing prices and bring them back to a host country for consumption does that play into the scheme?

Can you expand on these questions?

Holy siht..this changes everything OP. Your tour was over before it even began..

You're over complicating things. The point is, as a simple check, if you're only making 2-3% per year on your savings, you're only maintaining purchasing power, not increasing it over time. No, not everything inflates at exactly the same rate, but the overall rate of inflation is roughly 2-3% per year over time.

If anything, if you're comparing an interest bearing savings account to an investment account, you have a tax benefit with the investment account since capital gains tax is less for assets held over a year vs interest income being taxed at ordinary income rates.

Intending to never buy anything is just a dumb hypothetical to even bother worrying about, but if you want to go that route, if you aren't planning on buying anything then why are you even saving? Purchasing power in the future is pointless if you don't plan to purchase in the future.

Ok. What if you do buy things in another country? Foreign exchange rates are a different consideration. I don't know if there's a way to estimate what may happen with them and it's probably not worth basing your investment strategy off of what you think the future rates may be.

True the salary sucks brah but I’m not living in the US I live in ***** where the standard of living is lower. But I agree I need to up that salary it’s poverty as fuk.. however I’m sure I still have a lot more than many people in this forum

Another thing is there is no income tax in ***** so I guess 18k in ***** would be roughly equal to 30k in the US which I know is still very poverty. But I’m still only 26 and looking to move to Europe soon and hopefully earn a better salary

dude with 18k per year you most definitely won't be earning more than many on this forum. 18k would probably be below the tax free threshold if they had it (im pretty sure they do).

FA autistic miscers in college flipping burgers part time earn that.

Forget investments, invest in some worthwhile education and get a better paying job. 70k will facilitate that greatly.

Lol brah I’ve managed to save 70k while also paying for my masters in aerospace which I completed this year. I’m not talking about my salary I meant my net worth of 70k is a lot higher than many have saved up at 26

Check out Dogs of the Dow. One of the better strategies for still getting dividends even during market ups and downs

Two girls at the same time.