Fifth Grade
Worksheets
Investing Your Money
Are you thinking about making a big purchase? Maybe you want to buy a house or a boat. Maybe you've already started thinking about when you retire from working. It never hurts to start planning early. The key is to invest your money. Investing means putting money away for the long term.
There are three ways investing is different from just saving money. First, when you invest money, it is not as easy to get to. When you have a savings account, you can just go to the bank and withdraw it at any time. If you withdraw from an investment, you might have to pay penalties. It will take you a while to get your money from an investment. It is safely tucked away.
The second thing that is different about investing is that you are usually paid a better interest rate. Savings accounts pay a low rate of interest, usually less than three percent. Investments can have a much higher rate of return.
