Saving and Investing: What's the Difference?

Saving and investing are often used interchangeably but serve different purposes in achieving financial goals:

• Saving: Putting money aside in a secure place like a bank account for future use. Common reasons include emergencies, short-term goals like buying a phone, or long-term goals like purchasing a car or paying for college.
• Investing: Allocating money into assets like stocks, bonds, or real estate to grow wealth over time. Investing is typically used for long-term goals such as retirement or home ownership.