> Why do you "need" to allocate it? You don't "need" to allocate it. If you don't allocate it though, the buying power of your saved cash will decrease every y

> Why do you "need" to allocate it? You don't "need" to allocate it. If you don't allocate it though, the buying power of your saved cash will decrease every year from inflation. You can argue whether low inflation should be a policy goal of the FED in the first place - I believe it should personally, it incentivizes economic growth - but regardless, you have to take the situation as it is. Inflation exists and no amount of wishing will make it go away. In the face of inflation, what can you do to at the very least preserve the buying power of your cash. If you do nothing, you can watch it wither away. Currently, there are few viable options that will help you preserve cash; interest rates on savings accounts are 0, CDs are extremely low, bonds are low but starting to move up, etc. The only remaining option is equities (stocks, bonds etc). > The whole concept of getting rich off your own money is honestly sickening to me. What do you find sickening about it? > Even my house, for example.. I don't consider an "investment". I agree with this mindset. While you can take out a loan with your house as collateral, it's a bad idea to consider your home as an investment IMO. As you say, you ned a home to live in. But housing that you own that don't live in can absolutely be considered an investment (as an alternative to equities) and this can be far more liquid since you don't need it to live in. Not everything has to be thought of as an investment though. That's up to you as an individual to decide.