Robert Kiyosaki argues that $100 saved decades ago now buys only four pennies worth of goods due to inflation, making cash savings a losing strategy. He recommends putting money into appreciating assets like real estate, businesses, or content platforms instead to outpace inflation and build wealth.
If I saved $100 when I was your age, today it would still say $100, but it's only worth 4 pennies.
Probably not quite that drastic.
No, it is. It would be exactly that.
Really? Yeah. Wow.
It would only buy 4 pennies of services.
Wow.
Yeah. So saving that $100, I'm deceived because I'm like, I still have $100, but it's not quite $100 anymore. Exactly. That's why I say people shouldn't save money. Now, that doesn't mean you should spend it. It means you should take it and put it into something that would have had the reverse effect over those periods of years. Real estate, a business, investing in your marketing, branding, a YouTube channel. Anything that would create more income.
I couldn't agree more with Grant Cardone on that statement. Savers are losers. Robert Kiyosaki talks about this all the time, and it is so important to take your money because your money loses value over time if it's just in a checking account because of inflation. The dollar loses value. So it's so important to take your money and invest it into assets. And assets could be real estate that appreciate over time because as inflation occurs, real estate appreciates. It could be businesses that produce income that you can also force appreciation and value into and pay you, whether it's active income or passive income through your team, and it can also be through investing in yourself. So if you invest in yourself, your education, producing content, learning new skills, going to seminars, creating businesses, it's very, very important to not let your cash just sit in the bank account, lose value. And as he said, $100, what was a long time ago, if it was saved all the way to today, it would now be worth 4 cents.
