What is investing?

The definition of investing that I am going to use for this blog is “devoting one’s time, effort, energy or money with the expectation of a worthwhile result”. So in other words, investing is doing a little something now and expecting something more later. While there are millions of specific ways to invest, I think they fall into these 4 unique categories:

Investing Category #1: Spending money to make money
This method consists of buying things that you think will go up in value like buying stocks, real estate, gold etc or going back to school.

Investing Category #2: Spending less money overall
This involves want/need less stuff  or find deals and or groupons for things you want. This is the toughest one for me because life is short and I don’t want to skimp out on all the things I enjoy. In a future post I’ll talk about the importance of the bang for your buck ratio. Remember some of the best things in life are free/cheap, like laughs with family and friends or $1.50 hotdogs from Costco.

Investing Category #3: Making more money overall/
Get promoted at work, find a higher paying job (maybe with a better pension) or lastly add another job or side hustle, just remember to keep a balanced life because YOLO.

Investing Category #4: Spend money to save money
This might seem counterintuitive but there are lots of ways you can spend money to save money. A simple example is insulating your home, if you insulate your home well once, you can save on your heating bill every day for potentially multiple winters.

So which method(s) should I use to invest? Short answer is: all of them. 

Effort should be spent in each of these areas because each of them can give you significant results in the long run. For example, I shop for clothes at Costco and I also buy stocks of apple. Apple stocks will definitely make me more money, but both actions are ways of investing and both will have a significant positive impact in the long term.

While it may not be easy, you can definitely pursue all of these investment category at the same time. In future blog posts I will deep dive into all of these investment categories and talk about the various strategies within each category. Lastly, I didn’t think this post was funny enough so here is a link to a funny youtube video, enjoy.

Also be sure to check out my top 3 reasons to invest, here.


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