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3 Ways To Protect Your Cash From Inflation
Quick definition
Inflation is the steady increase in prices of goods and services, which leads to a decrease in purchasing power. This phenomenon can erode the value of money over time, leaving those who hoard cash vulnerable to its effects. However, wealthy individuals have access to a variety of strategies to shelter their wealth from the negative effects of inflation. In this article, we will explore some of the most popular ways that rich people shelter cash from inflation.
1. Treasury Bills (Banks Are Making 40x On Your Money)
We all know the story: You put your money in a savings account and you get paid 0.1% on that money, AWESOME RIGHT? (Sarcasm). But what if I told you that banks are making 4% on your money and only giving you 0.1% of it?
So what is a treasury bill anyway?
Treasury bills (T-bills) are short-term government bonds that mature in less than a year. They are considered one of the safest investment options because they are backed by the full faith and credit of the US government. Rich people can shelter their cash from inflation by investing in T-bills, which provide a guaranteed rate of return that is usually higher than inflation. Additionally, T-bills offer tax advantages, as the interest earned on…
