Written by Karen Bryan
The My Money Podcast #29 looks at the importance of maintaining the spending power of your savings, Don’t just look at the rate of interest that you are earning on your savings, compare that rate with the rate of inflation. You need to earn a net (after tax) rate of interest at least equal to the rate of inflation, to maintain the spending power of your savings. This is becoming nigh on impossible with interest rates on savings falling and inflation (RPI) at 3%.
Subscribe to the My Money Podcast from Help Me To Save in iTunes.