In the Wall Street Journal this week, it was an article explaining how insurance companies are now rewarded its insurers for participating in fitness classes and meeting physical health goals. Once again, it shows that in more ways than one it really does pay to be in shape. By committing to at least 15 to 30 minutes of exercise per day it will not only reduce your insurance premiums but it will also keep more money in your coffers. And, that’s HealthWealth, Inc! In my last entry I mentioned the financial terms “inflation” and “purchasing power of money”. In its most simplest definition, inflation is the increase of the prices of goods and services. Since the early 20th century and the enactment of the Federal Reserve System in 1913, the central banking authorities in this country have followed a monetary policy of gradually increasing prices. In fact, their objective is to sustain a certain amount of inflation and unemployment. What does inflation do to your savings? When prices are continually increasing every year, the value of your money decreases. Meaning, that if you put $100 under your mattress on April 16, 2015, the costs of your favorite sneakers is $100. When you come back one year later on April 16, 2016, the cost of those same sneakers is now $102. Therefore, prices have increased 2%, and your $100 is now only worth $98 in spending power. Purchasing power is the ability that your money has to purchase items. Just as in the example above, even though you may have 100 one dollar bills in your possession today, next year you will have to spend 102 one dollar bills to get the same item that you were able to purchase one year before. So, we cannot become engrossed with the “numerical value” of paper currency in our possession but focus on the “purchasing power” of the monetary denominations in our pockets. Therefore, it is not enough just to save money, but we must save and invest our money into avenues that will beat out the annual inflation. Remember, money is currency, and currency is something that has to flow like a current of water; hence, cash flow. With investing, you want to put your money where it can work for you the most and bring the most profit. Where do we begin? Next entry… HealthWealth, Inc. Halim A. Flowers