Good question. I wish I could remember the website that lists the "real" rate of inflation. I do know that it is much higher than 3%. Personally, I like to spread my little wealth around in hard assets. In particular I like silver. Some say it's the most undervalued asset in the world. At under $17/ounce I have to agree, especially when you consider it's both a monetary metal as well as industrial, is extremely rare, and typically used and lost, think clothing etc. But Jazz is correct, whatever you like or do, start early!