You shouldn't put money into an investment that you might need in the next 10 years. Having to sell assets to deal with life is not a good way to move forward. You definately need enough cash cushion to take care of yourself for quite some time in case you lose a job, etc. Trying to invest without that is a recipie for disaster. That being said, once you are in a good position with cash, you should definately be looking to invest. Trying to get ahead financially with all your money in a savings account earning 0.1% interest is also not a good life plan in my opinion.