What is the best way to invest my money to get more money or to save it?

There isn't one "best" way. Each way has advantages and disadvantages.

However, here's what I do with my money...

First off, I have a Chase rewards card that essentially gives me 5% cash back on grocery, gas station, and pharmacy purchases.

I also use a PayPal account like a checking account. I get 1% cash back on purchases and money market returns on whatever balance I have in the account (about 5%).

These two methods don't seem to amount to much, but over time they really add up! They do require discipline, though.

As far as saving money goes, mutual funds aren't a horrible option, but they're a little complicated and it's sometimes difficult to get your money out of them.

What I might recommend instead is that you open a stock trading account with low-fee online broker. There are lots of good options: Scottrade, Etrade, TradeKing, etc. I use TradeKing. Choose one that allows you to have automatic deposits made from your bank account on a monthly basis. Only deposit what you can afford to save each month. Consistency is the key!

Many brokers will give you the option to invest your balance in a money market account or they'll pay you a fixed interest. In this way you can just let your money slowly grow over time. Then every three or four months, buy shares of a good ETF. I would recommend the Vanguard Total Stock Market (symbol: VTI) which gives you instant diversification and has no minimum purchase amount. A nice, no-brainer way to benefit from the market and you can easily get your money out if the need arises.

Eventually, you may want to branch out and find other investment vehicles besides the stock market, but it's an excellent place to start.

Mutual funds are pretty safe.

Duffy does have a pretty good answer... If you pay of your credit cards every month, then this is a good way to go. The Paypal account is a decent way to go, but the amount is not always 5%. It was just 5.25%, and now pays 4.9x%.

Also, what I plan on doing with my money - investing in a good, solid company, such as a utility company. Xcel Energy pays 4.2% dividend (a dividend is basically interest). So if you invest $2000 in Xcel, about 15 years from now, you will have received about $2000 in dividends. Also, in about 15 years, a utility company should double in price, which means you will have made about $2000 from the stock.

So:
$2000 initial investment +
$2000 in dividends +
$2000 in stock gain =

$6000. Your $2000 becomes $6000 (a $4000 gain, or a 200% increase.) If you invested in a CD, you would probably have only a $2000 gain. Sure, a CD is safe, but then again, utility stocks are generally safe...
Now lets suppose that the stock price stays flat for 15 years. You will still have your dividends, and your initial investment - a 100% gain.
If you listen to the previous answers, those mutual funds will go down when the entire stock market goes down. Eventually the stock market will go down.

But you need to find a company that is reliable, and pays a good dividend.

Email me if you have questions!

Good Question. It depends on how much risk you can tolerate, and amount of time you can keep your investment in place. If you can handle a little risk, and if you won't need the money for several years, then you should invest in high quality stocks or large cap no-load mutual funds, which, in turn invest in high quality stocks.

Don't worry if they drop a bit in value. They'll go back up again.

You should get an average return of 8% to 10% per year(some years less than 8%, Some years more than 10%)

That's a lot better than a money market or a CD. Go for it!!