With the cost of oil and gas rising, the cost of living is also rising and almost everyone is looking for ways to stretch their dollars. Bargain hunters are on the hunt and spendthrifts are shutting off lights and recycling creatively--all very good! But what about getting our dollars to work for us? How can we get what we already have to start bringing in income?
Difficulty: Moderately Easy
Things You'll Need
- time to research
- organized finances
Click to enlargeBuy a house and pay it down quickly. If you already have one, get that mortgage paid down. By the time you want to retire (or if you already have), that mortgage payment is probably your biggest debt! Even by making one extra payment a year, you can drop months off the life of your mortgage. Not only will it be a great retirement savings, but it is a great way to build your credit rating and thus save on interest rates.
Buy a House
Click to enlargeInvest in your 401K or other mutual funds, especially if your employer donates to your account. Keep tabs on it to make sure it is keeping well ahead of inflation. It is passive income in that you do not do anything and yet you get back more than you made.
Invest in 401K
Click to enlargeLend out your money. Now this has to be done very carefully and wisely so you are not lending to someone who is in debt because they don't pay his bills! A good example is lending to someone who is remodeling a house to resell quickly. Your dollars can be used by him to make not only his money but yours in interest. Use a title agent or lawyer and do it right to protect your investment.
Lend Money Wisely
Click to enlargeInvest in agriculture. This is something our grandparents did out of common sense, but we are still learning. For instance, if you invest this year in a simple little apple tree sapling, in two or three years, you will be picking apples. With the price of produce going up every year, you have secured yourself an abundant source of apples for years to come. What about investing in edible landscaping? Perennial herbs have beautiful foliage and are usually very expensive in the grocery stores so by planting them in your yard you save money and add beauty to your home--to say nothing of the health benefits!
Invest in Agriculture
Click to enlargeThink about what you buy with your dollars in every area of your life. Ask yourself if you are investing or spending. I tend to think that if more of your money is spent as investment dollars rather than spending dollars, you will start to see a swing towards prosperity very quickly.
More Investing than Spending