4 Ways to Spend Money That Will Actually Increase Your Wealth
Saving money is great, but it won’t make you rich. No matter how many dollars you put into a savings account, the national average .05% interest you’d earn won’t expedite your millionaire status.
It can definitely help with your short term goals, she says, but if you want to be truly richer, sometimes you need to spend money to make money.
By diverting some of your cash into these assets, you’ll be on a faster path to your financial goals.
1. Spend $10 to Buy an Apartment Building
Take a look at some of the world’s wealthiest people. What do they have in common? Many invest in large private real estate deals. And here’s the thing: There’s no reason you can’t, too — for as little as $10.
A company called Fundrise lets you get started in the world of real estate by giving you access to a low-cost, diversified portfolio of private real estate. The best part? You don’t have to be the landlord. Fundrise does all the heavy lifting.
Fundrise’s Starter Portfolio has a minimum of only $10 and is geared toward first-time real estate investors.
Your money will be invested in the company’s Flagship Fund, which already owns more than $250 million worth of real estate around the country, from apartment complexes to the red-hot housing rental market to larger last-mile e-commerce logistics centers.
As tenants pay their rent, you could earn money through quarterly dividend payments, and over time, you could earn money off the potential appreciation of the property. Since 2014, Fundrise investors have earned roughly $100 million in dividends alone.
2. Use This Secret Debit Card
Here’s the deal: If you’re not using Aspiration’s debit card, you’re missing out on extra cash.
Yep. A debit card called Aspiration gives you up to a 10% back every time you swipe, plus they give you up to 100x the normal interest rate on your balance.
3. Download This App to Get Up to $500 in Free Stock
If you feel like you don’t have enough money to start investing, you’re not alone. But guess what? You really don’t need that much — and you can even get free stocks (worth up to $500!) if you know where to look.
Whether you’ve got $5, $100 or $800 to spare, you can start investing with Robinhood.
Yeah, you’ve probably heard of Robinhood. Both investing beginners and pros love it because it doesn’t charge commission fees, and you can buy and sell stocks for free — no limits. Plus, it’s super easy to use.
What’s best? When you download the app and fund your account (it takes no more than a few minutes), Robinhood drops a share of free stock into your account.
It’s random, though, so that stock could be worth anywhere from $5 to $500 — a nice boost to help you build your investments.
4. Give Your Family $1M
This is one of those occasions when spending a little bit of money each month can pay off later.
Have you thought about how your family would manage without your income after you’re gone? How they’ll pay the bills?
Send the kids through school? Now’s a good time to start planning for the future by looking into a term life insurance policy.