So long as you have at least $10,000 in the bank, there’s no reason you can’t create a stable income from your savings. The amount you earn will depend heavily on the level of risk you’re willing to take, and how much time you dedicate to the process. Considering all that, I’m going to take a few moments out of my busy schedule this afternoon to give you some useful advice. With a bit of luck, you’ll be better placed to make the right decisions after reading through the ideas listed on this page.
I’ve been investing my savings for the last five years. While I only risk small amounts, the return I’ve achieved has been substantial. Last year alone, I managed to get somewhere in the region of $15,000 by risking less than $5,000. Want to know how I did it? I bet you do.
Here are just some of the things you might like to think about…
ISA accounts available from your bank will only yield around 4% each year at most, so they should be avoided. Also, most banking providers insist you don’t remove any cash from the account for at least three years. Online, there are much better deals. By using an internet bank, you could earn somewhere between 10% – 20%. So, take some time to research that.
Small and fast stock investments
Understanding how the stock market works isn’t as complicated as you might imagine. I didn’t know anything about it when I got started, but within less than a month I’d made my first profit. You should aim to risk small amounts of money frequently for the best results. Ideally, you want to select opportunities that will allow you to make purchases one day, and sell them on in less than a week. So, keep abreast of the news.
Tax lien investments
For the last few hundred years, people in the US have been able to invest in tax liens. That is where you put up the money to cover payments owed on a specific property. They’re incredibly safe investments that rarely turn sour. Once the property owner pays the outstanding balance, your investment is returned with interest added. There are some amazing articles online that contain information relating to tax lien investing for beginners, so you’d do well to get reading.
Local business investments
Due to lower business rates at the moment, many new companies have been started all over the country. Some of them have a lot of potential, but they need extra investment to take their products or services to the next level. With that in mind, you should consider speaking with local business owners to find out what kind of deal they’re offering. You never know, it might prove fruitful for both parties.
You should now have some brilliant ideas about how to use your savings to create a stable income for years to come. At the end of the day, who wants to work in a boring factory when they could sit at home and count their money? Not me, that’s for sure.