If you’ve got money to grow, you’re already half way there.
Getting money is half the battle, and the rest of the battle is finding the best way to make your money grow.
Today, I’m going to share with you my top 10 tips for making money grow.
There are two main things you want to consider before applying one or some of the money growing tips below:
- How much money you have right now
- How much money you want in the end
If you have a lot of money and a lot of time for money to grow, then you can do any of the tips below. If you don’t have both, you’ll want to apply only some of the strategies below. I’ll let you know my opinion on what I’d do for each money growing tip.
How To Grow Your Money Fast (10 Easy Tips)
1. Start A Money Making Blog
A blog is an asset that you build. It will make you money within 6-12 months, and you can actually make enough money to quit your job forever in 1-2 years if you do it right.
The money you put into your blog is very minimal. So blogging is great for people who don’t have a lot of money to grow, but want a BIG return. You’ll have to spend time growing your blog, so that’s the one downside. But the money you put in initially is only about 3-5 dollars a month to keep your blog up and running.
Blogging is my favourite way to make money and grow it BIG. Smart bloggers are making $40,000 and more in just their first year blogging. If you are serious about growing money fast, then you need to build assets you own, and a blog is one of those assets that can make you A TON of money with very very little money invested.
Blogs are great for people who don’t want to spend a lot of money to make a lot of money.
I created a guide on how to start a money making blog. It’s pretty awesome. Click here to see it.
2. Lend Money To People Who Need It
That’s right. Did you know you can actually lend money to people and earn interest from it? This is called Peer to Peer lending.
It’s one of the coolest ways to grow money in my opinion, because YOU become the lender. The whole idea is just super cool in my books.
Basically, people everywhere are always looking to borrow money. You can personally lend them your money and earn interest on the loan you give out. This means that your money will be “tied up” and you can’t access it for the duration of the loan. But you earn interest!
An average Peer to Peer lending interest rate is around 5%. Now, there are risks involved too. The biggest one is that the person borrowing your money cannot pay it back. This is the risk you take. However, there are protections in place to help with these types of situations.
In any case, you get to choose the “risk” levels of borrowers you want to lend money to. If you only want to lend money to people with good to excellent credit scores, then you will earn a smaller interest rate in return, but the money you lend out will be safer because it will more likely be paid back.
If you want to earn more interest and grow money faster, then you can choose to lend money to people with poor credit. You will earn a much higher interest rate when you lend money to riskier people. In the end, you are taking on more risk to earn more reward.
So how do you lend money to people?
Peer to Peer lending companies are places where lenders (you) and borrowers get hooked up. As the lender, you will enter the amount of money you want to loan out and at what risk levels. And the system will find a borrower who is willing to borrow money on your terms.
Then, if everything is peachy, the borrower will borrow your money and be able to afford that car he’s always wanted, you get paid interest for the 5 year loan you agreed to lend out, and the Peer to Peer company gets a cut of the interest rate for being the “broker” in the transaction.
All parties are happy. Win/Win.
I think Peer to Peer companies are totally cool. Peer to Peer lending is good for anyone who has a few thousand dollars or more. You can lend as much money as you want.
A great place to become a Peer to Peer lender is at Lending Club. They call it “Lending Club Investing” because that’s what you are basically, a investor (you are growing money from your existing money).
3. Buy & Sell Stocks
Buying and selling stocks has been around for over 100 years, and it is still one of the most popular ways to grow money. In fact, it’s probably one of the best ways to grow money.
These days though, your average every day person can open up an account with a discount brokerage and start buying and selling stock all by themselves. No need for a broker or making phone calls like the old days.
Of course, the biggest scare about stocks is that you will lose all your money just like that. And yea, it happens….. to those people who don’t trade stock properly.
Here’s the deal. I’m sorry to say this, but the people that lost everything in the stock market are people who didn’t manage the risks properly. You can make a fortune with stocks. It’s one of the oldest methods to grow money. Making money grow with stocks takes practice and calculated moves. Nothing is “chance” or “guess work”, if you can believe it. You don’t buy a stock because it feels nice! You buy a stock because the trends tell you the price of it could rise more or the financials of the company are projected to be very strong.
Anyhow, I think a good way to start investing in stocks is to only put money in it that you are comfortable losing. So if somehow you lost all your money, it was only money you were okay with losing. You don’t want to lose your house or your child’s education fund in the stock market!
To begin investing in stocks, I recommend buying a few basic stock investing books to learn the basics. And sign up for a discount brokerage account. This is an account you use to buy and sell stocks right from your home computer while wearing your PJ’s.
There are a variety of discount brokerages.
For a beginner who doesn’t know a lot about investing/stocks yet, I recommend Trade King. They have good tools and a nice user interface that’s newbie friendly.
4. Invest in ETF’s, Mutual Funds & Bonds
Stocks aren’t the only ways to make it big in the investing world. You will want to diversify your portfolio of money growing assets with other types of smart investments.
ETF’s, mutual funds and bonds are very popular additions to an investment portfolio. They all come with different types of risks and have different characteristics. You’ll want to get a few basic investing books to learn the differences and learn how to incorporate them into your money growing strategy.
You can buy these types of investments at your bank or other financial institution, or use a discount brokerage like Trade King that I mention above and buy them yourself.
5. Grow Your Money In A Bank Account
A very traditional way to grow money is using a bank account. Bank accounts don’t pay very much interest. Actually, they pay very little interest. You will not get rich by keeping your money in a savings or checking account. But, it’s a very safe and easy way to grow money.
All you need to do is open up a bank account and put money in it. The interest will accumulate by itself. You don’t have to do anything more. I would recommend opening up a high interest savings account. These types of accounts typically want you to have and maintain a certain amount of dollars in it in order to earn high interest rates. If you get a 1% interest rate on a high yield savings account, that’s pretty good these days. Many banks across the US offer these types of accounts. For example, Synchrony Bank does and you can check them out here.
6. Put Money Into A CD (Certified Deposit Account)
A CD is a round thing that contains music. LOL just kidding. A CD is short for certified deposit. This is an account that a bank can open for you. It’s a place where you can put your money in and it grows by itself. You don’t do anything more, except sign the paperwork for it.
CD rates are higher than savings or checking account rates. Though overall, CD rates are still pretty low. You can put money in and leave it for as little as a few months up to a few years or more. The longer you keep your money in there, the more interest rate you will earn.
CD’s are good for people who really want to be safe with their money and don’t want to risk losing any of it. A lot of older people who are close to retirement or in retirement choose CD’s to grow some money with virtually no risk.
I wouldn’t recommend it if you’re young and you’re really looking to grow money fast. Check with your local financial institution for their latest CD rates.
7. Invest In A Business
Know anybody who wants to open a restaurant, develop an iPhone app, or franchise a workout gym? These people need money. And you could be that someone who lends them money!
The difference here and Peer to Peer lending is that you are earning interest rate with Peer to Peer lending. With investing in an actual business, you are usually earning the potential profits from the business. That means if the business succeeds and goes on to make hundreds of thousands or millions of dollars per year, you’ll earn a percentage of that.
It’s a spend big to win big opportunity. It can also be very hands off for you too. You put the money in if you believe in the people and the business, and let them do their thing. Hopefully they can turn a profit.
For this type of investing, you typically need a large amount of money up front. It could take a few years or longer before you earn any return. Sometimes the returns can be very quick! For example, some people buy blogs that are already making money and then turn the blogs into better blogs that makes even more money. They can make their money back really fast sometimes.
So how fast your money grows really depends on the business you are investing in. You obviously have to do your homework and make sure you are putting your money in the right place. Because you risk losing it all if the business fails. That’s the risk you take.
This type of opportunity is high risk and high reward, and you usually need a lot of money up front.
8. Put Your Money In Tax Advantage Accounts
401(k)’s and IRA’s are types of accounts you can have that have really good tax benefits. They are meant for retirement, so if you are trying to grow enough money to live off of when you get old, these types of accounts are 100% a must.
The big benefit of these accounts is that the money that you put in it will grow tax free. The big advantage of that is that your money will grow faster. It’s really as simple as that.
So instead of putting your money into a high interest savings account, you should put your money into a tax advantage account.
You can start with very little amounts of money to begin with. $50 or $100 is just fine. The key is to keep adding to it every pay check. The goal is to grow money for retirement. If you’re young and looking to grow money for the next 5-10 years, this is not the type of account for you.
However, if you’re saving for retirement, it doesn’t matter if you’re young or old right now. You should have tax advantaged accounts and be regularly contributing to them if possible.
9. Get The Best Rewards Credit Cards
Well, this isn’t really a “grow money” idea, but it’s truly one of the best ways to get a lot of expensive things for free – and if you normally paid for these things, then it’s saving you a lot of money.
Basically, you can get free first class flights and 5 start hotel stays when you travel around the world if you learn how to use rewards credit cards properly.
Reward credit cards is a really competitive business, and they offer massive bonuses just for signing up. A lot of cards will offer 50,000 points or more when you get approved. This is enough points to fly anywhere in the US sometimes.
The key is to take advantage of the big bonuses, as well as use the perks the card offers. People who really get into travel hacking (that’s what they call it) have several rewards credit cards and use them strategically. For example, for gas, they will use a certain card, because they get a 5% cash back. For groceries, they will use another card, because that card gives them 4% cash back on groceries.
If you spend money, like $20,000+ per year on stuff, then you need to take advantage of all the free things rewards credit cards give you. The best ones are the travel reward credit cards. You get free flights and hotels. These things costs hundreds of dollars.
10. Make More Money Right Now
Not many people think about growing money by making more money. Most people just think about they money they have and think about how to make it grow.
But in fact, if you have money already and want even more money, the best way to make (a lot) of money is to make more money. I’ve talked about a few ways to grow money by investing in an asset, like your own money generating blog, but there are other ways to get more money too.
Besides getting another job or working extra hours at your current job, you could make extra money online.
The quickest way to earn cash online is to fill out paid surveys. These are typically 15-25 minute surveys that will pay you typically 1-5 dollars per survey. You could probably make around $8-$10 an hour doing surveys online. Again, the best thing about filling out surveys for money is that you get paid out for it as soon as you meet the minimum threshold to cash out. You could cash out in a day or two – depending on how many surveys you do.
Surveys for money are good for anybody who wants to make more money right now.
If you’re interested in making money with paid surveys, click this link here.