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Posted: 2/11/2024 1:08:26 PM EDT
I'm looking to get into investing for some passive income. Every month my financial situation gets worse as everything gets more expensive and it's not sustainable. I'd like to start investing but don't have any idea where to start and my starting budget will be extremely limited. Looking for someone to point me in the right direction.
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Posted: 2/11/2024 1:28:36 PM EDT
[#1]
Are you looking to set yourself up for retirement or get returns now? Now, with limited funds is not going to happen unless you're gambling, which is more likely to put you in a worse spot.
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KY, USA
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Posted: 2/11/2024 1:51:48 PM EDT
[#2]
Though I am slowly becoming less of a fan of index funds, they are well suited to your situation. They make an excellent way for some one to start, and observing them will help you to gain experience.
They come in two varieties, ETF's, (exchange traded funds), and mutual funds. SPY is probably the best known example of an ETF. |
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Posted: 2/11/2024 2:05:19 PM EDT
[#3]
I will make this as simple as it gets (at least for now; you can branch out later):
1. Fidelity. 2. FSMDX (ETF). Even if you did nothing but this with whatever you could for a few decades, you will be a) very happy with the results and b) ahead of most other comparable investments. You will get many other more complex strategies and recommendations; few will beat the above and none will do it with less risk. |
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Posted: 2/11/2024 2:21:32 PM EDT
[#4]
If your budget is that tight I would invest in an index. |
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Posted: 2/11/2024 2:28:05 PM EDT
[#5]
Presuming you are living adequately on your current income, begin saving by putting away any new raises or bonuses into some kind of retirement account or savings plan. That way it isn't as painful as trying to cut a large chunk out of your current standard of living.
I was surprised when a relative took my suggestion after starting a new job. That ways twenty years ago and they recently told me they took my idea to heart and now have a substantial retirement account they are quite proud of. |
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Posted: 2/11/2024 2:38:59 PM EDT
[#6]
Tax deferred through your employer?
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Posted: 2/11/2024 3:34:41 PM EDT
[Last Edit: intheburbs]
[#7]
First, max out contributions to any employer plan - 401(k), etc.
Second - crate a personal IRA/Roth. Generally speaking, younger folks should go Roth, older folks should go traditional IRA. Max out contributions to that. Third - create an account at one of the financial institutions and start automatic deposits into an account that's invested in an index fund. |
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Posted: 2/11/2024 5:06:59 PM EDT
[#8]
I have a 401k thru my employer. That's all I have now. I was hoping for a way to get short term returns if such a thing is even possible. I'm at the point of having a stable job that likely wouldn't disappear in a downturn but it doesn't pay enough, I have very little left over after my bills. I've already cut spending as much as I can.
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GA, USA
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Posted: 2/11/2024 5:23:18 PM EDT
[Last Edit: giantpune]
[#9]
While we're on it, how do the taxes work when you're investing in non-tax-advantage accounts? My retirement accounts are sitting pretty. Now I'm looking at tossing money at mutual funds/ETFs outside of 401k/IRA.
How complicated is it when it comes to taxes? Do you get a single form of some sort with a number to type into the turbotax? Or does it make your taxes so effed up that you need to hire an accountant? |
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Posted: 2/11/2024 5:29:20 PM EDT
[#10]
Quote HistoryOriginally Posted By MAbowhunter: I have a 401k thru my employer. That's all I have now. I was hoping for a way to get short term returns if such a thing is even possible. I'm at the point of having a stable job that likely wouldn't disappear in a downturn but it doesn't pay enough, I have very little left over after my bills. I've already cut spending as much as I can. Are you trying to grow a nest egg for some number of years down the road or build an income portfolio that generates cash for you right now? |
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Posted: 2/11/2024 5:33:53 PM EDT
[#11]
Quote HistoryOriginally Posted By giantpune: While we're on it, how do the taxes work when you're investing in non-tax-advantage accounts? My retirement accounts are sitting pretty. Now I'm looking at tossing money at mutual funds/EFTs outside of 401k/IRA. How complicated is it when it comes to taxes? Do you get a single form of some sort with a number to type into the turbotax? Or does it make your taxes so effed up that you need to hire an accountant? You'll get a tax statement from your broker and it's not all that complicated unless you make it complicated. I would presume most brokers can export the data directly into Turbotax so you don't have to type anything in. I know mine did years ago before I started working with a firm to do my taxes. |
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Posted: 2/11/2024 6:14:39 PM EDT
[#12]
Quote HistoryOriginally Posted By woodsie: Are you trying to grow a nest egg for some number of years down the road or build an income portfolio that generates cash for you right now? Generating cash now. |
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Posted: 2/11/2024 7:11:36 PM EDT
[#13]
Quote HistoryOriginally Posted By MAbowhunter: Generating cash now. Typically, people do what you're trying to do with real estate. You buy a $500K property for $100K down and finance the rest. You rent it and pay the mortgage with the rent income. Later, you sell the property for $600K, you pay off the $400K you still owe and now you made $100K profit off your $100K investment (ignoring fees and such). Or you refinance the property, pay off the old loan, pocket the difference and repeat. And keep buying rentals for 20% down and generate an income stream from the rents coming in. But you must have a good chunk of capital to put up front. No lender is going to lend you 100% to buy investment properties. As noted by others, make sure you're putting enough into your 401k to get the full match from your employer. This is a guaranteed 50-100% return depending on the match. You can't beat that. If you've already cut out most expenses and have very little left over, you're not going to be able to generate passive income. Your best course of action at that point is to do whatever you need to do to increase your income. Start driving Uber on weekends, finish your degree, get a tech certificate. Look at internal jobs listed at your current employer and see what it takes to qualify for the better jobs. Short answer: You've gotta make more more money. How old are you? What line of work are you in? Both of these answers affect what advice you might get. |
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Posted: 2/11/2024 7:43:47 PM EDT
[#14]
If your employer matches any of your contributions, you should contribute enough to maximize the match; it’s free money even though in most cases it will be “locked up” until you retire.
Nowhere else can you double your money risk free. |
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Posted: 2/11/2024 7:55:15 PM EDT
[#15]
Well I would argue first that 99% of people are living WAAAAAAY above their means, and that's by far the main reason why they suffer monetarily. But OP asked a different question.
So just quick advice: If you want to gamble on stocks, read Stan Weinstein's "How to profit in bull and bear markets", it is the bible for learning technical trading. You should also read Ben Graham's "The intelligent investor", best book on long-term actual investing as opposed to the gambling game that is most of the stock market these days, Graham was Warren Buffet's mentor. Both well worth the money, and two big reasons why my wife and I are debt-free and own our own home outright now, all on dirt-poor working class salaries. |
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Posted: 2/11/2024 8:16:06 PM EDT
[#16]
Quote HistoryOriginally Posted By MAbowhunter: Generating cash now. It really doesn't work that way. |
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Posted: 2/11/2024 9:40:23 PM EDT
[#17]
I know this is something that you don't want to hear, but the only way to generate "cash now" is to
1- change employment with an increase income 2- take a side gig to increase income investing involves time. |
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Posted: 2/11/2024 11:09:48 PM EDT
[#18]
Quote HistoryOriginally Posted By Sartorius: To generate passive income, you have to be able to buy (or leverage) enough income-generating assets. If you wanted to make $5,000/year on T-bills, you'd have to buy around $100,000 in T-bills and generate 5%. Typically, people do what you're trying to do with real estate. You buy a $500K property for $100K down and finance the rest. You rent it and pay the mortgage with the rent income. Later, you sell the property for $600K, you pay off the $400K you still owe and now you made $100K profit off your $100K investment (ignoring fees and such). Or you refinance the property, pay off the old loan, pocket the difference and repeat. And keep buying rentals for 20% down and generate an income stream from the rents coming in. But you must have a good chunk of capital to put up front. No lender is going to lend you 100% to buy investment properties. As noted by others, make sure you're putting enough into your 401k to get the full match from your employer. This is a guaranteed 50-100% return depending on the match. You can't beat that. If you've already cut out most expenses and have very little left over, you're not going to be able to generate passive income. Your best course of action at that point is to do whatever you need to do to increase your income. Start driving Uber on weekends, finish your degree, get a tech certificate. Look at internal jobs listed at your current employer and see what it takes to qualify for the better jobs. Short answer: You've gotta make more more money. How old are you? What line of work are you in? Both of these answers affect what advice you might get. Mid 30s, work in retail, make $19/hr. Looking for other employment most job ads are less than that to start. I did a seasonal second job, out of over 20 applications I only got 2 responses. Was promoted at my job last year. |
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Posted: 2/11/2024 11:10:45 PM EDT
[#19]
Quote HistoryOriginally Posted By Dragynn: Well I would argue first that 99% of people are living WAAAAAAY above their means, and that's by far the main reason why they suffer monetarily. But OP asked a different question. So just quick advice: If you want to gamble on stocks, read Stan Weinstein's "How to profit in bull and bear markets", it is the bible for learning technical trading. You should also read Ben Graham's "The intelligent investor", best book on long-term actual investing as opposed to the gambling game that is most of the stock market these days, Graham was Warren Buffet's mentor. Both well worth the money, and two big reasons why my wife and I are debt-free and own our own home outright now, all on dirt-poor working class salaries. I'll look into those books. |
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Posted: 2/11/2024 11:23:45 PM EDT
[#20]
Might look for a trade certificate. Level up your skills and have a better paying job. Get trained in CAD or something like that and work for the local fabrication plant. So to speak.
No quick money on the market without big risk. |
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Posted: 2/12/2024 11:47:48 AM EDT
[Last Edit: woodsie]
[#21]
Quote HistoryOriginally Posted By MAbowhunter: Generating cash now. Quote HistoryOriginally Posted By MAbowhunter: Originally Posted By woodsie: Are you trying to grow a nest egg for some number of years down the road or build an income portfolio that generates cash for you right now? Generating cash now. There's options but you'll have to be realistic on what kind of returns you are going to get. There is no magical get rich income hack but you can absolutely build a portfolio over time that will increase your total annual income. - Money Market funds pay about 5% right now but that won't last forever if the Fed starts cutting rates later this year and your underlying capital loses to inflation constantly. It's a place to put money for the short term but I don't think it fits with what you are trying to achieve. - I like dividend growth funds for your particular goal. ETFs like SCHD, VIG, SDY, FDVV, DGRW could all be in that conversation. They yield a relatively conservative 2%-4% but there is a reasonable expectation that your dividends will go up over time and your capital will appreciate over time which helps combat inflation. The do slightly under perform the total market over time but they also experience less volatility and have some defensive mild characteristics during bear markets. - I don't recommend higher yielding closed end funds and covered call etfs which yield 8%+ because you just pay such a big penalty in terms of appreciation even to the point that some of them have a built in expectation of depreciation over time. I only bring these up because someone else will probably bring them up. I'm not saying they are stupid because everything has a place but I don't think most retail investors who get into them truly appreciate the price they are paying for those high yields. These are just some ideas. It's not an exhaustive list and other people may have good ideas as well. My big take away for you is to be realistic and not try to chase unrealistic returns. If someone posts a stock or a fund paying 15%, I can assure you there's a catch over the long run. It's just a matter of figuring out what it is. |
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Posted: 2/12/2024 12:04:42 PM EDT
[#22]
I'll echo what was said earlier. Go to a trade school or look into apprenticeships. An apprenticeship will often pick up any additional trade school classes they might require, besides paying you a wage while you learn.
It takes a good bit of capital investment to create even a supplemental income stream from dividends. |
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Posted: 2/12/2024 12:09:58 PM EDT
[#23]
Originally Posted By MAbowhunter: Every month my financial situation gets worse as everything gets more expensive and it's not sustainable. Can you elaborate on this? Sounds like the Ramsey steps might be a good place to start. |
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Posted: 2/12/2024 1:09:50 PM EDT
[#24]
Quote HistoryOriginally Posted By djkest: Can you elaborate on this? Sounds like the Ramsey steps might be a good place to start. About a year ago I went from having a little money leftover at the end of the month to barely having any left without any changes in spending habits. I cut my spending to just bills, gas, household stuff (toliet paper, paper towels,soap, etc) and food. That has gone up. |
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Posted: 2/12/2024 1:39:56 PM EDT
[#25]
Quote HistoryOriginally Posted By MAbowhunter:Generating cash now. Same goes for dividend stocks and why I would recommend against them in your case: they will generate taxable income but are relatively inefficient overall. A lot of us started out wondering where our next meal was coming from. The way out is to invest pennies, sometimes literally, and keep at it; they do add up to something in the long run. |
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Posted: 2/12/2024 6:31:20 PM EDT
[#26]
You probably want to check out BogleHeads Getting Started
They go over some of the very basics and can help get you started. They don't charge anything and they also have a very helpful forum. |
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SC, USA
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Posted: 2/12/2024 9:52:36 PM EDT
[#27]
Lots of good advice above on investing at work, Bogleheads, Ramsey etc.
I can understand how you are having troubles to make ends meet on $19 an hour. In my opinion, you have more of an income problem than an investing problem. You need a career change, training etc to get you to the next level. |
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Posted: 2/12/2024 10:37:03 PM EDT
[#28]
Quote HistoryOriginally Posted By MarkBinSC: Lots of good advice above on investing at work, Bogleheads, Ramsey etc. I can understand how you are having troubles to make ends meet on $19 an hour. In my opinion, you have more of an income problem than an investing problem. You need a career change, training etc to get you to the next level. this. the right training program and you can double $$ in short time. |
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Posted: 2/13/2024 11:03:34 AM EDT
[#29]
Quote HistoryOriginally Posted By MAbowhunter: About a year ago I went from having a little money leftover at the end of the month to barely having any left without any changes in spending habits. I cut my spending to just bills, gas, household stuff (toliet paper, paper towels,soap, etc) and food. That has gone up. Quote HistoryOriginally Posted By MAbowhunter: Originally Posted By djkest: Can you elaborate on this? Sounds like the Ramsey steps might be a good place to start. About a year ago I went from having a little money leftover at the end of the month to barely having any left without any changes in spending habits. I cut my spending to just bills, gas, household stuff (toliet paper, paper towels,soap, etc) and food. That has gone up. That's a cash flow problem, not an investment growth problem. The FASTEST way to improve cash flow is take a hard look at your spending/budget, and see where you can make changes. Residence, auto, and debt service choices are some of the biggest in most cases. This means eliminating all consumer debt, and potentially moving to something lower cost, or taking on roomates, etc. The second place is to take a hard look at your income, and opportunities to grow it. Not just a second job, but more of skills improvement, or constantly seeking opportunities for growth. This might even mean moving to another part of the country if needed. |
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Posted: 2/14/2024 12:00:15 PM EDT
[#30]
Check out bogleheads.org, good forum to learn about investing.
Perhaps start with what Warren Buffett tells schmucks like us to do - put $ in an S&P 500 index fund and let it ride. If extremely risk averse, look at laddering CDs or money market funds - some are around 5% now, but will drop when interest rates do at some point in the future |
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Posted: 2/15/2024 4:39:56 AM EDT
[#31]
I will pile onto the “needs more income” comment side.
You are basically under-employed for your age at this point. $19/hr in mid 30’s is tough. Kind of on a path to be working forever at this point. You need a plan to generate more money, and day trading or other quick timeframe investing ideas are likely not the way to do anything except get further behind. Get a second job, get some skills, or move to a different career path. At this point I would suggest finding someone in the trades that would be willing to bring someone on part time, so you can gain some skills before cutting loose of retail. Or look at management training if you want to stay in retail. But you gotta do something, soon. Inflation has been kicking everyone’s ass lately, but I imagine it is a lot worse at $19/hr… |
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GA, USA
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Posted: 2/16/2024 8:34:20 AM EDT
[Last Edit: giantpune]
[#32]
On the employment side of it, I know that whataburger managers are making like $50k after taxes, base. Bringing home $60k after bonuses.
My brother in law does maintenance at a plant and brings home over $100k with nothing more than a high school diploma. I have been looking into trainings and certs to help my wife get into a better paying field. Local community college is basically $1500 per quarter for night classes. You can get a welding or a medical coding cert in 3 quarters. Depending on your situation, you can get the price down even more with scholarships and grants. But realistically, $4500 out of pocket over 9 months isn't too hard much to fork out to get into a career field that pays more better. |
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Posted: 2/22/2024 8:45:27 PM EDT
[#33]
Most of this advice is already here, but there are a few key things to think about:
1. Invest in yourself. Trade school. College. Certifications...I know a former Martial Arts instructor who started doing cyber certs in his "free time" and has doubled his salary by getting out of martial arts. He did have to invest some to do it thought. 2. If investing in yourself options are limited - can you use your non-work time differently? Second job can be another retail job, or something on the gig economy (Uber, etc), or something like pizza delivery. 3. In that vein - do you have some unique skills you can leverage in your spare time? Free lance photography? Pressure washing? Painting? Auto maintenance? Lawn mowing? Dog sitting? If so, those things can all pay better than $19/hour. The guys who pressure washed my house were basically $40/hour EACH for 2 dudes. They had a truck mounted pressure washer, but even the small portable variety can make good coin. 4. Are there any restaurants around you? I was making $15-30/hour in tips as a waiter in the late 1990s when food was FAR cheaper than it is. Once I ditched retail for restaurants, I went back to retail for one summer. It was PAINFUL to take that financial step back. 5. If you are good at retail/inside sales - are there any outside sales jobs near you? The difference in money may shock you. Ad sales? Construction/fence? If you are working fulltime hours and getting 2 weeks of leave that has you at about $38k a year. That is a brutal spot to be if you are looking at needing to buy diapers or cover car payments. -shooter |
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Posted: 2/23/2024 10:59:51 AM EDT
[#34]
You need to GTFO of retail.
My nephew is in his early 20's. He didn't do well in college, can't do .mil due to some physical/health issues, and has been bouncing around the unskilled retail/restaurant/etc. jobs for the past year. He finally applied for and got into an electrician apprentice program. He'll be making a lot more than $19/hour in the program while he gets trained and works 40 hrs/wk, and after he completes his apprenticeship and gets a few years experience he should easily be getting six figures. You need a new career not just a job. |
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Posted: 2/23/2024 11:05:25 AM EDT
[Last Edit: wildearp]
[#35]
If you have a 401K, max it out. Put anything you can into it. HSA is also tax deferrred. Also google up 'rule of 55'.
Never touch that money. This is the safest way to become a millionaire. If you save nothing else, do this. Savings account should be for emergencies. |
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Posted: 2/24/2024 10:29:22 AM EDT
[#36]
I'm aware I need a better job/ second job. All I can do is put in applications, I can't make them hire me.
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GA, USA
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Posted: 2/24/2024 10:52:38 AM EDT
[#37]
Quote HistoryOriginally Posted By MAbowhunter: I'm aware I need a better job/ second job. All I can do is put in applications, I can't make them hire me. You can make your application/resume better. Or you can learn a skill that is more marketable. Hopefully you dont have one of those ghetto or trailer trash names like LaShawnduh or Brayden-leighghgh.  Those applications go directly into the shredder. If you do have a name like that, its probably worth the investment to have it legally changed.
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Posted: 2/24/2024 11:35:03 AM EDT
[#38]
Quote HistoryOriginally Posted By giantpune: You can make your application/resume better. Or you can learn a skill that is more marketable. Hopefully you dont have one of those ghetto or trailer trash names like LaShawnduh or Brayden-leighghgh. Those applications go directly into the shredder. If you do have a name like that, its probably worth the investment to have it legally changed.Normal, super common name. |
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Posted: 2/24/2024 11:42:09 AM EDT
[#39]
Quote HistoryOriginally Posted By KILLERB6: I will make this as simple as it gets (at least for now; you can branch out later): 1. Fidelity. 2. FSMDX (ETF). Even if you did nothing but this with whatever you could for a few decades, you will be a) very happy with the results and b) ahead of most other comparable investments. You will get many other more complex strategies and recommendations; few will beat the above and none will do it with less risk. Midcap thread! |
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Posted: 2/24/2024 8:14:58 PM EDT
[#40]
Do you have a retirement plan (401k, etc) available to you at work? If so, is there an employer match?
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Posted: 2/24/2024 10:53:57 PM EDT
[#41]
I have a 401k through work. I can't remember if they match but I doubt it.
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Posted: 2/24/2024 10:57:59 PM EDT
[#42]
Quote HistoryOriginally Posted By MAbowhunter: I have a 401k through work. I can't remember if they match but I doubt it. check if its a Roth check what funds you can pick |
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Posted: 2/24/2024 11:34:24 PM EDT
[Last Edit: Steamedliver]
[#43]
Quote HistoryOriginally Posted By MAbowhunter: I'm aware I need a better job/ second job. All I can do is put in applications, I can't make them hire me. Im telling my kids to go into politics, the amount of wealth generated is staggering. |
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NC, USA
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Posted: 2/24/2024 11:53:31 PM EDT
[#44]
Quote HistoryOriginally Posted By MAbowhunter: I'm aware I need a better job/ second job. All I can do is put in applications, I can't make them hire me. How old are you, what area of work? As for applying and interviewing, keep at it. Getting jobs isn't always easy. The more you practice, the better you'll get. Don't be afraid to take something if you think it has growth opportunity even if it means taking something that isn't the dream spot. As for 401k, find out about the match. That knowledge is important. Short-term cash generation is going to be difficult if you're expendable income is very low. Better off seeing if you can add post-tax dollars to your 401k OR open a free Roth IRA with places like Fidelity, E*TRADE, etc. sounds like you're down on yourself a bit. Chin up, keep charging. PS: I'm an OG western masshole myself, cool to see some are still hunting! |
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Posted: 3/2/2024 5:00:22 PM EDT
[#45]
Figure out a way to double your salary. Spend money to go to trade school for an in demand profession (electrician, plumber, truck driver, etc). You’ll make more money investing in yourself than buying $50 of some dividend paying stock every month.
In a couple years when you go from $19 to $40 an hour, you can start investing to generate more income. Your highest ROI right now is investing in yourself. |
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IN, USA
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Posted: 3/3/2024 10:46:23 AM EDT
[#46]
Second job - there are an amazing amount of opportunities out there right now to work a second job if you are a self starter willing to work odd hours.
Look threw your stuff for things to sell. It is amazing the amount of stuff people accumulate that rarely if ever gets used. Use the money from selling stuff to bankroll investment/training to better your position |
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Posted: 3/3/2024 10:36:17 PM EDT
[#47]
You are in a position that could have you saving a ton of money and rocketing towards retirement if you play your cards right.
 Hear me out. You make a very low salary, especially for someone your age. Due to that, you likely don't have the cash to invest at this time to generate any kind of meaningful profit. Your focus needs to be on improving your income. I bet with some hard work and a little bit of luck, you could double your income in the next year. Get in the trades - electrical, HVAC, plumbing, etc. Something like that. Even $30/hr would be a 50% increase. If you were able to do this while not significantly increasing your monthly expenses, you could start shoveling money into the stock market. Look up the "4%" or "25x" rule. In theory, if you save 50% of your take home pay, you can retire in 10 years. Now we're in a position to make something happen. You've got the pressure off your bottom line at the end of the month and can look at the big picture. Figure out if your company matches 401k. Max the match. This is guaranteed 100% return on investment (ROI). Then, figure out which tax advantaged accounts work best for you situation (Health Savings Account (HSA), Roth IRA, or continuing to max your 401k beyond the company match). Another option is real estate. Save up for a fixer upper, flip it, and sell if for profit. Rent out a room or two to cover your rent (aka "house hacking"). It is extremely difficult to make repeatable short term wins in the stock market. Almost everyone on this thread has recommended index funds/ETFs (these are a fund made up of pieces of multiple or several hundred companies - this causes the risk to be much lower, but they can still average 8-10% annual return over time). That's because they work. They just don't work overnight. A lot of good recommendations in here. Bogleheads for sure. Read The Simple Path to Wealth and The Automatic Millionaire. I think you're on the right path coming here and asking these questions, but I just think your first step needs to be increasing your income to have the capital to put some of these suggestions into action. |
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Posted: 3/4/2024 1:06:11 PM EDT
[#48]
Quote HistoryOriginally Posted By Dragynn: Well I would argue first that 99% of people are living WAAAAAAY above their means, and that's by far the main reason why they suffer monetarily. 99% is a lot. What do you consider "WAAAAAAY above their means"? |
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Posted: 3/4/2024 6:46:03 PM EDT
[Last Edit: TurtlesAlltheWayDown]
[#49]
1. Excel spreadsheet of every penny that comes in and goes out. It may sound like a waste of time but I promise if you actually do it you’ll have a “damn I didn’t realize that” moment with a (pet food, vet bills, eating out, streaming subscriptions, shopping, etc) cost moment
2. Download Robinhood, put $100 in and mess around for a bit. Index funds and 401k are the answer for 95% of people. Robinhood is great but sometimes it’s helpful not to be able to view by the minute. Betterment is a good “fire and forget” app that is way more simple. Cost is $5/mo or something IIRC |
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Posted: 3/4/2024 7:15:46 PM EDT
[Last Edit: djkest]
[#50]
Quote HistoryOriginally Posted By FALARAK: That's a cash flow problem, not an investment growth problem. The FASTEST way to improve cash flow is take a hard look at your spending/budget, and see where you can make changes. Residence, auto, and debt service choices are some of the biggest in most cases. This means eliminating all consumer debt, and potentially moving to something lower cost, or taking on roomates, etc. The second place is to take a hard look at your income, and opportunities to grow it. Not just a second job, but more of skills improvement, or constantly seeking opportunities for growth. This might even mean moving to another part of the country if needed. I am going to quote this because I think he did a great job of summarizing the situation. Married? Have kids? If the answer is no to both, you might be able to move around a bit to find better employment. What are your skills, what are your passions? |
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