Simple Investments for the everyday working people.
We all as hard working people want to move to the next level financially so we can have that financial freedom that we dream of having. Personally, I would like to retire early and not have to worry about how I’m going to support myself when I become a Senior Citizen. When I become a Senior Citizen I want to enjoy life, travel, shop and not worry about how my bills are going to get paid. I figured out in order for me to have the life I want later on I have to put things in place and invest now.
It is not necessary for you to have a whole lot of money to start an investment. Needless to say there are things you have to have in order to afford you the opportunity to invest such as: paying your bills on time, correcting your credit score if it's low, going to a financial advisor. getting out of debt, and living within your means so you can become debt free.
These are some simple investments that the everyday working class like myself can tap into they are: buying a share in a stock market, Index Investing, investing in a 401k or IRA, investing in the real estate market, and hosting an Airbnb.
Buying a share- when you buy a share from the stock market you own a small portion of the company you bought into. When the company profits they may pay you a portion of these profits in dividends based on how many shares of stock you own. These are the recommended stocks to buy in 2020: Apple, Amazon, Disney, Microsoft, Nike, Visa, Coco Cola, and Netflix.
According to investors.com these are the best five stocks: Amazon. United Health Stock, Transdigm Stock, and GDX Stock. Amazon web services reported growth of 34% to 9.95 billion. The company said it ended the quarter with 150 million members of its amazon prime rewards program.
Transdigm Stock earning growth has picked up from 10% to 27% to 28% in the last few quarters. This company supplies a variety of key aircraft components.
GDX was IBD stock of the day on February 21st. The price of silver and gold rose 1.5% to $1644 an ounce on Friday hitting a fresh seven year high.( www.investors.com)
Index Investing is when you buy an index fund and you get a well rounded selection of many stocks in one package without purchasing an individual stock. There are three steps to buying an index fund they are:
1.Decide where to buy by looking at a broker's fund selection, commission free options and trading cost.
2. Pick an index such as S&P 500 or specific industries or types of companies.
3. Check investment minimum and other costs ( choosing the right fund for your budget)
Mutual fund companies can serve as your investment hub. The S&P 500 is not the only index you can choose from there are index that are composed of stocks and other assets that are chosen based on company size, geography, business sector asset type, ad market opportunities ( nerdwallet.com) Basically, index investments give you more of a variety and you can invest in multiple stocks in one portfolio.
401(K) Investment- A 401 K plan is an employer- sponsored retirement plan that enables employees to make contributions which receive special tax considerations from every paycheck. The 401 k provider offer an employer match meaning the company will contribute an annual percentage of eligible employees compensation to their 401(k).(retirement.johnhancock.com) Top companies that offer 401(k) and IRA are; Merrill Edgeself directed account( www.merrilledge.com), Share builder 401(k) for small businesse owner ( www.sharebuilder 401(k).com, Prudential Retirement Plans/Retirement Solutions Leader( prudential.com) also any local bank or credit union offers 401(k) and IRA plans to suit you or your family needs.
Real estate involves the purchase ownership,management,rental and or sale of real estate for profit. In order for one to purchase or sell property you must have market listings, real estate agents, banks, government entities, public auction private sales,retail estate,wholesalers and investors.
There are others ways to make money in real estate they are: to become a landlord,flip property,manage property,bird'dogging,and real estate photography.
Airbnb is the quickest way to make money from your property.Airbnb is an online marketplace that connects people who want to rent out their homes with people who are looking for accommodations in that area. With Airbnb you are in control of your availability,prices house rules,and how you interact with your guest. Go to airbnb.com to learn more or become a host.
As you can see there are alot of inexpensive investments that we can tap into as the working class, we have to do our research and implement the best plan for our finances and be discipline to carry out our plan. If you are among the working class and you have invested in any entity, drop down in the comments below and tell us about your investments.
Like my page on FacebookBloggingwithapril. Follow me on Instagram and Twitter Bloggingwithapril. Subscribe to my youtube channel Blogwithaprilhaynesworth. If you haven't already read my other stories on this site.
Thanks for reading 🙂
