Money Strategy

[Al Gammate]

What is the most effective and efficient strategy for making money?

Some strategies for making money include having a job, investing in the stock market, having your own business, and investing in real estate.

Which money strategy do you think is the best and why? What are the pros and cons of each strategy? Which strategy is the most recession-proof?

 

[nlphypno80]

I don't think that there is any real right or wrong answer to your question. I personally think that starting your own business and investing in things like real estate are the best ways to go.

At the center of it all though is sound financial management practices. It's a matter of looking at your overall financial situation. If you're expenses are greater than your income, then it's time that you start finding ways of cutting back on your expenses while at the same time finding ways of increasing your income.

For some people increasing their income might mean that they have to go out and get second jobs and for others it might be starting a business.

It's really dependent upon what your goals in life are and your overall financial situation.

I myself am the type that believes that starting a business is the best way to go. I also believe very strongly that investing in real estate is a good way of making money, but that is just my personal opinion and will differ greater from other people. I also believe very strongly in doing things like selling things online through either your own website or through eBay as a way of making extra money.

 

[Paul01]

For me it's been mostly risk vs. reward. I've invested long term in very risky stocks, but diversified enough that so far it has worked out well and I was able to ride out the crash back in the mid 2000s. Some of it has just really been luck due to the company I work for having seen a very strong growth in its value. Most importantly to me is just being employeed continually, not taking on too much or the wrong kinds of debt, and being patient.

 

[morse86]

Hard work and savings. Getting a useful skill like farming, automechanic etc.

 

[Fantine]

It's hard to make generalizations when each one of us is so unique.

If you are seriously thinking about investing or investing in real estate, meet some people who do it successfully. I joined an investment club in the early 1990's and learned about investing from my very own Beardstown Ladies (we were in Missouri at the time). We used the principles of NAIC. Researching stocks is so much easier now due to the internet, but you still have to learn how to do your homework, and learning from knowledgeable investors is a good way to do so.

If you are thinking about investing in real estate, get to know people who are doing it. There are lots of headaches. Tenants will trash houses if they are evicted (or maybe that's why you need to evict them). Lots of people I know buy investment properties when their kids are in college. They buy a 3 BR house in the college town and their child and two or three roommates (hopefully reliable) share the house with them. The child lives rent-free, the roommates pay the mortgage. The child takes care of lawn mowing and maintenance...it saves on college room and board.

See if you can do some career shadowing. Knowledge is power, and after you acquire the knowledge about these paths you'll be better prepared to choose the right one.

 

[Mr. 5020]

What is the most effective and efficient strategy for making money?

Some strategies for making money include having a job, investing in the stock market, having your own business, and investing in real estate.

Which money strategy do you think is the best and why? What are the pros and cons of each strategy? Which strategy is the most recession-proof?

I know I'm a few months late to this thread, but it's important enough for me to bump it. The best advice that I can give is to diversify your income. What types of streams of income you have is up to you, but have multiple streams. Here's an blog post about that.