Creating passive income?

[Serif]

gold

Lol wut, Gold over the long haul has had like a 1-2% return it is just here recently that it had a high return and why buy when it is at its highest?

Investing isn't that hard once you have all of your other finances straight.

1. Put in your company's 401k plan until they do not match it.
2. Invest into a RothIRA, you can not pull this out until you are 59.5 without a penalty, think long term about this one.
The only stipulations are:
* Single filers: Up to $105,000 (to qualify for a full contribution); $105,000-$120,000 (to be eligible for a partial contribution)
* Joint filers: Up to $166,000 (to qualify for a full contribution); $166,000-$176,000 (to be eligible for a partial contribution)[4]
* Married filing separately (if the couple lived together for any part of the year): $0 (to qualify for a full contribution); $0-$10,000 (to be eligible for a partial contribution).

It used to be 4k a year but this year or last it went up to 5k, 416.66 a month.
3. Liquid Cash
4. Invest in the market

[Ragns]

Like aurik said mutual funds and such are probably best for your situation. Any money not invested is money that you lose because of the inflation rate which is around ~3%/year which means your 5000$ non invested would make you lose 10-15$ a month so you need to aim for interest rates over that.

Based on that 5000$ value a somewhat risky mutual fund could probably get you 50$/month at best, it's not much but at least you don't waste the time managing it.

If you want to go into stock market it's always best to put your money in businesses you have good contacts and/or information. Like in my case I've heard about this Zagg Inc. - Google Finance a year ago when it was still at 1/10th of it's value.

But if you're just clueless about all this then just get an ingdirect.com saving account or ask a financial advisor, it's their job to make your win more money.

[guartz]

Lol wut, Gold over the long haul has had like a 1-2% return it is just here recently that it had a high return and why buy when it is at its highest?

Investing isn't that hard once you have all of your other finances straight.

1. Put in your company's 401k plan until they do not match it.
2. Invest into a RothIRA, you can not pull this out until you are 59.5 without a penalty, think long term about this one.
The only stipulations are:
* Single filers: Up to $105,000 (to qualify for a full contribution); $105,000-$120,000 (to be eligible for a partial contribution)
* Joint filers: Up to $166,000 (to qualify for a full contribution); $166,000-$176,000 (to be eligible for a partial contribution)[4]
* Married filing separately (if the couple lived together for any part of the year): $0 (to qualify for a full contribution); $0-$10,000 (to be eligible for a partial contribution).

It used to be 4k a year but this year or last it went up to 5k, 416.66 a month.
3. Liquid Cash
4. Invest in the market

/facepalm

[ertyu]

Like aurik said mutual funds and such are probably best for your situation. Any money not invested is money that you lose because of the inflation rate which is around ~3%/year which means your 5000$ non invested would make you lose 10-15$ a month so you need to aim for interest rates over that.

Based on that 5000$ value a somewhat risky mutual fund could probably get you 50$/month at best, it's not much but at least you don't waste the time managing it.

If you want to go into stock market it's always best to put your money in businesses you have good contacts and/or information. Like in my case I've heard about this Zagg Inc. - Google Finance a year ago when it was still at 1/10th of it's value.

But if you're just clueless about all this then just get an ingdirect.com saving account or ask a financial advisor, it's their job to make your win more money.

Hey, I just bought my iphone screen protector from them.

[Skjie]

Chinese or Indian mutual funds. They're higher risk but higher reward, but unless the fund goes under, it's a good way to make money 5-10 years down the road.

[Serif]

/facepalm

Wut I do wrong ?

[_chuchu]

Wut I do wrong ?

nothing at all. Long term is probably the safest strategy with that little cash on hand.

[Atreides]

Wut I do wrong ?

Isn't investing in your company's 401k only sound advice if your company doesn't fuck it up and invest it with bernie madoff etc?

[Pirian]

Isn't investing in your company's 401k only sound advice if your company doesn't fuck it up and invest it with bernie madoff etc?

Raising your income by 10% is stupid, yes.

[guartz]

Aside from him mentioning that he has a rothira, the simple fact that 401ks just don't fair rather well nowadays, and Zalius was asking for short-term money making help, what makes you people think a college student has access to 401k?

[Serif]

Meh I wasn't really talking to the OP when I posted that. Should of specified I guess.

Haven't done too much research on 401ks to be honest, the company I work with just puts our money into a Simple IRA.

He did state that he has a RothIRA but he has no idea if he is maxing it. Was just posting some information for him.

The best way to get 200 extra dollars a month is to just pick up another side job. I made an extra 200-1k a month during the late spring/summer/early fall season just cleaning pools.

If there was a way for people to just earn an extra 2400 dollars a year by just investing 5k everyone and their Mom would be rich as shit, I say that with humor because no one really invests to begin with.

[Darus Grey]

Find a hobby, make things involving said hobby, sell them.

Probably the only realistic advice in the thread. My "passive" income is building custom arcade electronics. Makes me about $2000 a month for little work, though I did patent some of my designs.

True "passive" income doesn't exist unless you have tens of thousands saved, otherwise it's just a field riddled with scam artists or high risk(and your entire goal is to have stability in that passive income...).

[Nystul]

Aside from him mentioning that he has a rothira, the simple fact that 401ks just don't fair rather well nowadays, and Zalius was asking for short-term money making help, what makes you people think a college student has access to 401k?

401k's are fine in the long term. Stocks are low now, the only reason to worry if you have a 401k right now is if you need access to the funds right now. If you don't need access to them for 20 years, you should be putting as much into them on a monthly basis to dollar cost average over the long term.

And atreides- company 401k/roth401k typically allow you to decide how you invest by showing you a portfolio and giving you access to a financial planner to decide if you are going to be low risk/moderate risk/high risk/ etc and which funds you will invest in. I've not heard of a 401k that prevents you from controlling where your money goes.

[Zalius]

i already have a full schedule in terms of school and work. I'm averaging around 15-17/hr depending on the day/shift delivering pizza. I only have august left to work without worry about school, but all of my classes are going to be on my 2 days off anyways. I'm not broke by any means, but like ragns said, my money is just basically rotting away and i know i could be making more with it.

And to the poker dude, i already do play online and make a little, but i dont gamble more than 5 bux unless its irl poker.

I know gold is solid, but is it really that much over rate of inflation? And chinese currency, wut lol

edit: i do not mean the phase of gold, i meant legitimacy

[Serif]

All my money is just sitting in a savings account for the time being. I don't consider it wasting away though. Do I wish it was making 200 dollars a month, hell yes but I am not really a big risk taker.

Just finding a small job where you can make 10 bucks really quick isn't too hard in college. I was working 40+ hours a week and taking 15 hours and still managed to make an easy 200+ bucks a month. You just need to stop watching your MyBrute level up and find an easy job that you can do in your free time.

[Pirian]

Gold is more of a hedge. You don't invest in gold expecting to double your money, but rather rather for your money to be stable; you seem to already understand this though. Honestly, I don't see gold going up all that much higher, especially if the stock market truly hit a bottom . . . We'll have to see about that though.

[Zalius]

All my money is just sitting in a savings account for the time being. I don't consider it wasting away though. Do I wish it was making 200 dollars a month, hell yes but I am not really a big risk taker.

Just finding a small job where you can make 10 bucks really quick isn't too hard in college. I was working 40+ hours a week and taking 15 hours and still managed to make an easy 200+ bucks a month. You just need to stop watching your MyBrute level up and find an easy job that you can do in your free time.

i work 25-30 hours a week and make about 300-500 a week.

[Atreides]

Isn't there virtually 0 risk involved in laddering your money into o instead of sticking it into a savings account? I mean, the interest isn't high from what I understand, but it generates more than savings account rates, the downside being you can't access the entirety of your funds at once. Or no?

[Serif]

i work 25-30 hours a week and make about 300-500 a week.

Oh I understand that but I guess I just had an easy major where 15 hours wasn't too time demanding. Just find something that you are good at, I never thought I could charge what I do for something I thought was so easy.

Isn't there virtually 0 risk involved in laddering your money into o instead of sticking it into a savings account? I mean, the interest isn't high from what I understand, but it generates more than savings account rates, the downside being you can't access the entirety of your funds at once. Or no?

I take it you mean like CDs?

I am pretty sure the money is out for a period of time and you can't touch it until then. I know my savings account is like .025%, or something insignificant haha, it is just somewhere I am putting money until I have enough for a down payment on a house. I could be from the streets and put it all in a shoe box wrapped in rubber bands but meh...

[Atreides]

o yea I typed CDs, my trackpad is fucked up and randomly selects/deletes things ;/