30 Money Moves That Could Set You Up for Life
30 Money Moves That Could Set You Up for Life
Gabrielle Olya Thu, May 4, 2023
Make Your Savings Very Hard To Get At
One of the keys to growing your savings is to keep the money in an interest-bearing account and don't touch it. Open a separate savings account at a bank you don't typically use. An internet bank can be good for this purpose since you won't be able to walk into a branch and take out the money.
Don't link your debit card to your savings account. When you want to deposit money, you can use mobile upload if available, mail in a check or go to a branch if it's not an internet-only bank.
Use Your Credit Card
This may seem like odd advice. After all, credit card debt is the biggest threat to financial security, right? Well, it can be. But credit card debt is different from credit card use. If you use your credit card for regular purchases and pay the balance off at the end of the month, it can actually help you save more.
First, you'll need a credit card that pays you cash back. Then, you'll need to use your card for groceries, gas and even monthly utility bills. And then -- this is the most important step -- you need to pay off your entire credit card balance before the due date. This way, you'll get cash back for what you've spent, but you won't pay any interest on your purchases. Now, the next most important step is to put the money you earned through cash back into your savings account. Don't let it sit there just to add up or to use it for next month's balance. Put it into savings.
Take Advantage of Credit Card Rewards
Some credit cards offer travel rewards and other perks in addition to or in lieu of cash back. If you have a travel rewards card, make sure you cash in on the rewards the next time you plan a trip to save on out-of-pocket costs.
Diversify Your Savings
You don't have to put all your money in a savings account. Diversifying your savings strategy to include a mix of savings accounts, CDs and money market accounts can ensure that you are earning interest while still being able to access funds if and when you need to.
Invest In Real Estate
If you own your home, you're already a real estate investor. But there are many other ways to make money from real estate. You can buy, fix and sell properties as they do on different fixer-upper shows on television. You could buy a multifamily property and earn rental income. Or you could invest in a real estate investment trust, or REIT, which sells shares of a portfolio of properties like shopping malls, apartment buildings and other properties.
Look At Where You Live
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