We’re programmed to focus on our careers as our only income source. Study hard, get a job, rely on the job for a salary, healthcare, retirement savings, and social life.
Maybe this way of thinking is leftover from our parent’s generation and their employer loyalty, pensions, and gold watches. We do our best to stay employed. But lose a job, and suddenly the government is expected to step in and save the day.
When I lost my job in 2012, I didn’t apply for state unemployment benefits. We lived off of a $19,000 emergency savings fund and five income streams I built from investing in the stock market before being let go. One of those income streams is a side business I built while I was fully employed. It produced a decent income and gave me something to do while I searched for my ideal job. Americans often borrow too much money to buy the nicest house and car they can mathematically afford. Everything is fine as long as they stay employed and the economy remains on sound footing. But crossing fingers and hoping things stay good is a bad plan.
The way to avoid financial troubles, even in a depressed economic environment, is to borrow far below your means (or not at all), build a significant emergency fund, and create secondary income streams to supplement your primary income and grow wealth.
If you want a shot at becoming wealthy, you need to do more than simply earn money. You may be thinking to yourself – this is not the time to talk about investing.
You’re panicking about your job, that argument with your best friend, your cat behaving even more weirdly than usual – and don’t even get me started on your love life.
But really, there’s NO GOOD time to talk about investing. Ultimately, you have to be disciplined enough to hold onto the money you earn – to then take the next step in learning how to make your money grow and the best way to grow your money is by learning how to invest. It’s as simple as that.
When you become an investor, you’ll be using your money to acquire things that offer the potential for profitable returns through one or more of the following:
Cash flow from businesses, real estate, Cryptocurrency investment, stocks or other assets.
As you learn to become an investor, you will begin to devote your limited resources to the things with the largest potential for returns. That may be paying down debt, going back to school, or fixing up a two-family house.
Why you should invest?
In order to build your wealth, you will want to invest your money. If you don't invest, you are missing out on opportunities to increase your financial worth.
When should you invest?
The answer to that is pretty simple. The right time is now. Investing sounds more intimidating than it is. Yes, there’s always a potential risk for loss, but there’s an even bigger potential for serious gain. Doing anything for the first time can be terrifying, especially when it involves your hard-earned cash. But here’s some advice for first-time investors.
Risk vs reward
It’s true: Investing involves risk. We’ve all heard about investors who lost everything to a scam. Although you can never eliminate risk entirely, you can significantly reduce risk if you invest wisely. While investing can be risky, it’s best to just deal with that risk, because not investing can cost you a lot more money than losing a little money on a bad investment.
Can I Grow wealth by investing in Cryptocurrency?
Yes you can. As far I can remember the best investment over a decade now that I have engaged in is cryptocurrency and I don’t regret ever investing in it.
Here’s a little story about my investment journey.
I first became aware of cryptocurrency in may 2011.
I tried to get involved but I didn't have the resources and I was very nervous about losing money. I had studied computer science, so I was interested in the concept so I started making research on how it works.
On October 10 2011(my birthday) I got a total of $550 cash gift from my colleagues at work. I saw this as an incredible way to transcend the financial system. I got involved in cryptocurrency and lost my investment because I did not gather enough information on how it works and also because I didn’t invest in a well regulated platform.
In 2013, another colleague at my new job offered to break down cryptocurrency for me over lunch. I invested $5,000 in Bitcoin back in 2013 at $72 per coin. I decided to buy as a long-term experiment.
As of December 12 2017, Bitcoin was valued at $16,600, which then made my bitcoins worth $1,148,720.
It took me five years working 80-hour weeks to make over $1 million saving and investing in the stock market, but with Bitcoin, my coins increased to over $1 million in 2017 alone. It's by far, without a doubt, the easiest money I have ever made.
Investing in cryptocurrency is one of the fastest ways for young people to attain wealth. Cryptocurrency represents the largest transfer of wealth our generation has ever seen. Never before have young people been able to change economic classes so quickly.
There is actually no reason for you to invest in crypto at all as there are thousands of investments out there that could also earn you profits. However, if you can see the potential that blockchain technology is going to bring to the world over the coming years, then you will see that the time to invest in crypto is now.
Irrespective of the amount you wish to start with, cryptocurrency and digital earnings has been established to be a very good means of generating passive income. However, you should invest as per your capacity. 5-10% of spare amount can be invested in Crypto at starting point and then you take bigger steps when you gain some profits. But then, the world of such investment opportunities can be tricky. One would need a good coach and people to run to for advice at almost every point.
Word of warning: Cryptocurrency investments can see impressive growth in short periods, but it’s essential to have a thorough understanding of how a project works before risking any capital. Learn to educate yourself. Be knowledgeable with uptrends and statistics by quick researches to ensure you’re doing the transaction smoothly, safely, and securely.
You can get very Rich by investing in Crypto and also run at loss but that’s only if you do not have the right knowledge. I have been through many bull and bear markets and I have already had my share of costly mistakes - so you don’t need to repeat them and learn the hard way.
The worst thing you could do is invest money in crypto assets while trying to figure everything out on your own. Always seek help from crypto experts to guide you on well regulated and registered company platforms before investing your money so you don’t fall into the wrong hands because not all platforms are legit as there is a never ending conveyor belt of scams waiting for newbies to come in and throw their money away aimlessly hence, you have to be very careful.
You can also invest in things other than the cryptocurrency like stock market, real estate and so on. No matter what you do, do something! You can even put your money in a high-yield savings account to accrue interest until you’re ready to invest it. Make your money work for you.
Bottom line
The bottom line is if you're trying to build wealth, you can't afford to keep all your funds in savings accounts that are barely earning interest. To make money, there are some risk you will need to take on (only you can decide how much you can tolerate). After all, when there's no risk, there's no reward. Investing your money can allow you to grow it. But when you don’t invest, you become stagnant financially. You will not grow. You will stay forever in your position whether as an employee or not. Don't forget that your savings and your investment will help you attain your financial goals.
Investing is the only way to achieve both growing wealth and passive income.The money generated from your investments can provide financial security and income. It is possible to earn extra income by investing in quality investments. The return on your investments might be used as a source of regular extra income for day-to-day living. Or you might choose to reinvest the money to further grow (or compound) your wealth.
