How to make passive income with only $1,000
Let’s talk about making passive income and making your money work for you.
Specifically, let’s look at how you can make a passive income, starting with just $1000.
Remember, people start from all different positions, with a large chunk of wealth or a little amount of wealth. But no matter where you are in life you can always take steps to get you from where you are, to where you want to be.
One grand beginning
If you only had $1000, how can you invest and make your money work for you? Well you can’t go and buy a house, at least in most instances, as you’d be looking at a $100,000, or $200,000, or a $250,000 purchase price at least. There are properties in Australia for as little as $10,000 or $15,000, so never say never, but let’s speak in general terms for the purpose of this article.
What are my options?
With only $1000, you should look at your alternative options.
Could you set up a business for that much money? Would that business bring you a revenue stream?
Could you buy some shares? Not everyone at Binvested is a fan of shares, but you could buy shares that are paying a dividend and you could use that dividend as cashflow.
You could use that $1000 to go buy something and then resell it; do some trading. Rather than taking the cash you have got and putting it in the bank while it earns you nothing and you are losing your purchasing power; you can take that money, go and buy something of value and then flip it and earn a greater return on it.
Tales from the crypto
Looking at alternative investments, and this is not financial advice, you could take your $1000 and potentially go and buy some cryptocurrency. There are some out there that do pay recurring revenue streams and dividends. You could also invest the money in precious metals like gold, silver and other financial instruments. You could sit there and say I can’t do anything, or you could take that money and go and purchase an asset and put it on your asset side of your ledger.
She got me lending
If you know people that lend money…some might have $50,000 or $20,000 and they might go and lend that to someone and get some return on that. You can do that out there via personal private lending platforms. So there are many different ways to create an income stream; many different ways to be able to boost your asset position, and it’s just a matter of starting and creating a strategy that’s going to work for you.
If you need help creating that strategy or planning for that strategy, we’ve got a team of experts at Binvested, who will be able to help you out on your investment journey.