All Articles – Page 9 – Sprout Wealth

Make Money Series – Earn Cash Selling Video Games

Extra Income

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Oct 30, 2014

Make Money Series – Earn Cash Selling Video Games

This is a guest post from Syed. If you would like to guest post on Sprout Wealth, please contact us!

I played a lot of video games growing up. Starting with the original Nintendo, to the Super Nintendo and Nintendo 64 (seeing a pattern here?), there were many games on each of these systems that hold a place in my heart. I have many memories of playing video games all day on the weekends and days off from school. My siblings were also into video games, so they were a really big part of our childhood. Some people would say this is not really much of a childhood, which may be true, but it was a fun one nonetheless.

Why this trip down memory lane? Because I know I wasn’t the only one who grew up on video games. Video games are a huge industry and gamers are very nostalgic people. We enjoy remembering that time we first laid eyes on the newest Super Mario Brothers game or the excitement of playing Street Fighter with our friends long into the night. This makes video games somewhat of a collector’s item, so there is money to be made.

Old Video Games = Money!

A lot of older video games were only made in limited quantity or sold for a limited time, so it is tough to find a copy in stores today. That’s when gamers turn to eBay, a veritable video game heaven. Pretty much any game is available on eBay if you’re willing to pay the price, and I have used it plenty of times to sell off my old games. And I have stacks and stacks of old games.

Ebay does tend to have some onerous fees at times, so not all games are worth selling. A game that sells for $5 might cost $2 to ship after eBay and PayPal take their cut of the payment, so you have to be selective in what you sell. But all it takes is doing a simple search on eBay to see what the game is selling for currently to price it appropriately, and then taking some really good pictures. Posting up actual pictures of the games, scratches and all, and giving honest descriptions about the games condition, is a much better selling practice than just putting up a stock picture of the game. People appreciate honesty and are willing to put up with an imperfect case as long as they can play the favorite game from their childhood.

Bought for $20, Sold for $70!

An example would be a little game called Demon’s Crest for the Super Nintendo. It was a game I picked up in the bargain bin many, many years ago for around $20-$30. There are people selling it on eBay currently for $200. Now, you’re probably not going to be able to sell a game for that much, but seeing that helped me price it appropriately and I was able to get $70 for it. Not bad for a game I never really played just sitting in the bottom of a box. Not all games will be able to sell for a profit, but getting money for old games just collecting dust seems like a great deal.

Since I purchased so many games in the past I have what seems like an endless supply to sell at the moment. It’s fun trying to find the right price and taking good pictures to try and move them on eBay. While it probably would have been a better idea financially (for my dad anyway) to not have bought the games in the first place, they did give a lot of good memories and are at least worth something in the end.

Syed is a full time optometrist and blogger over at The Broke Professional. He enjoys his work and loves playing and watching football and basketball. He also loves making memories with his wife and young son.

Have you sold video games for cash? Do you enjoy the nostalgia of finding something from your past on eBay?

Why Do You Earn Extra Money?

John

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Oct 28, 2014

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Here at Sprout Wealth we talk about a lot of different ways to earn extra money. We talk about investing in the stock market, how to maximize your side hustle and pretty much everything in between. We do that because we want to show you that it’s not always difficult to find ways to earn more money. There might be some growing pains and challenges, but it’s certainly not impossible.

However, we don’t talk much about why we want to make extra money. I know it’s sort of easy to think that money alone is going to drive us when the going gets tough. But, I’ve got news for you…money isn’t everything. I know, I said it. How can a site that promotes finding ways to grow your wealth say that money isn’t everything? It’s quite simple really. Hear me out and see if you agree.

Trying to Earn Extra Money Will Only Take You So Far

Extra money is great. It can be used for different things from paying off debt to travel. However, in my opinion at least, simply earning extra money will prove to be old at some point…unless you have a purpose behind it. A purpose I can get behind, just cash for cash sake is going to be harder to stay true to when you’re tired or when you’re tempted to go elsewhere.

Simply put, that extra money is going to mean less and less until you tie it back to something that matters to you. That timeline is going to be different for each of us. What may seem long for me may be just getting started for you and vice versa. If you’re in the beginning of finding ways to make extra money but struggling as to how to tie a purpose to it, consider some of these common reasons for earning extra money:

To Pay off Debt

This is somewhat of a no-brainer. If you’re mired in debt then earning extra money on the side is likely going to be one of the best ways to kill that debt once and for all. I know I did that, as many others do today. Being debt free is something that is easy to get behind.

To Travel

Until I discovered credit card churning this was one of the things that drove me to make more money. I would envision where the hard work was going to take us as a couple or family. When I wanted to give up or got tired of working on the side, the upcoming travel drove me to keep going.

To Save for Retirement

This is one I use to drive myself at times. We funnel a certain area of our business directly into our retirement accounts at Scottrade. It works basically as a mental accounting. I see the potential to earn more and that drives me as I know the ultimate destination of those funds is our retirement accounts.

To Save for Your Children

This is sort of a catch-all as it can be anything from saving for their college needs to saving for them in general. As a parent this is one of the biggest ways we show our love to our children, which is the ultimate driver.

To Provide for Your Family

This is another no-brainer in my opinion. I don’t know about you, but the last thing I want is for my wife and children not to have a roof over their heads. That alone is a pretty good driver to earn extra money.

To Start a New Business

My wife and I really didn’t need any extra funds to start our business, save for a few office supplies, business cards and fliers. That was something we could easily cover. However, we have friends wanting to start their own business and are trying to earn extra money on the side to get enough to fund it. As a business owner myself, I can definitely see how that would drive you.

To Provide Opportunity

Honestly speaking, this is what drives me to earn extra money. I want the opportunity to make choices for my family that we wouldn’t be able to otherwise. This really isn’t geared towards early retirement or anything like that, but to have the freedom to do what we want, when we want. We want to be able to pick up and travel to places we want to see. We want to be able to take advantage of a business opportunity if we see potential. We want to be able to join and support organizations that are important to us. Those are all things born out of being able to take advantage of opportunity and what drives us to earn more money.

Ultimately, it’s going to come down to you and your preferences. In many cases, it might be a combination of factors that drive you and that is just fine. The beauty is you get to decide and I can pretty much guarantee that once you do find those driving factors to earning extra money you’re more likely to succeed in the long run than if you were just doing it for money’s sake.

What drives you to earn extra money? What areas did I leave out? How do you motivate yourself to make more money when you want to give up?

Photo courtesy of: 401k calculator

*This post was featured on Frugal Students.

Time is Money! Do you Treat it as Such?

General

Grayson Bell

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Oct 23, 2014

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Time is Money!

Have you heard that saying before? I know I have numerous times before, so much that it’s ingrained in my head. While we have probably all heard it before, do we really follow it as much as we should? Ever since I have been an entrepreneur, I have understood this meaning. The problem is I also haven’t followed it as well as I could have. Let me explain what I think this phrase means and how you can implement it in your quest to make money.

What Does “Time is Money” Mean?

To me, this phrase is really indicative of being an entrepreneur. You have to know how much your time is worth, as you have to consider it money. What is the value of your time? If you work for a job which pays you $10 per hour, then you value your time as such. This gives you the ability to then calculate how much your time is worth when you are doing something.

For example, say you were to start a business and you put a lot of time into it. This is how most, if not all, businesses are started. They are built with blood, sweat, tears, and time. When you can’t pay yourself, overtime you start to forget how much your time is worth. Would you go into a job and work without pay? Most people don’t. When you are a business owner trying to make money, you need to understand your time ROI. If you are a freelancer, your time is how you get paid.

I try to consider all my time I am awake as an available opportunity to earn money. I have a value set on my time (per hour) basis and I use that to calculate my ROI on everything I do. When I am building something new for my blog, I try to calculate how much time it will take, the associated cost, and what value/money it can bring me.

Let’s say I work on a new post which has affiliate links in them. I research the article and put it together in three hours. If my time was valued at $30 per hour, then I need to make sure that post will generate at least $90 worth of revenue for me. Anything less and I have a negative return on investment. I spent more to produce something which didn’t provide the results I had hoped. The time is money can be thought of another way.

If Your DIY, then Your Time IS Money

I am a huge fan of DIY. I have been doing it myself for years. I cut the grass, clean the cars, clean the house, fix the cars, fix most things that break, install items, and do anything I can with my hands. When I was getting out of credit card debt, I would do everything myself. I didn’t value my time like I do now. I just wanted to be as frugal as possible.

If something broke, I tried to fix it. If we needed something done, I would try my hand at completing it. What I didn’t know is there were many time when I could have just hired someone to do the task for less than what my time is valued at. Again, if it takes me 8 hours to pressure wash my house, then it’s not truly free. It costs me $240 in money I could be working for. If I can hire some college kids to do it for only $150, then I am technically winning the fight. Not only am I freeing up my time to pursue money making ventures, but I am also providing work to someone who wants it.

When “Time is Money” Can Be Applied

Now, there have been times when I will be talking with someone and they pull out the “time is money” saying for something I plan on doing. For instance, I like working on my Jeep. I enjoy getting my hands dirty and learning. I don’t do the work to save money, I do the work because it’s a hobby of mine. The ROI of paying someone over me doing it myself is not applicable. While my time is money, I value my hobbies and my stress relievers much more on some occasions. I don’t always think about earning money.

The main thing to get from the “time is money” slogan is you can only apply it when you plan on using your time to make money. Yes, your time is valuable, but if you spent it watching TV or playing video games, then you can’t put an ROI on it. You can’t use the slogan. You are choosing to use your time for something other than income generation. If I were giving up one opportunity to make money for my time to complete a non-paid project or job, then I should be using this slogan. I should be calculating the ROI of my time value compared to how much I could pay someone to do it.

Time is money, but there are times when you can’t use it and other times when you should. I will always value my time against a monetary value, but that’s because I am always looking for new ways to make money. I use my time to generate more income, but not everyone is the same.

Do you value your time based on a monetary value? Do you calculate your time/value ROI?

Image via TaxCredits.net, modified by Sprout Wealth

15 Side Hustles You Can Start With Little Money

Extra Income

John

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Oct 21, 2014

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15 Side Hustles You Can Start With Little Money

If you’ve been a reader of Sprout Wealth for long, you know Grayson and I are both huge fans of side hustles. Not only do we think can they be a great way to earn extra money but they can also turn into nice little streams of income over time. Simply put, if you’re looking for a way to pay off debt, earn extra income, or make some money to invest in the stock market, a side hustle can be a great way to get started towards that goal.

You’d think with how side hustles can help you make more money that more people would be clamoring to find a new side gig. Interestingly, people commonly tell us they either don’t have the skills or don’t have the money to run a successful side gig. As long as you are willing to teach yourself new skills and are ready to put in the work, there’s no reason you can’t start a side hustle.

Side Hustles to Start With Little Money

If you’re looking for a side hustle you can start with little money, hopefully this list will get your creative juices flowing. It’s not exhaustive, but it should get you started.

1. Testing Websites – I have not done this, but Grayson wrote a post several months ago on how to make money testing websites and it seems like a decent way to earn a little extra income. As long as you have and know how to operate a computer you can do this with no financial need on your part. You won’t get rich quick, but you can make a little money on the side.

2. Freelance Writing – This is a broad side hustle with lots of opportunities. You can find writing gigs paying anywhere from $10 on up. Aside from a few simple resources, you can write for other sites, blogs, companies, etc. It’s important to remember that this will take time, but it can be done.

3. Pet Care – This side hustle possibility basically boils down to dog walking, but you can expand it if you want. Aside from a few leashes, which many owners might have, there’s little financial investment required on your part.

4. Tutoring – I spoke about this in my ways to make extra money this summer post and believe it shouldn’t be tied to one time of the year. You can tutor at any level from junior high to college level courses. Aside from a few materials, this can be a great side hustle to start if you have a wealth of knowledge in a certain area.

5. Babysitter – This is a classic side hustle. Aside from gas to drive to the given location there is nothing needed financially on this side gig. It’s a great way to make money if you get the right connections.

6. Housekeeper – Many people either don’t have the time to clean their house or hate doing it. You might need some cleaning supplies, but often times these will be provided by the owner of the house. If you have 10-15 extra hours per week this could be a great money maker.

7. House Sitter – When my family and I traveled to San Diego this summer we hired a house sitter since we were gone for three weeks. He was actually a friends’ college aged son. At $20 per day it was good money for him. Nothing was needed on his part. People are always traveling so this can also be a great side hustle to start with little money.

8. Editor – Remember the freelance writing above? Someone needs to edit it. Other than the same basic materials, you need very little in terms of money to start a side gig like this.

9. Coach – This can be a variety of things really, from athletics to more lifestyle oriented coaching. You might need to buy a uniform (in the case of an athletics coach), but likely won’t need much more than that.

10. Personal Shopper – I hate shopping, regardless of the kind it is. I know I’m not the only one that feels this way. If you enjoy, or don’t particularly hate shopping, you can turn this into a side gig. Beyond time, the only other cost you might run into is gas – which you can bill into your hourly charge anyway. You can even make money shopping online if you don’t want to be a personal shopper. Sites like Swagbucks allow you to earn cash back for taking surveys, shopping online, using their search engine – plus a variety of other ways. Sign up for Swagbucks today and earn $5 sign-up bonus.

11. Get Cooking – Do you enjoy cooking? This can be a great way to make some extra money on the side. You might need a few utensils and gadgets to get started, but you likely already have many of them. You could also easily roll the cost of ingredients into the overall cost you’d be charging.

12. Gardener – This really could be a catch-all for doing yard work. Many love the idea of gardening, but lack the time or patience. You might need to advertise on Craigslist or in your neighborhood to get started, but outside of some basic tools you could make some nice money from the spring to fall.

13. Plan Events – This is one I wish I had the time to do myself. I planned a number of large scale events in college, as well as in my first real job. If you’re administratively gifted, you can make money at this with little upfront in terms of money. People all over the country are too busy or do not have the knowledge required to plan their own events. The end result is that they end up embarrassed because of the substandard events that they put on without assistance. This is where you come in, as you can organize their events from start to finish. This includes booking everything from the venue and caterer to hiring a guest speaker from Leading Authorities Speakers Bureau. As long as you have the ability to get everything that your clients need, you can make some decent money in this industry.

14. Photographer – Ok, this one may not qualify…really. However, if you like taking pictures, and you’re good at it, you can make good money being a photographer. We have a good family friend who started out as a photographer on the side and has turned it into a full business. You’ll need a camera, of course, but decent ones are much more reasonable today.

15. Professional Mover – This one might be a little more geared towards the spring or summer but it can be a great side gig to get started. As with #12, you may want to do some local advertising to get some clients. Outside of that and some gloves, you could develop a nice little side hustle over time.

Like I said in the beginning, this is not an exhaustive list and really only scratches the surface. The point is that if you think money should hold you back from starting a side hustle, think again. 🙂

Photo courtesy of: epSos.de

Credit Card Rewards Are Nice, But Don’t Overdue It

Credit Cards

Grayson Bell

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Oct 16, 2014

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Credit Card Rewards Are Nice, But Don’t Overdue It

John wrote a great post this week on ways to maximize your credit card reward points. He made some great points on how to get those awesome rewards which can result in free travel and free places to stay. Don’t get me wrong, I love earning my credit card rewards, but I also know that not everyone is like John and I. Since this is a site about growing your wealth, I wanted to talk about the subject of earning credit card rewards, but doing it in a way which doesn’t slow your wealth creation.

More Rewards = More Spending

While you can get more points by signing up for another card or getting a card for your spouse, these only work if you plan on hitting the required spend threshold. Some cards give you points after your first purchase, then others make you spend x amount in x time. Think the US Airways Card and the Hawaiian Airlines credit card, respectively. When you have to meet a required spend limit, then it means you have to use the card.

People like myself, who have been in credit card debt before, understand that you shouldn’t use your credit card to buy things you can’t afford. I use my credit cards for every purchase. What keeps me on track is I use them just like I would my debit card. I don’t buy more crap just to get rewards. I spend on the things I normally would. The rewards are just that, rewards. I am rewarded for my regular spending. Yes, I can get more rewards, but I would have to specnd more. I am not willing to do that at this time.

Credit Card Rewards Are Just Rewards

I have learned a lot about credit card churning and the process of earning those sweet rewards. I have learned a ton from my good blogging friend, Holly. She is good at churning cards and keeping those rewards flowing. She is also really good with her money. She how that ties together? If you are good with your money, then you can be good with credit card rewards.

The one thing you should remember is credit card rewards are just rewards. You have to spend money to make money, right! The credit card company is rewarding you for spending money on your credit card. Their hopes are you will not make your full payment each month and then they will get you with interest. Think of it this way. If you have a cash back card, like the Discover it card, then you can earn 1% back on all your purchases. I am not going to talk about the rotating 5% categories as those are different every quarter. Let’s say your credit card has a 12.99% interest rate on it. If you don’t pay off your entire balance at the end of the month, who do you think has won? Your 1% cash back, or Discover’s 12.99% they are charging you on the balance? Let’s just say you lost big time.

Most people who don’t pay off their cards each month don’t realize this math. While it is simple to see who is losing out, you can only be successful getting rewards if you can manage your money appropriately. Don’t be jaded by the fact that you are getting free money by spending. It is not free. It can cost you if you don’t make your payments in full. The reason why banks give out these rewards is because there are far more people who don’t pay off their balances each month than there are who do. I used to be one who would only pay the minimum balance. Now, I pay everything in full each month. I changed how I used credit cards and I am enjoying my rewards. That doesn’t mean I would still do it if I found I was spending more than I should be.

Credit cards don’t control my life, I control them. I choose when I use them and where. I am in control of my spending and that’s why I love earning rewards. It is just a nice way to get something back from the credit card company after giving them so much money for so many years.

Credit card rewards are great, but don’t overdo them. You can fall into the debt trap quickly if you are not careful!

3 Great Ways to Maximize Your Credit Card Rewards Points

Credit Cards

John

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Oct 14, 2014

7

3 Great Ways to Maximize Your Credit Card Rewards Points

I have spoken before about how I love credit cards. Yes, they’re inanimate objects so you really can’t “love” them, but what I do love is credit card rewards points. We love to travel in my family and that can take a lot of money. That is money we could use on something else more important like investing for retirement. What credit card rewards allow us to do is still satisfy our travel itch while also not costing us much in the process. That means we can do more with our money.

In my time of churning credit cards I’ve learned some simple tricks that can help you maximize your return. Essentially, these tips allow you to earn more rewards for relatively little extra work. We all like to earn more by doing less work and the same applies with rewards points.

Credit Card Rewards Points are Free Money

I won’t beat a dead horse as I’ve covered this in other posts, but credit card rewards are essentially free money. That is assuming, of course, that you manage your finances wisely. If you pay off your credit card bill in full each month then it pays to take advantage of some of the more hefty sign up bonuses many credit cards offer.

Simply put, if I know that I’m going to spend $1,000 or more over the next few months and a bank will give me at least several hundred dollars to do so then it only makes sense to earn those rewards points.

Get Two Cards

What many people don’t realize is that there are some credit cards out there that offer the same card in both a personal and business version. Take the Hawaiian Airlines credit card for example. They offer both a personal and business version of the card. Each version of the card offers 35,000 bonus miles when you spend at least $1,000 in the first 90 days. By signing up for both, assuming you can hit the spend, you instantly double the amount of points you can earn.

I know what you must be thinking…I don’t have a business. Don’t sell yourself short. Do you have a blog that is bringing in income? Do you have a side hustle you earn money through? Then you can apply, generally speaking, for a business credit card. The great thing is that you can often combine the points so you don’t have to worry about that. One tip though, your business needs to be a legitimate one. If you’re not generating anything outside your day job then you likely shouldn’t be applying for a business card.

New Cards

Banks that issue credit cards will do just about anything to market to us. Credit card bonuses are the obvious answer, but they also do other things to get more card signups. That usually comes in the form of issuing new cards. This can happen in one of two ways. The first is issuing the same card under a new name. Often times, this doesn’t really change the name but they’ll add “Platinum” or “Gold” to the card name, thereby qualifying it as a new credit card. You are generally able to sign up for that new card.

The second is when the card changes hands. For example, if a card had been issued by Visa but changed to MasterCard that is now a new card you can sign up for. Since these are technically different cards, you can sign up and earn the rewards points by following the terms and conditions.

Apply with Your Spouse or Partner

One of the best ways to take advantage of credit card bonuses is by applying at the same time as your spouse or partner. This can be a great way to instantly double the rewards you’re able to earn, assuming you can comfortably meet the minimum spending requirements. My wife and I have done this numerous times, starting with the US Air credit card and going from there.

A common question I hear is whether or not these points can be combined. In many cases, like with Chase Ultimate Rewards, you CAN combine those points. That means you can really make some headway in your credit card churning so you can earn free trips or cash back. This also may be a challenge if one of you isn’t in to travel hacking, but there is an easy fix. In our family, surprise, surprise, I’m the fan of churning cards, which means that I’m the one who manages the cards and what we apply for, and my wife just spends the money on the card we’re currently working on.

Credit card rewards can provide a great way to do some things that otherwise would cost you money. That said, you should only sign up for cards that you can comfortably meet the minimum spending requirement on. If you’re seeing that you’re having to overspend to earn bonuses then it’s not worth it…plain and simple. That does mean you do have to let some offers slide by, but that’s ok. Your financial well-being is much more important.

How do you earn more credit card rewards points? Does your spouse like/not like churning credit cards? How much have you earned over the past year in bonus points?

Photo courtesy of: Kristopha Hohn

*This post was featured on Broke Girl Rich and Penny Thots

Here Are 101 Ways to Earn Money From Home

Extra Income

Grayson Bell

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Oct 9, 2014

14

Here Are 101 Ways to Earn Money From Home

You know we are all about making some cheddar here on Sprout Wealth. We love it and that is what this site is all about. So, when a fellow blogger told me they were releasing an e-book about ways to make money from home, I had to read it. Luckily for me and you, the blogger obliged to my request for a copy and is allowing me to review her book on the blog. Now, before you get too excited, this e-book does cost money. It isn’t much, but it comes with a fee. That being said, there are 101 ways to legitimately make money in this thing. I read every one of them and all of them are truly legitimate. Some are better than others. Some take more time than others, but they all can earn you money from home. Love the concept? Good!

Want to Make Money at Home? Here are 101 Ways!

I am pretty sure this is everyone’s dream. Working from home and bringing in some cash. Now, before I give you the insights into some of the ways this e-book contains, I will say that working from home is just like a job. If you are serious about earning extra money and pulling in that dough, you need to work from home just like a job. That is the only way to do it. You have to hustle. Sorry to be a downer, but it is true. If you want to earn money without doing the work, then keep scratching those lottery tickets. It’s the only other way!

The 101 ways to make money from home was written by blogger Hayley. She is the creative mastermind behind Disease Called Debt. She has a good story, which she briefly includes in the introduction of the e-book. It gives a little background about her, especially about her desire to be a stay-at-home mom while earning money. Those are lofty goals, but she is working hard to achieve them. Give her credit there folks.

She starts the ways to make money with blogging. As John and I both know, you can earn money by blogging. If you want to start a blog, I can set it up for free. Check out my business site to learn more. While there are people making money blogging, don’t think this is a get rich quick kind of gig. It takes time, and money to get started. There are millions of other bloggers, so work to find a niche and carve out a name for yourself.

Here are a few of the other opportunities Hayley points out in her e-book. I am not going to give you all of them.

Customer Service Rep – Did you know big companies like Apple hire reps to work from home? Yes, you can be a customer service rep for a legitimate company all while wearing pajamas!
Restore/Repair Furniture – My buddy actually does this and he earns some good money. If you are good with your hands and can repair things, think about doing this.
eBook Publishing – If you have some great ideas and topics you like to write about, think about writing a few ebooks. You can put them up on Amazon and charge a fee. If you have good books, then you can start earning some passive income.
Product Reviewer – I have done this for years. There are companies which will send you products to review and then pay you for your opinion. You have to have good communication skills, but you also can get some free stuff!
Rent Your Car – I wrote about this on Sprout Wealth a few months ago. There are many services out there which allow you to rent out your car for money. It is a nice way to supplement your income if you don’t use your car that often.
Rent a Friend – This one is an idea I never thought existed. You can actually be rented out as a friend. Yes, there are people who want to rent a friend to attend an event and they pay you. Very cool concept!

Alright, that there is the sneak peek of the 101 ways to earn money from home. I think Hayley did a great job putting these together. Most ideas she explains and provides you with more information about how to pursue them. If you have been looking for ways to earn extra money, then check out this e-book. It has excellent reviews on Amazon and is only $2.99 (for now!). You can have the book paid for within a few hours if you just use one or two of the ideas in the book. Seriously, go get it and learn how to make the money while staying at home.

Get 101 Ways to Earn Money From Home at Amazon.com

Want to Make Money Blogging? Here’s How

Extra Income

John

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Oct 7, 2014

26

If you’re a personal finance blogger then you were either at FinCon a few weeks ago or you’ve been reading the many number of reviews of others’ time in New Orleans.

I’ll spare you a full recap of my time there. In short, I had a great time. It was part pleasure as my wife came along and we got some kiddo free time, part social as I was looking forward to reconnecting with others I had met the year prior and meeting others I had not, and part networking as I was there to hustle for my blogs and advertising business. Simply put, it was four packed days of having fun while growing our business. You might be asking yourself what this has to do with trying to make money blogging, and that would be a fair question. If you hear me out then you’ll see exactly how they connect.

Hustling is How You Make Money Blogging

As Grayson wrote this summer, making money blogging comes down to one thing – a ton of work. Truth be told, I’m over simplifying it some but overall it comes down to hustling.

I’m confident that’s part of the reason why so many bloggers quit in the amount of time they do as they expect to start a blog and magically experience buckets of cash falling into their laps overnight. If that were the case then everyone would be doing it and we’d all be rolling in cash. While it might not be easy, that doesn’t mean for one second that you can’t make money blogging.

Part of what I enjoy about FinCon is that you get to rub elbows with many in the personal finance blogging world. What you begin to see is that many of them are making a living, nay a killing, online. Amongst those I’ve either spoken with directly or heard give presentations, there is one constant that rings throughout – they’re hustling. They’re trying new things, old things and outside the box things to grow their blog, brand, business, etc. The point is they’re hustling morning noon and night.

Diversity is the Name of the Game

If hustling is evident in those making a living online the other predominant thing is diversity. I’ve spoken before about diversity in making money from affiliate marketing and investing in the stock market. Both are vital if you want to make money blogging.

Diversity sounds great and all, but you might be wondering how you can implement diversity while trying to make money blogging. The key is to expand your vision. Once you do that you see there are many ways to make money online, such as:

Affiliate marketing
Freelance writing
Consulting/coaching
Speaking engagements
Writing a book
Selling your own course(s)
Brand ambassador
Owning multiple websites
Offering different services

I know there are other ways to make money blogging, and these only scratch the surface. The point is to give you an idea to start with so you can broaden your scope beyond just the words on your site. The other point is that many of the successful bloggers out there are generally not relying on one sole source of revenue but they’ve created multiple streams of income in order to create as many legs to their stool they can.

What Does This Mean For Us?

The final thing I’ve come to learn in my interactions with other bloggers at FinCon is that they have a unique voice and they enjoy what they do. I don’t know exactly how many personal finance blogs there are, but I’m confident it’s a massive number. It can be extremely difficult, to put it lightly, to stand out amongst the crowd. Those who do have created a unique voice or brand that allows them to stand out from the crowd.

There is also something to be said of enjoying what you do. I enjoy blogging, but if I didn’t then I can see how it’d be a challenge to continue along for the long-term. That said, burnout is inevitable at times and it’s important to enjoy what you’re doing. I know it can be a challenge to balance that along with being unique and the hustling, though it can be done.

If you want to make money blogging it can be done. There are many doing it, and quite well, but if that’s something you want to do then be willing to put in the work and have a broad portfolio in order to really gain traction.

*Related: If you’re looking for help with learning how to monetize your site, or simply wanting help in taking your blog to the next level then sign up for my blog coaching services to see how I can help you achieve your blogging goals.

Do you make money blogging? What is the one thing that surprised you with relation to blogging when you first started? If you went to FinCon, what did you enjoy most about it?

Photo courtesy of: 401kcalculator.org

Investing In Other People Can Make You Money – P2P Lending

Investing

Grayson Bell

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Oct 2, 2014

9

Investing In Other People Can Make You Money – P2P Lending

There are many forms of investing. You can invest in the stock market, invest in real estate, invest in business, and invest in yourself. On top of that, you can invest in other people. Now, what am I talking about? Am I telling you to go out and make someone made? Give them money and hope for the best? Overall, no, I am not telling you to just go give money to random people and hope for the best. This isn’t a trust fall here people. What I am telling you is to think about investing in other people with regards to loaning them money. This is known as peer-to-peer lending and it is blowing up.

What is Peer-to-Peer Lending?

Peer-to-peer lending is also known as P2P and since I don’t feel like typing the full extent of the word multiple times, I am sticking with P2P. That makes my fingers happy! This form of lending is actually quite simple. Instead of someone going to a bank to get a loan, they go to a marketplace full of individuals willing to lend them money. You technically become a bank and you can be paid for your services. You don’t lend people money and just ask them to pay you back in full without some reward. Your reward for lending money is interest payments. Depending on how risky the borrower is, you can be rewarded handsomely.

In return of your generosity, borrowers pay you back monthly including interest. They can get loans for different periods of time, usually up to 60 months for different amounts. Smaller time frame loans typically can’t be above $10,000. As an investor in these loans, you are provided with a range of information to help you make an informed decision.

Why Borrowers Choose P2P

I see the question from many people. Why are borrowers going to the P2P marketplace to get loans? Well, that is actually pretty simple. As a borrower, you might have the ability to get a lower interest rate with a P2P loan than with a bank. Banks don’t like to take too many risks and they have strict standards for who they loan money to. If you have bad credit, then you will probably be out of luck with a bank. The same might not be the case with P2P marketplaces. There are thousands of investors on those marketplaces and someone might be willing to invest in your loan. So, a better interest rate (maybe) and more people willing to lend you money give any borrower a better chance at getting funded.

Should You Invest in Other People?

I don’t know about you, but I feel good when I help other people. It gives me those warm and fuzzy feelings inside. It could be the burrito I ate at breakfast, but I am sure it is my desire to help those who need it. Anyway, enough of my feelings, if you want to make money while helping others get loans, then P2P lending might be for you. Your generosity is rewarded with making money just like a bank. If you hate banks, but like making money, then why not become your own little bank, just nicer?

There are two main companies which provide awesome marketplaces for borrowing and lending between people. They are Lending Club and Prosper. Both have been the innovators in the P2P marketplace and both provide good returns and good platforms.

**Important Note – Some states in the US don’t allow their residents to invest in P2P loans. You need to check both Lending Club and Prosper to see if you can lend to other people. Myself, I can’t invest at all with Prosper, but I can invest in the secondary marketplace with Lending Club. Stupid NC!

You won’t be flying blind when lending with either marketplace. They give their borrowers grades and you can see if they have been late or not paid previous loans. Your risk is dependent on a number of factors, but you get a higher return for the higher risk loans. Borrowers do default on loans, so you should expect that.

Both Lending Club and Prosper advise their investors to have a number of loans in their portfolio. This is to spread out the risk. You can have some higher risk loans and some lower risk. You can choose which loans you invest in and you can invest as little as $25 in loans. This enables you to gather a large amount of loans with different risk elements. Don’t put all your eggs in one basket. That will ensure failure and you won’t try it again. I know a number of people investing in P2P and they do well, but they diversify their holding. You should do they same.

If you want to make money and help others, then think about investing in other people through P2P lending. It provides a different revenue source and if you become good at it, the money coming in could be classified as passive. You don’t have to invest a ton of money to start, so you can dig your toes in and see if the temperature is to you liking. As Sprout Wealth has shown since our start, there are a number of ways to earn money, especially online. It’s time to change your life and others, so get on the horse and invest in other people.

Resources: Check out Lending Club and Prosper for P2P lending!

4 Get Rich Quick Schemes to Avoid

John

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Sep 30, 2014

17

We have all seen them – the late night infomercials that promise jetting to an exotic island as the guilt-free cure for boredom that’s within reach for all. They promise you can sit back, work for an hour a week and make tens of thousands of dollars. What those all have in common are one thing – get rich quick schemes.

I know it may seem odd that a site that wants to help you grow your wealth would tell you to avoid get rich quick schemes, but the simple fact is so many of them just don’t work. While there may be some ways to make money quickly they’re not going to allow you to live a life of luxury as there are only so many things you can sell and only so many bodily fluids you can donate before you run out.

Beyond that, if you do truly want to grow wealth it is going to take hard work and not following some scheme. With that in mind, I thought I’d share a few get rich quick schemes to avoid. I’ve been guilty of some myself and seen people I know and love fall prey to others.

Investing in Penny Stocks

If you’re not sure what a penny stock is, you’ve likely seen some banner ad promoting some sort of crazy growth by investing in them. They promise the opportunity to buy shares of a certain company at $.0001 per share and watch those shares turn into $10 per share. I’ll let you in on a little secret…it doesn’t work! I’ve not been guilty of this one myself, but have known and helped people who have and they almost always lose a good amount of money in the process.

What many don’t realize about penny stocks is that they’re more often than not shell corporations. You can’t find information on them and many often are stopped from trading because they’re under some sort of investigation. Don’t fall into the trap of thinking you can get rich quick with penny stocks as you’re nearly as likely to strike it rich on the lottery. This is especially the case if you’re just starting out investing with $1,000 or less. As opposed to buying into the hype, take the long view with investing and you’ll be much better off for it.

Pyramid Schemes

Pyramid schemes are a dime a dozen. There are many out there and many of them promise one thing – the ability to make money hand over fist. I was heavily recruited to become a part of a fairly well-known pyramid scheme right out of college. All I had to do was agree to buy a certain amount of items and sell them. Seems simple, right? Unfortunately there is just not money in it. At least, not if you’re looking at building wealth.

The real way to make money in pyramid schemes is to be constantly bringing in new recruits who then in turn bring in more people. This results in those at the pinnacle of the pyramid being the ones who make any good money. While many promise riches, often times it just results in you spending money and risking damaging friendships because you tried to talk those around you into joining.

Anything That Requires You to Buy a Kit

Soon after I graduated college I was just mired in debt. I was looking for any way I could to make money. I wasn’t really looking for ways to get rich quick, but I was looking for easy ways to make money so I could pay off my debt. I did some foolish things and one of those was sending away to buy some kit that would teach me how to place ads in newspapers to make money. I can’t remember if the kit was $19.95 or $49.95, but the fact is I wish I could go back and smack my younger self.

The problem with this get rich quick scheme is that you’re the person they’re making money off of! There is no real system, no accountability just someone telling you that they’re going to teach you how to make money by buying their kit. They’re leaving out a salient point though…their system is just making money off of poor schleps like you and me.

Pretty Much Anything Online

While it is possible to make money blogging, anyone who has been blogging for a certain amount of time will tell you that it takes a lot of hard work to make money at it. However, there are many ads and companies out there promising that you can make good money clicking on ads, writing reviews and so forth.

The simple fact is the overwhelming majority of these job opportunities simply don’t work. While you might make some money, it’s just not worth it from a time perspective and certainly isn’t a way to get rich quick.

In my opinion, where many of these and so many other get rich schemes fall short is they claim you can do one simple thing and the heavens will just start dumping cash. While that might be nice, it simply doesn’t happen. Building wealth, getting rich or whatever you want to call it takes hard work, time and persistence – amongst many other things.

Have you been guilty of falling prey to these, or any other get rich quick schemes? Why do you think so many people fall for them? What would you tell someone looking to join a pyramid scheme?

Photo courtesy of: Andrew Magill