I am creating a blog to open people’s minds to new ideas. It will be about my many interests such as astrology, astronomy, finances, science, history, mythology, religion, etc. I will also accept ideas from other people.
Introduction
Real estate is making money from selling, managing, and renting property. Real estate investors make money from investing in property. Real estate agents make money from selling a house to a buyer.
Property Management
If you don't have the time or the skill to manage your own property. You should get a property management company. They get paid a fee or percentage of the rent. They do most of the work for the owner. It is a good idea to hire a property management company if you lack property management skills.
Different Types of Property
Offices are bought by many businesses so it's a good idea to own some. Another good idea is retail property because people are always going to stores and malls. It's a great idea to own residential property because people are always buying houses.
Conclusion
You should take some of your disposable income and invest it in real estate. Start small and as you make money add more real estate investments to your portfolio. Doing this can help you become a millionaire. It can also help you create generational wealth.
Introduction
There are 4 ways people can make money. They are as followed: working, self-employment, business ownership, and investing. Workers are the backbone of the economy. People who are self employed are innovative. Business owners and investors make the most money.
Worker
They trade time 4 $. The more time they trade the more $ they make. Most of them get health, dental, and vision insurance from their employer. Some of they get a 401k or a pension. There are many wonderful jobs for workers. Workers get active income.
Self-Employed
These are people that create there own company and manage it. They are still trading time 4 $; but they are doing it for themselves instead of someone else. Independent contractors are self employed, because they are their own boss. People who are self employed are very creative. They can make much more money than a worker, but they can also loss a lot more as well. When you are self employed there is no safety net. You have to figure it out on your own. No one can fire you and there's no coworker to bother you. As long as your company is profitable and marketable you will make a lot of $. You can pass your business on to the next generation. Being self-employed helps you create generational wealth. The self-employed receive active income.
Business Owner
This is someone who owns a business, but does not manage it. They may have created it, bought it, and/ or inherited it. They have workers under them that do all the heavy lifting. Their job is to make sure the business is profitable. Once its very profitable they sit back and relax. You also get tax breaks most people don't get. Business owners make passive income.
Investor
In a nutshell if you're an investor, your money makes $! Assuming you make a good investment. If you make a bad investment you will lose money. There are many ways to invest. Some are better than others. It is a good idea to invest in real estate, treasuries, and annualites. Investors receive passive income.
Introduction
Mutual funds are a group of securities that investors buy. They have stocks, bonds, and other assets. By having mutual funds you will have a more diversified portfolio. You should always have your eggs in more than one basket. By having different assets you are less likely to lose investments. Goals and Risks
When buying a mutual fund, figure out what your goals are. Are you buying a mutual fund for retirement, college, or simply to supplement your income? By identifying your goals, you will be better able to pick the mutual fund that is right for you. Are you willing to win big? If so, you may loss a lot. The higher the risk the higher the reward. You may be conservative. If so, you have low risk, but the you will make less money.
Types of Funds
If you are investing for retirement and are willing to take risks; you should get common stocks. If you want to take on less risk get a balanced fund. They are shaky, but may have great growth after several years. If you simply want to supplement your income; you should get some income funds. Fees
Most mutual funds have sales fee. There are called front-end load fee and back-end load fee. Front-end load fee is what you will pay when buying the investment. A back-end load fee is what you would pay after you sell it. When you buy a mutual fund you would only pay one or the other. Some mutual funds don't have any sales fees. They are called no-load funds. They have management and administration fees.
Disadvantage
Your investment is managed by a professional manager. If they manage your funds correctly you get a big return. If they manage your funds incorrectly, you will get a small return. You may have to pay them regardless. References
http://www.investopedia.com/
http://content.moneyinstructor.com/804/advantages-disadvantages-mutual-funds.html
Passive income is making money without doing anything once you get it started. Examples of this is residual income, royalties, and dividends. Residual income is making money on something every time it's used. Some businesses have residual income. Learn about compound residual income, because it is better than regular residual income.
Royalties are making money on something every time it is seen like a tv show. You get royalties on albums and ebooks too. Make sure the product you create is of high value. This form of cash flow can pay you forever. Dividends are the payment a stockholder get from having stock. Dividends yield is the amount of money you get for the amount you paid for. The higher the yield the more money you make.
Most people only have active income, which is wages, tips, commissions, etc. It would be a good idea for you to invest disposable income into passive income. Find a good financial advisor so you can make good investments. If you do this well, your retirement will be great! If you do all of this your financial future will be secure.