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How to invest 1000$ ?

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If you have 1000$ right now,at this very moment,for what you are going to use them?

Take a vacation? Buy clothes? Splurge on holiday gifts

1.Start an emergency fund

Your first investment should be to set up an emergency fund.

Whether it’s an unforeseen medical expense, home repair or unemployment, you never know when an emergency will strike.

Take action to protect yourself by building a financial foundation with at least six to nine months (or more) of cash to cover expenses.

It is important to keep this cash in a separate bank account that you don’t access unless there is an emergency.

2.Pay down your credit card balance

If you have existing credit card debt, it is likely your highest interest rate consumer debt.

You can make a one-time, lump sum payment to pay off your credit card debt.

Like student loan debt, make sure that your one-time payment is applied directly to your principal loan balance (not toward next month’s regular monthly payment).

3.Fund A Roth IRA

A Roth IRA is one of the best ways to invest in your financial future.

A Roth IRA is an individual retirement account that you can fund with money that has already been taxed. Unlike a Traditional IRA or 401(k), the funds in a Roth IRA grow tax-free since they are taxed upfront.

If you withdraw any funds from your Roth IRA after age 59 1/2, they are yours to keep without paying any taxes.

Unlike a Traditional IRA, you are not required to make mandatory withdrawals from a Roth IRA at age 70 1/2.

For the 2018 tax year, there are limits on who can contribute, and how much you can contribute, to a Roth IRA.

If you are under 50, you can contribute $5,500 per year. If you are 50 or older, you can contribute $6,500 per year.

There are annual income limits, however

5.Make An Extra Student Loan Payment

One of the best strategies to pay off your student loans faster is to make an extra student loan payment.

The goal with student loan payment is to reduce your principal balance, which will help reduce your interest payments.

If you have an extra $1,000, there are several ways to pay off your student loans faster. Here are a few options.

6. Refinance Your Student Loans

One final option is to refinance your student loan, and use the monthly savings from student loan refinancing to make an extra payment on your student loans.

For example, let’s assume your current monthly student loan payment is $1,000 per month.

After you refinance your student loans, your monthly payment is reduced to $750 per month.

Even though you refinanced your student loans, you could continue to pay the same $1,000 per month, and the incremental $300 (the difference between $1,000 and $750) would be applied to reduce your principal balance each month.

This way, you will be on a path to pay off your student loans faster.

7.Invest in your own project.

Everyone is having an ideas.Everyone is holding his unreachable dream.But why one unreachable dream should stay UNreachable?When you can make it REACHABLE?
Start now!Do not delay! Your time is limited.There are stories for people who were even without a dollar and they successfully managed to build a multi million dollar businesses.

 

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