It is never too early in life to invest. We all want financial comfort and knowing that you have money growing somewhere is a great feeling. You can make your investments in cash, or you could invest 20 years of your life to a company in the name of pension. To each their own, of course, because for someone who has a peachy keen work schedule, a career they love and enjoy, and a more than decent income from it, 20 years could breeze by easy. But for someone whose job doesn't offer such a thing as pension, you're not really working toward anything other than your weekly/biweekly/monthly paycheck. So perhaps, investing some of that cash for - not just a rainy day, but a potentially rainy retirement, is a great idea.
1. Stocks
When you own a stock (or share) of a company, it means you are part owner of that company. Now, this doesn't mean you can walk into the business venue and make demands like you literally own the place; it doesn't work like that. Stock buying is as big a gamble as any business venture is, which means you can win some and you can lose some. When people think stocks, they probably imagine dropping thousands of dollar (which, yes, for big stocks found on NYSE or Nasdaq you're looking at serious cash); however, thanks to the seemingly infinite options technology has presented us, you can pay as little as $5. Visit The Penny Hoarder for some ideas on buying stock with any amount.
2. Real Estate
Fact of the matter is that people will always need homes, offices, and other types of space for business or storage. Real estate is almost guaranteed to be successful, highly depending on type of real estate and area. You can buy a house and rent it out fully or, for a more profitable outcome, rent it out by the room. It is important to do thorough research on properties in your area and how well they withstand changes in the economy. For example, having a full house for rent in a college area may return less interests than renting out by the room; as well as renting out by the room will return less interests if located in a residential/family area. Either way, there is a sweet profit in real estate if you play your cards right.
3. Small Business Silent Partnering
It may sound exhausting trying to start and run a small business with the hectic schedule you already have. But there is such a thing as silent partnership. You have the funds, someone else has the idea and patience. Come up with a mutual agreement, give them the funds, sit back, and reap the profits. Mind you, this is a huge gamble because every business runs the risk of financial loss and failure. If you merely loan the money without any claims to the business, you can expect your money back as listed in your agreement; however, if you invest as a silent partner, the business loss is also your loss - even if you played no role in organizing and running.
4. Pay Down Your Debt
You're probably thinking, how is this an investment? Well, it is an investment in yourself and your financial credibility. The better your credit, the more people want to give you money and things (of course you'll pay back). But eliminating your debt and increasing your credit score means a higher chance of getting a business or personal loan from a banking facility or private lender. With that loan, you can make other profitable investments and use that to further pay down your debt. Investment in yourself is probably the quickest and easiest to start. Check your credit history and reach out to the companies you owe to discuss payment plans and in-your-budget methods of paying them off.