Yahoo Finance In Just 30 Minutes a Week, You Can Increase Your Net Worth With These Smart Moves
Building true wealth can take decades, but you can start doing some weekly moves now that get you there a little bit sooner. Some of these options are passive or semi-passive, while others are much more active. In all cases, however, you only need to dedicate about 30 minutes or so a week to start seeing returns over time.
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Here are some quick, accessible ways to increase your net worth — potentially by thousands of dollars — by spending just half an hour or so every week.
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Automate Your Savings
If you have a job, automating your savings is one of the easiest ways to build wealth over time. All you need to do is set up automatic transfers from your checking to your savings account every week or month. This only takes a few minutes or so to do. After that, you might want to go back and adjust how much you’re saving every couple of months or whenever you experience a pay increase.
Esther Strauss, the co-founder of Step By Step Business, suggested using a high-yield savings account (HYSA) and being consistent to ensure your money can grow as rapidly as possible. And don’t worry if you start with a small savings amount — it’ll add up.
“Even a small amount, like $50 a week, adds up over time,” she said. “For example, let’s say you transfer $50 each week into an account with a 2% annual interest rate. After one year, you’ll have saved $2,600. With interest, you might end up with around $2,630. It doesn’t sound like a lot at first, but the magic happens over the long term. In five years, assuming the same interest rate and consistent deposits, you could have over $13,700. The longer you keep this up, the more compound interest works in your favor.”
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Start Investing in Low-Cost Index Funds
Low-cost index funds are another quick way to increase your net worth. How much money you can get from doing this depends on several factors, such as market conditions and how much — and for how long — you invest.
If you don’t know much about index funds right now, start by spending about 30 minutes a week or so learning about them. Once you have a basis for how they work, you can then start to invest.
“Spend a little time each week learning about low-cost index funds and set up regular investments,” said Rhett Stubbendeck, CEO and Founder of Leverage Planning. “Index funds have an average annual return of about 7% after inflation. If you invest $100 a month, you could potentially grow that to around $17,000 in 10 years. It’s a simple way to start investing without needing to be an expert.”
Round Up Your Transactions With Micro-Investing Apps
“Consider using investment apps that round up your purchases to the nearest dollar and invest the spare change,” said Strauss. “These micro-investments can grow substantially over time without requiring much effort.”
You can set this up to be automatic so you don’t need to spend any extra time at all after the initial 30 minutes or so. Then, you can start building your net worth simply by using the app.
Quite a few micro-investing apps exist, including Acorns and Qapital. If you’ve never used one of these types of apps before, take a little time to research your options. Check the online reviews to see what other people are saying about them, too. The Better Business Bureau (BBB) and Trustpilot are great places to start.
Get Started With a Side Gig
The side gig economy is going strong. While some side hustles can take hours a day, you could start building something lucrative by spending around 30 minutes a week. You might find that, as you earn more money, you’re more willing to spend more time to keep building it up.
“You can improve your situation and increase your net worth in an hour weekly,” said Laura Adams, finance expert with Finder. “For instance, you could start a side business for extra income, like tutoring, house sitting, dog walking, or offering any online or local service customers are willing to pay for. If you charge $50 an hour, you could earn approximately $200 a month.”
For pet sitting services, you can get started on a site like Rover. For other side gigs, consider a platform like Fiverr or Upwork. Creating an account can take around half an hour or more, so spend the first week doing just that. From there, you can dedicate more time as needed to start increasing your income potential by hundreds or thousands of dollars.
Sharpen Your Skills and Market Them
Honing your existing skills can go a long way toward increasing your wealth over time.
“Dedicating just 30-60 minutes a week can be a powerful way to boost your net worth by upskilling,” said Echo Wang, entrepreneur and CEO of Epic Books. “Learn a new skill or improve an existing one and become an expert in something related to your current area of work, or one that intrigues you. That alone can give rise to a promotion, a raise, or open doors for freelance work. Every little bit extra you earn helps to build your savings and grow your wealth over time.”
Sell (Some of) Your Things
“Another way to boost your net worth over a short period is by selling unused valuables, such as jewelry, sporting goods, or artwork, and investing the proceeds for growth,” said Adams. “If you invest $2,000 and get a 7% average return, it could potentially grow to over $16,000 in 30 years.”
This method might work best if you’ve inherited a lot of personal belongings from someone in your family, or if you have a history of collecting valuable or semi-valuable items. You could also sell other types of goods, like clothing, collectible figurines or cards, and kitchenwares. Sites like eBay, Craigslist, Poshmark, and Facebook Marketplace are a good starting point.
Review Your Budget and Savings Goals
“Having a budget is good. Trimming the waste is better,” said Scott Lieberman, founder of Touchdown Money. “Take a close look at your budget and see if there’s anything you can cut. These small expenses can make life unbearable if not tackled.”
It only takes about 15 to 30 minutes to review your budget, but you could end up saving hundreds of dollars a month by lowering those unnecessary expenses. If you don’t currently have a budget, be prepared to spend a little more time creating one.
Once you’ve found a few new ways to cut down on expenses, focus on your savings goals. Start by jotting down a few — this should only take a few minutes. Then, outline how you want to achieve them and start working toward those goals.
“Know what you’re saving for and keep it in mind at all times,” said Lieberman. “This can be a big motivator on difficult days to stick to your plan.”
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