Hopefully if you keep working at your online business there’s going to come a time when you’re going to need to use some of that newfound wealth off-line.
Now investing in yourself, your online companies and websites, etc. are a fantastic way of creating even more wealth, you should always remember that diversification is a buzzword that you should be adhering to.
What I mean by this is that you should have online and off-line sources of investment and revenue streams.
For example, one of the things I’ve been doing with my online winnings is to start investing in real estate.
Luckily for me the timing couldn’t be better.
All of the Garden Oaks homes for sale I’ve been looking at around my neighborhood are still only about half of what they were before the big real estate bubble burst.
Sky like picking up some cheap websites after the tech bubble burst.
It’s the same idea.
So that’s what I’m doing. Adding to my portfolio, except this time it’s off-line real estate. Yeah the real thing.
And of course there are a lot of reasons for this. I can rent it, hold onto it and just flip it, or things get super bad and I for some reason lose every single penny I have, I always have a free place to live.
Plus all the tax incentives of owning a house, especially if you’re making good money online and need something to offset your profits with, are just too good not to be investing in real estate right now.
Another thing I’m doing is throwing some money into a 401(k) using a mutual fund. Always go think about the future as well.
And you should be too.
One of the best ways to do this and not incur a ton of tax liabilities is to use your 401(k) to do some investing either in bonds or stocks. Or in my case mutual funds which is really the same thing except somebody else picks and sells the stocks or bonds or whatever your mutual fund is into.
Now depending on how you’re looking at it investing in the market, even with the mutual fund can be seen as a him more riskier investment.
An overall I would agree.
But don’t think investing in houses can’t be risky to. They can burn down, someone can get on it your property and get hurt and sue you, or somebody could just go and steal everything that’s not nailed down. Things happen.
But comes back to what I said in the beginning of this post.
You need to diversify!
And the first thing I would tell you to do is to buy a house. Doesn’t matter if it’s the one you live-in Orphic and a rented or flip it in the future. It’s a good hard asset to have.
Though much you have at least one house, diversify even further into a good mutual fund. Unless of course you have some good insider information which if you do, why not send me a nice tip!
Okay, that’s it for now. I hope you’re making tons of money and able to invest off-line as well.
As always if you have any questions or comments, just to the comment section below. Get back to you soon as I can.