5 Passive Income Investments You Can Make With $1000 (BEGINNER-FRIENDLY) πŸ€‘πŸ’°

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hey there Tiffany Thomas with
Wealthy Tiffany dot com and in today's video we're gonna be talking all about
passive income because passive income gives you a freedom you can spend time
on whatever you would like instead of spending time working to create money
and who doesn't like that and one of the passive income
investments that you can make I have actually used this to create one
thousand seven hundred and thirty dollars per month from this investment
so I'm going to share that later in the video so stick around now the easiest
way to at create passive income is to invest your money you could spend time
creating passive income or you could invest your money to create passive
income or you could use both time and money to do that but using your time to
create passive income takes a lot of effort and it takes a lot longer to
build that passive income over time so in today's video we're going to be
talking about five different ways to invest your money of a thousand dollars
or less to create passive income today so we can all make money while we sleep
instead of spending our time working to create that money and the last item that
I want to share with you guys is going to be very unique I don't think that you
have heard of this before so make sure and stick around – at the
end of the video to hear this passive income investment strategy so let's dive
right in the first way to create passive income through investing is by investing
in what's called an ETF an exchange-traded fund and this is a very
simple investment to make you can set up either a brokerage account or a Roth IRA
and invest your money in an ETF and I actually love Vanguard so I recommend
the Vanguard total stock market ETF and that's abbreviated vti so if you wanted
to get started very simply with passive income you can just invest in this ETF
and you can buy just one share if you would like to
it's about a hundred and sixty six dollars right now now if you wanted to
use your full thousand dollars then you could buy six shares of vti and put all
of your money into this type of investment and there's a few different
reasons I like investing in this particular ETF and one of them is that
it's very simple to invest in and it doesn't take a lot of money to get
started less than a thousand dollars and it has a great expense ratio associated
with it so almost every fund or ETF that you'll
invest in has an expense ratio associated with it and this one is point
zero three percent so you are not paying a lot to make this investment another
reason I like this ETF is because it follows the total stock market so you
are in essence investing in all of the US stocks with one ETF and you don't
have to worry about switching your money out of this ETF you can just leave your
money there and continue to invest in the same ETF over time and build up your
wealth of that way build up your passive income this ETF will rise over time
because it's following the total stock market which has gone up about 8% over
time you can start to sell these shares when you would like to and create
passive income that way because you've invested your money and ideally when you
sell it'll be at a higher price than what you bought it for so you're making
a profit from investing your money and another reason I like this ETF is
because they actually pay you a dividend so they will pay you a percentage of the
money that you have invested in this ETF and they'll pay it out quarterly so you
could take out that dividend and put that into your checking account and get
paid every quarter every three months by investing in this ETF or you could
reinvest those dividends so it will make you more money over time it's entirely
up to you but when you look at it this way it's creating you passive income
either right now if you wanted to take out those dividends or over the long
term if you want to reinvest and then slowly cash out over time and
you can start to sell your shares over time and I wanted to show you an example
of how much you could earn in dividends so if you purchased vti at 166 per share
and our dividend yield is that 2.3 percent and we invested our full
thousand dollars then at the end of one year we would have a thousand and twenty
three dollars so you could divide that $23 profit up by quarters if you wanted
to cash out each quarter or you could just leave it in your account and
continue to invest more money in this ETF to create more dividends which would
create more passive income for you and this is an ETF that I actually invest in
alright let's move to point number two for passive income investments that you
can make for less than a thousand dollars and this one is investing in
individual stocks I really like investing in individual stocks although
I do invest in that ETF but I have some individual stocks that I've chosen and
some of those pay dividends as well just like the ETF does and to give you a
couple of examples one of them is Apple's stock and another one is Pepsi
stock so you can buy individual companies you can buy shares of
individual companies and those will also pay you dividends and from my experience
I've seen even a higher return on individual stocks rather than investing
in a total stock market fund or ETF you just have to make sure you pick the
right stocks and do some homework on that but that is just another way to
create passive income you can collect dividends if they are stocks that do pay
dividends or you can hold onto those stocks over time and let them increase
in value and then start to sell off some of those shares and create that passive
income later on it's entirely up to you but it's a great investment to make to
start creating that passive income for yourself and if you did want to invest
Apple stock it's about 323 dollars right now so you could buy three shares of
that for about a thousand dollars and you can have three shares of Apple and
start receiving dividends from that each quarter and here is an example for Apple
so if we purchased Apple for three hundred and twenty three dollars per
share they have a dividend yield of one percent and if we were to use our full
thousand dollars and leave it in there for one year we would have a total of
one thousand and ten dollars so we would have received ten dollars in dividends
and I know this may seem like a small amount but if you continue to invest in
Apple or whatever stock your money will continue to grow and you'll continue to
create more and more passive income so for example if we add ten thousand
dollars instead of that one thousand we'd be making an extra hundred dollars
per year in just dividends that wouldn't even include that the stock price would
continue to rise over the long term and we could eventually sell the stock and
create a profit that way or you could even buy Pepsi which is trading at about
one hundred and forty three dollars so you could buy seven shares of Pepsi
right now and start collecting those dividends and here's our example of
Pepsi if we purchase that for 143 per share they have a dividend yield of 2.6
9% if we invested our full thousand dollars then after one year we would
have a total of 1,000 $26.90 so we would have made 26 90 from our dividends and I
haven't even talked about the fact that there is compound interest if you were
to leave the dividend amount in your account then you would continue to earn
interest on that amount which would continue to grow exponentially over time
creating you more passive income over the long term or just pick a really good
stock that you would like to invest in and hold on to it for the long term and
create that passive income later and if you are curious on how to buy stocks I
do have a course called fire first stuck in
48 hours so I'll leave the link below only if you're interested no pressure
whatsoever and the third passive income investment that you can make for under
$1,000 is something that I'm really passionate about and I do a lot of this
is to rent out a room and maybe you're thinking I don't want to live with a
roommate but this is the strategy that I have created one thousand seven hundred
and thirty dollars and passive income every month so I run out three of my
bedrooms in my place and I live in the fourth bedroom so we all have our own
rooms but I love this strategy so much because you can just rent out an empty
room and start creating passive income immediately you don't even have to use a
thousand dollars to get started with this investment strategy and maybe
you're renting but you do have an extra bedroom you can check your lease to make
sure that it's okay to rent out that extra bedroom first but if it is okay
then you can immediately start renting out that extra bedroom and creating
passive income and maybe you're living in a one-bedroom so honestly consider
moving into a two-bedroom place and getting a roommate renting out that
extra room so that you can pay less in your housing because housing is the
highest cost that people pay out of all of their expenses so the more we can
reduce that then the more income that we can have and this is a really easy way
to create passive income maybe you're thinking well I'm married and I have
kids that's not really possible not so I have an old roommate actually that is
now married and her husband before they got married
he actually lived with a married couple that had children and he just lived in
their spare bedroom that they had and he would actually help out like babysitting
and she would make dinner for their family for her family and him so it
turned out to be a really great situation this can be a really good way
to create that passive income so really really consider that because I've seen
that super high returns by doing this investment strategy I was
to buy a place anyway so renting out my other rooms I'm able to create a lot of
passive income and I also have rental properties but that's gonna be a little
more than a thousand dollars so we're not going to talk about that today
but seriously consider renting out a bedroom in your place or even turning a
living room area into a bedroom I've heard of that before
so you can set up a temporary wall and create a little bedroom maybe do Airbnb
or VRBO and create a little extra income that
way so something to think about all right the fourth passive income
investment strategy for it less than a thousand dollars is to invest in a CD a
certificate of deposit now this won't get you a really high passive income
amount but if you are looking to use that money within the next year or the
next maybe three to five years then you may want to keep that somewhere safe but
make a little extra money on it so I actually looked at to see what the rates
are for CDs right now and the highest that I saw was two point one five
percent so you could stick your thousand dollars into a CD for a year and you do
have the option with some of these CDs to have that interest paid to you
monthly that you would be earning on your thousand dollars or you could leave
that interest in there and let it build over time it's up to you but that is
another way to create passive income and it may seem like a really small amount
but if you have zero dollars in passive income right now then a really small
amount a couple of dollars is a big improvement from that and you can just
scale up and grow that passive income from that small amount but it just takes
that first step of getting started and then you can start to expand your
passive income and this brings us to the fifth passive income investment strategy
that you can use for a thousand dollars or less and I'm excited to share this
one with you guys because it's not really talked about it's kind of a newer
thing that's happening and I haven't done this one personally but I
have been looking into it a little bit so I might be doing it later on down the
road and if I do I'll definitely do a follow-up video but I wanted to share
this information with you guys you can actually sign up for our Cadia power and
I have signed up with them I'm using them currently and they essentially link
your current power company to their site and they are all about clean energy so
that's what they promote and it's a free account that you can set up and part of
what they do is kind of a solar panel community so you can actually sign up to
buy solar panels not for your own house but for the community for someone else
and then they give you a discount on your power bill so if you are paying a
power bill whether you're renting or your home owner you can sign up with
them and you can actually buy solar panels and get that credit on your
statement each month on your power statement and when I logged into my
account and I said 2 by 10 solar panels so that would equal $1,000 that would be
your thousand dollar investment I was getting an average of 10 dollars a month
credit on my power statement so that's kind of a little different way to create
passive income because you're saving this ten dollars on your power your
power bill that you're going to be paying anyway so you can do whatever you
would like with this ten dollars that you're saving by investing these solar
panels so I thought this was really fascinating and I'm sure there's a lot
of other little hacks or tricks out there like this but let me know what you
think of this investment strategy investing in solar panels which is
positive for the world that means we are using cleaner energy by using solar
panels and you're helping other people to do that and then you're assuming your
credit on your power statement because you've helped to do this so I wanted to
share that with you guys and those are the five passive income investment
strategies for a thousand dollars or less so you can get started in today so
you start creating that passive income so
you can stop always trading time for dollars if you guys found this video
helpful please hit the like button and don't forget to hit the subscribe button
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get notified on when I post new videos and just as a side note if you guys are
interested in getting two free stocks which are investments by the way then
wiebel is doing a promotion right now if you set up a free account you get one
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much for watching I'll see you in the next video

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