GOBankingRates works with many financial advertisers to showcase their products and services to our audiences.
These brands compensate us to advertise their products in ads across our site.
This compensation may impact how and where products appear on this site.
Commitment to Our Readers
GOBankingRates' editorial team is committed to bringing you unbiased reviews and information.
you could read more about oureditorial guidelinesand our products and servicesreview methodology.
But letting your money sit idly in an account means its not doing anything tobuild you wealth.
And experts say this is a big no-no.
Below are the 10 biggestsigns your cash could be working harder for you.
For instance,high-yield savings accountsor money market accounts offer higher interest rates without sacrificing liquidity.
Similarly, Blain explained that having large balances in low-yield savings accounts is a clear sign.
While safe, the returns barely keep up with inflation.
I recommend exploring higher-yield options like certificates of deposit, Treasuries, or dividend stocks.
A diversified portfolio is critical.
According to Shirshikov, maximizing contributions to these accounts can improve long-term financial health.
He noted that investments in dividend-paying stocks, rental properties, or peer-to-peer lending can generate steady income streams.
Blain also noted that this was a wise move.
Building these kinds of alternative income sources provides stability and flexibility.
The rewards of putting your money to work for you’re free to be life-changing.
Reinvesting dividends, interest, or rental income can compound growth over time, Shirshikov advised.
Shirshikov said that contributing at least enough to get the full match is essential.
One red flag, he explained, is if rent hasnt increased in over a year.
In a hot market like Northern New Jersey, rents are consistently rising.
Not increasing rent means losing out onpotential revenue and equity.
While tenant retention is important, long-term tenants often end up paying below-market rent.
He recommended evaluating prevailing rents every few years and making incremental increases to match the market.
This boosts your cash flow without significantly impacting the tenant.
The extra income, even if a few hundred dollars a month, can add up substantially over time.
An empty basement or a vacated retail space presents an opportunity to bring in more rent.
The key is leveraging what you already own to maximize profits, he stated.
More From GOBankingRates
Share This Article:
