Compound interest can help your money grow at an accelerated rate over time. Because of this, it can be a powerful tool in your wealth-building strategy. The secret is to start early and let your account balances grow over time.

Here are seven compound interest accounts (plus real-world examples) to help you grow your money.

• What is compound interest?
• How does compound interest work?
• What are some types of compound interest accounts?
• How can you make the most of compound interest accounts?
• FAQs about compound interest accounts
• What’s next: Open a high-yield savings account

What is compound interest?

Compound interest is interest that a principal investment and the investment’s previous accumulated interest earn. In other words, it’s interest on interest.

Image: what-is-compound-interest

For example, a $1,000 investment that compounds annually at 5% for three years would compound as follows: 

Year 1: $1,000 + 0.05 x $1,000 = $1,050

Year 2: $1,050 + 0.05 x $1,050 = $1,102.50

Year 3: $1,102.50 + 0.05 $1,102.50 = $1,157.62

Notice how every compounding period generates an increasing amount of interest. Let’s go over why.     

Image: power-of-compounding-interest

Simple interest vs. compound interest

Simple interest and compound interest differ in how they generate interest and their rates of return. 

Simple interest allows you to generate interest on a principal investment only. When left alone, simple interest will grow your money at a constant rate.

Take the $1,000 investment mentioned above. Here’s how it would grow if it were generating 5% simple interest rather than compound interest:

Year 1: $1,000 + 0.05 x $1,000 = $1,050

Year 2: $1,050 + 0.05 x $1,000 = $1,100

Year 3: $1,100 + 0.05 x $1,000 = $1,150

Unlike simple interest, compound interest earns interest on both a principal investment amount and its accumulated interest — which steadily increases. These additional earnings allow your money to grow at an accelerated rate.

Image: simple-vs-compound-interest

How does compound interest work? 

Compound interest works by allowing a saving’s accumulated interest to earn interest on itself. The compound interest formula is:

P(1 + R/N)^NT = A

• Final amount: In the formula above, “A” represents the final investment amount. This includes the initial principal plus the compounded interest.
• Principal: Represented by “P,” the principal is the initial investment amount.
• Rate: “R” is the interest rate associated with the investment.
• Number: “N” is the number of compounding periods per time period.
• Time: “T” is the number of time periods. 

Let’s say you invest $10,000 in an account with 4% interest compounded monthly. To see how much your uninterrupted investment would grow after 10 years, you would use the following calculation:

$10,000(1 + .04/12)^(12 x 10) = $14,908.30

If you need help estimating how compound interest will impact your investments, you can always use Credit Karma’s compound interest calculator. 

What are some types of compound interest accounts?

While the best compound interest account for you will depend on your financial situation and goals, you have several options. Here are a few types of accounts that can earn compound interest and some examples of each to help you get started.  

High-yield savings accounts

High-yield savings accounts function the same as typical savings accounts — they simply come with a label designating that they pay a “high” amount of interest. While no regulation states how much interest qualifies as “high-yield,” the average savings account was yielding around 0.38% in April 2026, so investors could consider anything above that as high.

While high-yield savings accounts could be a good option for saving money that would otherwise simply be sitting — like an emergency fund — they may not the best option for more aggressive investing.

• Example: Quontic Bank high-yield savings account (compounds daily)
• Annual percentage yield: 3.20% APY as of May 2026

Money market accounts

Money market accounts are similar to high-yield savings accounts in that they typically have higher interest rates than standard savings accounts. They differ because money market accounts allow you to write checks and make debit purchases. If you want both the benefits of a savings and a checking account, a money market account could be the way to go.

Certificate of deposit accounts 

If you’re a new investor looking to grow your money over time, certificates of deposit, or CDs, can be a great option. According to the U.S. Securities and Exchange Commission, CDs are one of the safest savings options available.

A CD is an account where you deposit a lump sum of money for a specified period. CDs generally offer higher interest rates than savings accounts and typically compound daily or monthly. The only catch is that you usually cannot withdraw the money before the specified period ends; otherwise, you may face early withdrawal penalties.

Many banks and credit unions offer CDs, so check with your local financial institution if you’d like to start investing, or check out the options below.

• Example: Charles Schwab
• Annual percentage yield: 3.96% for a six-month CD in May 2026

Daily compound interest accounts

Daily compound interest accounts are just what they sound like — accounts that compound interest on a daily basis versus monthly, quarterly or annually. Because of their increased compounding frequency, these accounts can grow your money at faster rates compared with similar accounts that compound less frequently.

Daily compound interest accounts can come in several different forms — certificate of deposit accounts, high-yield savings accounts or money market accounts, for example.

• Annual percentage yield: varies by account type (savings, money market, or CD)
• Example: Ally high-yield CD account (compounds daily)

Real estate investment trusts

Real estate investment trusts, or REITs, allow you to invest in real estate without having to purchase a property outright. Instead, you can purchase shares in a company that holds real estate, which will then issue dividends to shareholders. 

As with stocks and bonds, reinvesting REIT dividends can provide the benefits of compound interest.

• Average annual yield: varies by fund
• Example: Vanguard real estate index fund, with dividends reinvested 

Bonds and bond funds

Bonds are similar to an IOU. When purchasing a savings bond, you are essentially loaning money to the issuer. In exchange, the issuer promises to pay you a set interest rate during the bond’s life and repay the principal (purchase price) at the end of the term. 

Bonds come with varying degrees of risk. High-yield bonds have a lower credit rating, which implies higher risk. To offset this risk, high-yield bonds also offer higher interest rates. U.S. Treasury bonds are backed by the U.S. government, making them a safer investment, although the interest rates may not be as high as other options.

To receive the benefits of compound interest when purchasing bonds, you might consider reinvesting the interest you earn.    

• Example: U.S. Treasury bonds, with interest reinvested
• Rates vary by issue date: 4.625% for a 20-year bond as of April 2026

Dividend stocks

Dividend stocks are stocks that pay out regular dividends — part of the company’s profits — to investors. Similar to bonds, reinvesting the dividends from stocks can provide the benefits of compound interest.

Additionally, dividend stocks average higher returns than savings accounts, CDs, money market accounts, real estate and bonds. This makes dividend stocks a potentially worthwhile option for those looking to grow their money more aggressively.  

Want to invest in dividend stocks but aren’t sure where to start? Check out the “dividend aristocrats,” which is a group of stocks in the S&P 500 with more than 25 years of consecutive dividend increases.

• Example: Dividend Aristocrats, with dividends reinvested
• Average annual rate of return for dividend payers: 9.20%

How can you make the most of compound interest accounts?

When using compound interest accounts, following a few best practices can help you receive the maximum benefits: Start as soon as possible and stay invested (do not withdraw money).

Image: tips-to-make-most-of-compound-interest

Because compound interest offers increasing returns over time, the more time you have, the better. For example, consider again $10,000 invested in an account with 4% interest compounded monthly. In five years, this investment would become $12,209.97. In 10 years, it would become $14,908.30. 

The above example assumes one other tip when using compound interest: stay invested. Uninterrupted compound interest accounts will continually increase the amount of interest-generating money. Withdrawing money will decrease this amount, which will decrease your overall returns.

While making withdrawals from time to time may be necessary, try to avoid it whenever possible.

FAQs about compound interest accounts

Have other questions about compound interest accounts? Here are answers to some commonly asked questions.

What’s next: Open a high-yield savings account

If you’re looking to grow your money with a compound interest account, consider opening a high-yield savings account like Credit Karma Savings to help you stay on top of your savings goals.

Sourcing

• CDs are one of the safest saving options. Certificates of Deposit (CDs).
• Average bank rates on different types of accounts. National Rates and Rate Caps.
• U.S. Treasury bonds are a safe investment. Bonds.
• Dividend paying stocks average a 9.20% rate of return. The Power of Dividends: Past, Present, and Future.

If you’re a stay-at-home mom or parent taking care of your kids full-time, you may find yourself looking for ways to increase your family’s income. Taking on a side job can be a good way to open up your budget and may help pay for goals like your next family vacation.  

Consider these 52 ideas for side jobs for stay-at-home parents to find a potential fit for you and your family’s routine.

1. Create a YouTube channel
2. Become a freelance writer
3. Sell arts or crafts online
4. Manage social media
5. Test products
6. Provide interior design services
7. Walk dogs
8. Offer gardening or landscape services
9. Become a virtual assistant
10. Meal prep for others
11. Complete bookkeeping
12. Be a music teacher
13. Get your real estate license
14. Participate in research studies
15. Start a photography business
16. Build websites
17. Rent out a room
18. Proofread professionally
19. Recycle for cash
20. Try thrift flipping
21. Plan events
22. Teach fitness classes
23. Get a housekeeping job
24. Tailor clothes
25. Teach a language
26. Design graphics
27. Be a delivery driver
28. Translate for others

1. Create a YouTube channel

If you enjoy social media, starting a YouTube channel may be a fun way to try and earn some extra cash. You may focus your channel on parenthood or on any of your talents or interests.

Find a niche that fits your passions and start posting regular content. After meeting the eligibility criteria for YouTube’s Partner Program, you can start making money from YouTube through ads, memberships and more. You could also try contacting brands to see if they are interested in a paid sponsorship.

Expected pay:

• About $18 per 1,000 ad views

How to get started:

• Sign up for a YouTube account
• Consider purchasing some basic video gear (microphone and lighting)
• Film, edit and upload a video

2. Become a freelance writer

If you are a strong writer, you may enjoy earning extra money by offering freelance writing services. Third-party sites like Upwork and Fiverr can connect you to companies or individuals looking for writing services. You also can reach out directly to companies to produce content. You may be able to write blog posts, ghostwrite books or craft press releases, all from the comfort of your home.

Expected pay:

• Varies (may charge hourly, by the word or a flat project fee)

How to get started:

• Sign up for an account with a freelance broker or set up an update a LinkedIn account
• Adjust your profile (list skills and services)
• Reach out to potential clients
• Select an invoicing system for record-keeping

3. Sell arts or crafts online

If you love to craft or create art, try turning your hobby into a side job. Whether you crochet, make jewelry, or do ceramics or woodwork, you can post your handmade creations for sale online with sites like Etsy. When selling online, taking quality photos of your crafts may help their uniqueness shine.

Expected pay:

• Varies
• If selling on Etsy, your profit equals the sale price minus a 6.5% transaction fee and a $0.20 listing fee. Factor in shipping as well.

How to get started:

• Think about which of your craft items have the most marketable potential.
• Post your crafts for sale on a marketplace platform like Etsy, eBay or Facebook.

4. Manage social media

Managing social media accounts for individuals or companies is a side job you can do from home. With social media management platforms,  you can schedule posts to go live on your own time. Expertise can help you earn more, so try upskilling your social media skills to add value to your services and earn more.

Expected pay:

• Varies, based on experience

How to get started:

• Look for part-time social media jobs through LinkedIn
• Freelance your skills on third-party sites or contact potential clients directly

5. Test products

You may be able to make extra money trying out new soaps, snacks or gadgets — either directly with a brand or through a market research firm.

Some companies pay people to test their products. You can also sign up through a market research firm.

Expected pay:

• Varies by company

How to get started:

• Sign up or apply for a program
• Test the products and fill out a questionnaire or survey

6. Provide interior design services

If you have a passion for interior home design, you may be able to turn it into a successful side business as a stay-at-home parent.

Start by highlighting your own home with a portfolio online or though social media. You can take on small jobs as you build up your work examples. You also may want to consider reaching out to a more experienced interior design firm to see if they could use help for a short-term project.

Expected pay:

• Varies based on size of job and experience

How to get started:

• Compile a design portfolio of work you’ve completed at your own home
• Create a website or social media page to advertise your services and portfolio
• Offer design advice on smaller jobs for friends or neighbors

7. Walk dogs

If you’re a dog lover and a fan of getting your steps in, dog walking may be a natural fit into your routine as a side job. Try apps that connect with owners who need walkers. This side job is great for flexibility because you can set your own schedule.

Expected pay:

• About $15 to $20 per hour

How to get started:

• Create an account on an app or site
• Set your schedule availability and rate
• Start accepting requests

8. Offer gardening or landscape services

If you’re a gardener, you can try making some extra money by helping others with their yards and gardens. This side job can allow you to spend your free time outside, enjoy the fresh air and use your green thumb.

Expected pay:

• Varies (hourly or by project)

How to get started:

• Create a portfolio of your work and areas of expertise
• Post your services in a local Facebook group or home services site

9. Become a virtual assistant

Virtual assistants perform administrative work, including basic email marketing or setting appointments. This job can allow you to work remotely from any location to assist businesses or individuals. To start, it’s valuable to have some transferable office and organizational skills.

Expected pay:

• About $20 per hour

How to get started:

• Understand standard office skills
• Working knowledge of technology
• Good communication skills

10. Meal prep for others

Cooking at home is often more affordable than eating out. If you’re an expert meal prepper, consider doing it to help others and earn some extra money on the side.

Get paid to prepare nutritious meals for people who don’t have the time or the energy to do so. You can do all your prepping and cooking at home and drop off meals to your customers weekly or monthly.

Start by selling your go-to recipes and build a loyal customer base.

Expected pay:

• About $20 to $100 for a custom meal plan (not including the price of food)

How to get started:

• Test and perfect a menu of healthy and delicious meal options
• Offer your service to people you know locally

11. Complete bookkeeping

If you have past experience in finance, you may be able to use it to make some additional income. Bookkeeping may be a good side job to explore since thanks to digital software, you can send invoices, balance accounts, track payroll and process payments from most places.

Expected pay:

• About $20 per hour

How to get started:

• Have a reliable laptop and internet connection
• Research and reach out to potential clients

12. Be a music teacher

Share the gift of music by teaching others. If you have mastery in piano, guitar, voice or any other instruments, you can offer to teach students at different levels to sing or play an instrument.

Expected pay:

• About $25 to $30 per hour

How to get started:

• Put together some lesson plans for different levels
• Promote your lessons online through social media, a freelance site or through word-of-mouth

13. Get your real estate license

Becoming a real estate agent is another side job option for stay-at-home parents. You can have flexibility in your schedule and set your own hours. Spend time studying for your state’s real estate exam and passing it to get your license to get started.

Expected pay:

• Typically 2.5% to 3% commission per sale

How to get started:

• Complete pre-licensing coursework
• Pass real estate exam and obtain a license
• Join a brokerage

14. Participate in research studies

Participating in research studies might be a flexible way to earn money in your spare time. If you have a local research university near you, you can try signing up to be a participant and earn money while contributing to academic research. Even if you don’t live near a research university, you can still get paid for helping with research. Some organizations compensate for participating in online focus groups or filling out questionnaires online.

Expected pay:

• Varies by study

How to get started:

• Sign up with a university or organization online
• Participate in studies at your convenience

15. Start a photography business

Photography is another flexible side job option to consider. Offer to take portraits for families, weddings, engagements, new babies, graduations and other special occasions. Take pictures of your family and friends and build a portfolio to showcase your work to potential clients. Don’t forget to promote your work on social media and add skills to your resume to entice new clients.

Expected pay:

• About $20 per hour

How to get started:

• Invest in high-quality camera equipment
• Create a portfolio and share on social media or create a website

16. Build websites

If you have experience in web development and design, freelance your services to people or businesses that need a website. This job can have lots of flexibility since most or all of it can be completed from home.

Expected pay:

• Varies by project

How to get started:

• Build your own website to share your services
• Reach out to potential clients

17. Rent out a room

Exercise your hospitality skills and profit off extra space in your home by renting it out. Depending on your needs, you can rent out your space for long-term stays or as a vacation rental with a quicker turnaround. Popular sites like Airbnb and Vrbo allow you to list a room or an entire home to rent out to travelers.

Expected pay:

• Airbnb hosts made an average of $924 per month in 2021, according to lending marketplace Earnest

How to get started:

• Create an account on an online vacation rental marketplace
• Prep your rental space for guests
• Set up your rental listing (including good photos) and start booking guests

18. Proofread professionally

Make use of your impeccable grammar skills by freelancing as a proofreader or copy editor. Read through articles, books or manuscripts and get paid to catch errors, make corrections and suggestions.

Expected pay:

• About $20 to $30 per hour

How to get started:

• Brush up on grammar rules and copy editing style guidelines
• Make a listing on a freelancing site

19. Recycle for cash

If your family goes through many plastic bottles or aluminum cans, it may be worth turning in your recyclables for cash. Recyclables come in all shapes and sizes. In addition to empty bottles and cans, you can also save your used electronics to trade in for money.

Expected pay:

• Varies based on where you live and the material

How to get started:

• Gather your recyclables
• Locate a recycling facility or company that buys recyclables

20. Try thrift flipping

Thrift flipping is when you purchase something, typically from a thrift store, and sell it for more than you paid initially. It usually involves improving the item, like repainting old furniture or repurposing a dress into a skirt. But these improvements can also include simply cleaning the item up and styling it in a desirable way. Try selling your thrift flips on a consignment or marketplace app.

Expected pay:

• Varies by item

How to get started:

• Make an account on a peer-to-peer social selling app
• Visit thrift stores to purchase potential flips
• Gather materials, set up your own closet or boutique and list your flips

21. Plan events

If you enjoy planning celebrations like birthday parties and holiday soirees, you can transfer those skills into helping others plan events. Think about if there’s a niche you prefer and how often you’d like to plan parties. Offering a menu of common options can make things easier on you as well.

Expected pay:

• Varies by event

How to get started:

• Plan an event for friends or family to build your portfolio
• Ask friends and family for referrals
• Advertise services online through social media

22. Teach fitness classes

Fitness-minded parents may enjoy helping others develop their bodies and minds by becoming certified fitness instructors. Whether you’re leading a yoga class or high-intensity conditioning course, this side job can offer plenty of flexibility.

Expected pay:

• About $22 average median

How to get started:

• Pick your favorite fitness area to teach
• Complete a registered teacher training course
• Reach out to local gyms that may need instructors

23. Get a housekeeping job

Offer cleaning and housekeeping services to others to make some extra cash. You decide how many customers you take on and can make your own schedule. While this side job may not require a lot of experience, it does involve some elbow grease.

Expected pay:

• Varies based on square footage of home or size of job

How to get started:

• Gather reliable cleaning supplies
• Promote your services online or by word-of-mouth

24. Tailor clothes

If you’re skilled with a needle and thread, try using those skills by working as a tailor or sewer. This may include hemming pants, taking in shirts, mending ripped clothes and altering dresses. You could try a part-time job through a clothing store or just freelance from home.

Expected pay:

• About $18 per hour

How to get started:

• Hone your sewing skills
• Advertise online and get customers to review your services

25. Teach a language

If you know multiple languages, you may enjoy earning money by teaching others a new language. Explore teaching English as a second language (ESL) or offer lessons in other languages.

Expected pay:

• About $25 to $30 per hour

How to get started:

• List your lessons on a tutoring site
• Apply to work part-time with a school or program

26. Design graphics

Freelancing your graphic design skills may be another way to make extra money. Work on designing creative graphics for websites, prints or products. You can also try selling your designs online or through local businesses.

Expected pay:

• About $31 per hour

How to get started:

• Polish your skills on an editing site like Adobe Illustrator or Photoshop
• List your services on a freelance site

27. Be a delivery driver

Driving for delivery services is another side job option. It’s a flexible, so whether you’re delivering groceries or takeout food, you can get paid to help others with errands.

Expected pay:

• Varies by company

How to get started:

• Sign up to drive for a delivery service
• Start accepting orders

28. Translate for others

If you speak another language, try translating as a side job. You can post your services for sale on third-party websites. Jobs may be online — like translating a blog article — or in person — like translating at a corporate conference. You also may be able to find local organizations in need of translators.

Expected pay:

• About $20 to $30 per hour

How to get started:

• Freelance your translation skills online
• Offer your skills to local organizations in need of translators

More side job ideas for stay-at-home parents

Check out these additional ideas to add to your income below.

• Decorate homes for the holidays
• Sell flower arrangements
• Transcribe videos or audio
• Tutor children or adults
• Be a videographer
• Offer babysitting
• Organize professionally
• Be a personal trainer
• Do makeup for events
• Sell baked goods
• Make custom soaps
• Become a podcaster
• Cut and style hair
• Sell other people’s clothes on online marketplaces
• Stage homes for sale
• Do voice-over work
• Drive for a ride-share service
• Perform music at local venues
• Paint home or pet portraits  
• Work as a massage therapist
• Freelance with an errand service  
• Wash or detail cars
• Data entry
• Start a blog

What’s next: Save up for professional courses or certifications

While some side jobs for stay-at-home parents may not require additional experience, others might. If you want to save up for a coding class, tuition for cosmetology school, a yoga instructor program or something else, it’s wise to establish a dedicated savings account.

Credit Karma Savings is a high-yield savings account with a rate that’s above the national average.

You also may find that you can upskill your experience with free online courses or resources.

Your net worth is a measure of the financial assets you hold and can help give a sense of your overall financial picture. 

The average American family’s net worth sits was about $1,063,700 in 2022, according to Federal Reserve data. But the median net worth was just $192,900, reflecting the midpoint of the data. (High net-worth households skew the average.)

It’s also worth noting that the Federal Reserve calculates net worth by family or household.  So there may be additional revenue streams from multiple working individuals.

If you’re young and just entering the workforce, you probably don’t have many assets, while someone who is more established in the workforce may. For better reference, we’ll break down average net worth by age.

• What is net worth?
• What is the average net worth by age?
• What is the median net worth by age?
• Why you should know your net worth
• What steps can you take to grow your net worth?
• How do financial goals and net worth change as you age?

What is net worth?

Your net worth is the value of all your assets (i.e., savings, your home and retirement investments) minus the liabilities you owe (i.e., loans, mortgage debt and credit card debt).

If your net worth is positive, you can conclude that you have more assets than liabilities, while a negative net worth would indicate your liabilities add up to more than your assets.

What is the average net worth by age?

The Federal Reserve’s Survey of Consumer Finances released in 2023 (using data collected in 2022) revealed the following picture for average net worth by age.

Average net worth by age

What is the median net worth by age?

While the average net worth numbers tell one story, the median net worth by age tells another.

When you take the average from a large data group, any outliers will highly affect it. In this case, the outliers would be extremely wealthy or impoverished. These outliers drive the average up, creating a somewhat unrealistic picture of the typical American family’s net worth.

The median, the middle number of all the data, may be more realistic.

Median net worth by age

Why you should know your net worth

Knowing your net worth isn’t just about being aware of your debt versus assets. It’s also about giving you a quick overview of your financial situation at any time.

Think of your net worth as a report card. Are you staying the same, improving or slipping backward? Take this information to figure out your next steps for improving your financial picture.

How to calculate your net worth

Calculating your net worth is as simple as adding up your assets and liabilities and then subtracting your liabilities from your assets.

To get you started, here are some examples of assets.

• Your home
• Checking accounts
• Saving accounts
• Retirement savings
• Investment account balances
• Valuable personal possessions
• Vehicles

Here are some common forms of liabilities.

• Mortgages
• Auto loans
• Student loans
• Personal loans
• Credit card debt
• Back taxes owed
• Co-signed loans

What steps can you take to grow your net worth?

1. Pay down your debts

Since your net worth is partly dependent on the debts you owe, it’s essential to pay down your liabilities. One efficient way to pay off debts is to begin by paying off your smallest debt while making monthly payments for other debts.

Once you pay off your first debt, use the money you were putting toward its payments and roll it onto the next-smallest debt owed. This is known as the snowball method.

2. Max out retirement contributions

If the company you work for offers any type of retirement benefits, try to use them to the fullest extent, particularly if your company will match part of your contribution. These funds play a large part in your net worth. It’s not a bad idea to contribute more to your retirement and watch it grow.

3. Put money in high-yield savings

Did you know that the standard savings account at your bank may not be giving you the highest possible interest rate?

You can find different types of accounts, including high-yield savings, money market accounts or certificate of deposits. These savings accounts may come with certain qualifications, but they can also provide you with a higher return on your investment than a typical savings account. Research to see what other options you may have.

Try a high-yield savings account with above-average rates with Credit Karma Savings.

4. Create multiple revenue streams

If you’re interested in making more money, you may consider creating new revenue streams. Whether it’s taking on freelance clients, investing in real estate or starting a podcast, there are many options to make money on the side.

Just remember, this option will likely take the most time and effort (and possibly your own money at first) compared to other suggestions.

5. Cut expenses

One way to maintain your assets is to cut expenses where you can. Start by determining how much you’re spending in the different areas of your life, such as groceries, going out, entertainment, subscription services and more. You can use our budget calculator to run some scenarios.

How do financial goals and net worth change as you age?

Just like everyone’s net worth will look different because of their age, so will their financial goals. Here are some healthy money habits and goals to strive for based on age.

Goals for ages younger than 35

For this age group, your focus might be establishing a budget and learning to stick by it. Other goals may include paying off debts, building credit, establishing an emergency saving account and starting a retirement fund.

Goals for ages 36 to 45

At this point in your life, you may be making more in salary and see your net worth growing. Some financial goals may include buying a home, starting a college savings plan for children and contributing more to your retirement fund.

Goals for ages 46 to 55

In your late 40s and mid-50s, it may be time to start getting more aggressive with your retirement plan as your net worth grows.  If you haven’t already, you may consider maxing out your company-offered 401(k) and opening an IRA or Roth IRA.

Goals for ages 56 to 65

As you’re reaching retirement age, you may want to consider what life will look like after retirement. Do you want to travel more? Downsize your home? Are you looking to move to another state to be closer to family?

The answers to these types of questions will help give your financial planning direction.

Goals for ages 65+

Since you may not be working or working as much, you may start to see your net worth decrease, but that doesn’t mean you should stop setting financial goals. For instance, you should always have an emergency fund just in case your home needs a repair, a car needs replacement or you incur an unexpected medical bill.

Consider what age you’ll start receiving your Social Security payments. While you can start receiving some benefits at age 62, you’ll only receive your full retirement benefits if you delay taking them until your official retirement age.

Negotiation can be a powerful skill to help you advocate for yourself in your career and finances. However, if the thought of negotiating your salary — or even your cable bill — brings up feelings of anxiety, you’re not alone.

We’ll help you level up your negotiation skills and your confidence with these negotiation tactics.

Skip ahead to our infographic for some quick takeaways on effective negotiating.

1. Use the foot-in-the-door technique
2. Use the door-in-the-face tactic
3. Try the “take it or leave it” method
4. Leverage the competition
5. Do your research
6. Find a win-win situation
7. Offer a bogey
8. Make it personal
9. Know your worth
10. Prepare for counters
11. Use a positive frame
12. Exercise patience
13. Be polite
14. Practice what to say
15. Boost your confidence
16. Ask questions
17. Stall when necessary

1. Use the foot-in-the-door technique

The foot-in-the-door technique is a tactic that uses a small, initial request to increase the chances of someone agreeing to a second, larger request.

This technique can be used when your goal is to achieve similar outcomes. For example, if you want to buy a shirt that’s $10, you might haggle with a vendor to get it down to $5.

You could then follow up by asking if you can buy two shirts for $10. Not wanting to feel contradictory about giving you the initial discount, the vendor may allow the second shirt for $5 as well. In this scenario, you’ve successfully negotiated two shirts for the price of one.

2. Use the door-in-the-face tactic

Instead of getting your foot in the door, you can also try the door-in-the-face technique.

This technique is the opposite of foot-in-the-door because the initial request you make is an unreasonable one that you expect to get turned down. After your first unreasonable request is denied, if you follow up with a smaller, more reasonable request, the person may feel compelled to agree.

Door-in-the-face can be an effective technique when you want to increase the likelihood of someone agreeing to a small request, like asking for a $20 discount on a piece of art after initially asking for $100 off.

Image: foot-in-the-door-face-negotiation

3. Try the “take it or leave it” method

This method is a hard bargaining tactic that suggests an offer is nonnegotiable. One scenario where this method may work is when you have a good or service that someone else needs.

If you’re selling your car and a potential buyer tries to negotiate your car’s selling price, you may respond by saying that’s the price and they can take it or leave it.

If the buyer really needs the car, they may take it at your price, and if they can’t meet that price, they may have to walk away.

Since this tactic is an ultimatum, you should prepare yourself in advance for either outcome.

4. Leverage the competition

When it comes to negotiating, remember that competition may be a catalyst for better deals. If you’re contemplating a purchase, do your due diligence and compare prices across competitors to find what’s reasonable for your budget.

Remember that prices aren’t always the only factor for a good deal, and you may find that a preferred store or service charges more. Leverage your knowledge about competing vendors and ask whether they would be willing to match a competitor’s price for the same product or service.

5. Do your research

Before walking into any type of negotiation, it is usually helpful to do some research. If you want to ask for a raise or salary, research the average market value of the position in your area.

Go into your negotiation with that number and provide it as evidence for the salary you want. This same premise also applies to buying a house or car. Educate yourself on the going rates for similar homes and cars in your area and use it as a bargaining chip during your negotiations.

6. Find a win-win situation

Another negotiation tactic is to come up with a win-win situation for both parties.

Imagine you’re trying to travel, and you want to do an affordable activity. You may decide that you’re interested in an activity that typically costs $100 for two hours. If you have a budget of $50 to spend, you could ask if you can pay $50 for half the normal amount of time spent doing the activity.

This offer presents a scenario where you may be able to get what you want and stay within your budget, and the other party is still compensated at the normal rate.

Image: find-win-scenario-offer-bogey

7. Offer a bogey

Use human nature to your advantage by offering a bogey in a negotiation. A bogey is an issue that you pretend is important to you, but it really isn’t.

You end up conceding this issue, so the other party will potentially feel like they should do the same for you. This tactic operates off the psychology of reciprocity.

Reciprocity is a social norm that humans abide by and occurs when one person does something for another, so the other person feels compelled to return the favor.

8. Make it personal

If you’re negotiating outside of a business deal or career decision, it may be helpful to try an emotional appeal during a negotiation. For example, when making an offer on a house, a personal letter to the sellers may help swing a negotiation in your favor.

Telling your story can build trust and a personal connection, which can be very powerful tools of persuasion.

9. Know your worth

Whether you’re a loyal customer or a hardworking employee, know your worth in a negotiation. Employees bring value through their work performance, skills, experience, leadership and education.

Customers provide economic value as a consistent revenue stream and social value through their opinion and word-of-mouth. Depending on your role, highlight the value you offer and use it as evidence for better pay or better rates.

10. Prepare for counters

When two parties try to come to a mutual agreement, it’s possible that either side may push back if something doesn’t work in their favor. Be ready for counteroffers by thinking through what the other side might say beforehand.

Forecast different scenarios and prepare a strategy tailored to each one.

Here are a few potential scenarios that may play out when asking for a raise.

If they’re willing to compromise:

• Take stock of your priorities and figure out if you can negotiate for them.
• Example: If your employer can give you a 2% raise instead of a 4% raise, ask about an additional performance bonus or for more vacation days.

If they say no:

• Think about ways to steer the negotiation toward a compromise.
• Ask to revisit the discussion in the future.

Image: craft-a-good-argument

11. Use a positive frame

Negotiations don’t always have to be a “take it or leave it” situation. Try finding a positive way to frame your request.

If you offer freelance services and someone is trying to negotiate your rates, stay firm in your price with a positive spin. Let the person know that your prices ensure that you can offer them the best quality product or service. Many people may find it difficult to argue with better quality.

12. Exercise patience

Bargaining for better pay or better prices may not be easy. If you’re met with resistance, you may feel like giving in so that you don’t have to experience discomfort, anxiety or fear anymore.

If you do feel this, remember to exercise patience. Be proud of the progress you’ve made negotiating so far, and tell yourself that you will see it through.

Negotiations take time, but if you can be patient and stand firm in your goals, you might end up better off than when you started.

13. Be polite

Not all negotiations are intense, cutthroat experiences. Go into a negotiation with the aim of being firm but friendly.

Remind yourself that both parties are doing the best they can to reach their respective goals. Others may be more receptive to working with you toward your goals if you’re polite and not pushy.

14. Practice what to say

If you’re nervous about what to say in a negotiation, try practicing beforehand. Ask someone you trust to read or listen to your prepared negotiation and give an outside perspective on what works and what can be improved.

Then when you need to negotiate, you can be confident in your practice and know that you’re prepared to negotiate to the best of your abilities.

Image: communicate-credibility

15. Boost your confidence

Sometimes, it can be hard to feel confident when you’re anticipating an uncomfortable or awkward discussion, but confidence can help you appear more credible.

To boost your confidence, try repeating a mantra to yourself, striking a power pose or playing your favorite pump-up song to help relieve any jitters.

16. Ask questions

In a negotiation, never underestimate the importance of asking questions. This may help you buy time to think and give you more information to inform your strategy.

Try lines of questioning that get at why or how certain decisions were made. Another option is to simply ask for help. Here are some examples.

• “I’m trying to understand why my medical bill is so high. Would I be able to see an itemized receipt?”
• “I didn’t receive enough financial aid to attend this school. Can you please help me write an appeal for more aid?”

17. Stall when necessary

In certain situations, time can put unnecessary pressure on you. If you need to take a step back to contemplate your options or make the right decision, don’t be afraid to ask for time to think.

In the case of a job offer, you can politely request a deadline for a decision or let them know that you need a few days to think. Remember that you’ve already done well by attempting to negotiate, so don’t throw away your hard work with a rushed decision.

Negotiation examples

Now that you have the skills to negotiate, put them to work and do what’s best for you and your finances in these negotiable scenarios.

For each situation, find a couple of effective ways to get the conversation started, and remember to remain confident and polite in your communication.

Image: surprising-things-you-can-negotiate

Negotiating salary

Research shows that about 70% of managers expect to negotiate salary and benefits when making an offer to a candidate, yet only about half of people try to negotiate — and men more often than women.

Many job offers have flexibility when it comes to compensation, so don’t leave money on the table by not opening negotiations.

It may feel daunting or uncomfortable to discuss money but know that companies expect you to do it. It’s important to take the chance and give yourself the best opportunity to maximize your income.

Negotiation tactics

• Do your research and know your worth — “Thank you for the offer. I’m excited about this position and the opportunity to collaborate with your team. I understand the position is budgeted for [insert amount], but I’m hoping to explore if a [insert desired amount] salary is possible. This was listed as the industry average for this position in this area, and based on my skill set and experience, I’m confident that I can provide this level of value to the company.”
• Prepare for counters — “I appreciate you taking the time to discuss this starting salary, and I completely understand any budget limitations. I’m still interested in joining your team, but I’d love to explore the possibility of a sign-on bonus considering my expertise and skill set.”

Lower your bills

When it comes to cable and internet bills, not everyone knows that those rates aren’t set in stone. It’s worthwhile to negotiate your monthly cable and internet bill because it means extra money in your bank account every month.

Take what you save on Wi-Fi or cable and contribute it to your savings or use it to pay off your credit card every month. For inspiration on how to get savings, check out our recommended strategies below.

Negotiation tactics

• Leverage the competition — “I’ve noticed that [insert competitor company] charges $50 per month for internet with a speed of 100 Mbps. With your company, I’m currently paying $60 for the same internet speed. I’d love to keep my business with your company, and I’m wondering if you can match that price for me.”
• Ask questions — “I noticed that my cable bill recently increased, and I was wondering if there is anything you can do to lower it.” Then politely follow up with: “Is that the best you’re able to do?” or “Are there any other promotions for my current services?”

Decrease your rent

Rent is set by landlords and is based on a variety of factors such as the current market price for rent, location or the available amenities. Each of these factors fluctuate based on your area and the property, and rent prices can be negotiated.

Try lowering your rent offer with these tactics.

Negotiation tactics

• Leverage the competition — “After looking at several similar properties, I’d like to discuss a rent of [insert amount] based on a few lower offers I received.”
• Find a win-win situation — “Based on your listing, you’d ideally prefer a tenant committed to a two-year lease. I’m a good tenant who would love to commit to your property for two more years, but I’d like to do so at my current rent of $1,100 instead of the increased price of $1,250.”

Reduce medical bills

Many Americans have experienced the reality of medical debt. Medical bills are sometimes unavoidable and can hold you back from achieving your financial goals. If you’re experiencing this burden, there is something you can do about it.

Ask your medical provider to give you an itemized list of your care and do some research on what a fair price for each service is in the Healthcare Bluebook. Call your health care provider’s financial services and ask to reduce your bill armed with your research.

Negotiation tactics

• Do your research — “My itemized receipt states that I was charged [insert price charged] for [insert health care service]. According to the Healthcare Bluebook, a fair price for this service in my area is [insert price]. I’d like to know what can be done to lower my bill.”
• Make it personal by telling your story — “I’ve been through some tough medical problems recently and am also experiencing a financial burden from medical expenses. I can’t afford to pay this bill and would like to know if anything can be done to help my situation.”

Get a better gym membership

Gym rates can be subject to monthly promotions or seasonal discounts, meaning that not everyone pays the same amount for the same services. Use this knowledge to your advantage and negotiate a better price for your gym membership.

Negotiation tactics

• Ask questions — “I’d love to continue being a member at your gym. Do you have any promotions or incentives going on for a lower membership rate?”
• Offer a bogey — “I currently pay $50 a month for a membership, but that price is getting to be too much for my budget. I was wondering if I gave up certain amenities, would I be able to get a discounted rate so that I can continue to be a member?”

What’s next: Grow your savings

It’s important to be an advocate for yourself and your financial well-being. Have confidence in your skills and use these negotiation tactics to try to get the best rates and better pay.

Once you’ve saved some money by negotiating, help it grow by depositing it in an interest-bearing savings account like Credit Karma Savings.

Image: Negotiation-tactics-save-money-earn-more-IG

Investing your money is one of the best ways to make it work for you. And with the possibility of compounding interest, the sooner you get started, the more money you could make.

According to a 2025 survey by Gallup, stock ownership is slowly rising, with 62% of Americans investing in the stock market. But investing doesn’t always feel easy, especially if you find yourself confused by the terms used to describe investment opportunities.

But don’t let that discourage you. We’ve put together a guide with 30 common investing terms you need to know. Learning the definitions is a good introduction to investing basics and can help you navigate the process.

• Types of investments
• Stock terms
• Retirement investment terms
• Additional investing terms
• What’s next: Making informed investments

Types of investments

There are several types of investments you may come across when trying to figure out how to allocate your funds. These are some of the most common:

1. Bonds

Bonds are loans provided to governments and corporations that pay interest to the investor. Municipal bonds and savings bonds are bonds that the state or local government issues, while private companies may issue other types of bonds. Bonds are a low-risk investment and are good for beginners.

2. Exchange-traded funds

You may have heard about ETFs, but what is an ETF in investment terms? An ETF tracks a specific industry, commodity or index, such as the SPDR S&P 500 (SPY). ETFs are a good way to invest in expensive commodities such as oil, and they’re also a great low-risk investment for beginners. Using Cash App for your ETF trades can help you build your portfolio while avoiding commission fees.

3. Mutual funds

Mutual funds are important when it comes to investment terminology. With a mutual fund, a company pools money from several investors and invests that money in a portfolio. The benefit is that you don’t have to worry about picking and choosing what you invest in, which makes it easier to invest and track your investments.

4. Real estate

Real estate includes both residential and commercial properties and can be one of the most lucrative investment opportunities. Short-term real estate investors may flip houses, while long-term investors rely on appreciation to profit from real estate. Keep in mind that real estate investing is typically more expensive upfront. Consider taking out a cash-out refinance loan to help pay for some of those upfront costs.

5. Stocks

Stocks are one the most common investments you hear about, but what exactly is a stock? A stock represents a small portion of a company, so owning a stock means you essentially own a portion of a company. Keep in mind that stocks tend to be riskier investments since the stock market is constantly fluctuating with the economy.

Image: understanding-investment-terms

Stock terms

With the types of investments you can make in mind, let’s dive into the most common — stocks. When it comes to investing in stocks, there are some terms you’ll need to understand to navigate the process:

6. Bear market

A bear market is one of the investment terms to describe stock market conditions. More specifically, a bear market is a period where stock prices are falling, and investing is risky but potentially very rewarding. Bear markets tend to occur during an economic downturn.

7. Bull market

On the contrary, a bull market is one where stock prices are rising, so investments aren’t as risky but don’t provide the same opportunity for a large reward. Bull markets tend to last longer than bear markets — sometimes months or even years.

8. Common stock

Common stock is what most people think of when they think of stocks. Public companies offer portions of their company, known as common stocks, for stockholders to own a share of the company and participate in company decisions.

Unlike with preferred stocks, common stockholders don’t have special permissions regarding dividend payments and liquidation. If you plan on investing in stocks, you’ll probably be dealing with common stocks.

9. Dividends

Dividends are payments made to shareholders of certain companies. In order to receive these payments, an investor must own stock before the ex-dividend date. This is essentially a reward for investing money in a company.

10. Market indexes

A market index is a portfolio used to track the financial market by analyzing data from specific subsets of companies. Examples of market indexes include the Dow Jones Industrial Average (DJIA) and Nasdaq Composite Index.

Image: market-indexes

11. Preferred stock

Preferred stock is similar to common stock, except shareholders get special benefits such as higher dividend payments and claims to assets if the company liquidates. Liquidation can be involuntary or voluntary — when a company files for bankruptcy or chooses to no longer operate. It’s essentially converting assets into cash. These stocks are less volatile but less profitable.

12. Share

A share is a unit of ownership, whether that’s a share in a company or an asset. Shareholders have a right to certain benefits, including capital gains when the company or asset increases in value and dividend payments when it makes money.

Keep in mind that share value depends on the economy and the stock market — as stock prices increase, their value increases and ultimately your savings increase. The same is true when the stock prices drop, which is why you should assess your risk tolerance before investing.

13. Short selling

In basic investment terms, short selling is betting on a security to drop. Short sellers borrow a security and sell it on the open market, hoping it’ll drop in price so they can purchase it for less in the future and repay the loan.

14. Stock exchange

A stock exchange is where stockbrokers and traders can buy and sell shares of stocks, bonds and other investments. Different stock exchanges have different listing requirements and thus offer different stocks.

15. Stock market

The term “stock market” is near the top of any investment dictionary. The stock market refers to all the exchanges where buying and selling take place, but it’s also useful to refer to the current condition of stock prices in general.

Retirement investment terms

Retirement accounts include or hold investments (stock, bonds, ETFs, mutual funds and some alternative investments) specifically for retirement savings. Trying to figure out how to go about investing in your retirement? Here are some basic terms you’ll need to understand:

16. 401(k)

A 401(k) is a retirement plan offered by employers where you contribute money each pay period, and your employer typically matches up to a certain amount of your contribution. You can withdraw this money penalty-free beginning at age 59 ½. Use our 401(k) calculator to estimate your retirement savings.

17. Individual retirement arrangement

Every investment glossary should include individual retirement arrangements or IRAs. An IRA is like a 401(k), except it doesn’t involve an employer. You simply contribute money on a regular basis and allow that money to build up until you can withdraw it without penalties.

Image: 401k-vs-ira

18. Roth IRA

A Roth IRA is a type of IRA where you contribute money that’s already been taxed, which means your money isn’t taxed upon withdrawal like it is with a traditional IRA. If you want to start investing for retirement right away, a Roth IRA is a simple way to get started.

19. Rollover IRA

With a rollover IRA, you can roll funds from a previous employer-sponsored plan over to an IRA. This allows you to avoid paying any penalties while keeping the tax-deferred status of your retirement plan.

20. Retirement planning

Retirement planning is the process of creating a financial plan and investing in your retirement. A good retirement plan includes a combination of employer-sponsored retirement accounts, individual retirement accounts and other investments. It’s best to work with an investment adviser to figure out the best low-risk investments for your retirement.

Additional investing terms

There are many aspects to investing, which means it comes with specialized terminology. These could be terms that come up in conversation with your financial advisor when discussing your portfolio and how your investments are doing.

21. Ask/bid

“Ask” and “bid” are important investment terms. The ask is the amount a seller is willing to accept for a security, while the bid is the amount an investor is willing to pay for it. The greater the spread between these two numbers, the more liquid an asset is.

22. Assets

The term “asset” describes any item that helps produce additional income or that may appreciate in value over time. Things like stocks, retirement accounts and real estate are common examples of assets in the investment world. Having a solid understanding of your assets and how to use them to your advantage is important.

23. Asset allocation

The goal of asset allocation is to divide your investment portfolio into different categories, with some in stocks, some in cash and some in bonds. It’s important to diversify your investments in this way, but you can also diversify within each of these three categories.

24. Capital gains/losses

Capital gains and losses refer to the money you gain or lose through investing. Any time you sell an asset for more than you paid for it, that’s considered a capital gain. When you sell an asset for a lower amount than what you initially paid, that’s a capital loss. As an investor, you must pay long-term capital gains taxes on capital gains.

25. Diversification

Diversification refers to the way you spread your investment portfolio out. To ensure you’re not relying on a single investment, we recommend investing in several different companies and industries with multiple types of investments — stocks, bonds, retirement accounts, etc.

Image: diversifying-your-portfolio

26. Investment portfolio

Your investment portfolio includes all of your investments, including retirement accounts, stocks, precious metals, commodities and more. It’s important to keep an eye on your investment portfolio to ensure you’re diversifying your investments and getting the most out of your money.

27. Financial adviser

If you’re just getting started with investing, it may be best to work with a financial adviser who understands all the investment terms and can help you choose smart, low-risk investments. Your financial advisor can help you create a diverse portfolio and plan for retirement, so you don’t have to worry about learning all the ins and outs of investing.

28. Liquidity

The liquidity of an asset refers to how easily that asset converts into cash. The higher the liquidity of an asset, the quicker and easier it is to turn that asset into cash. Some examples of liquid assets include mutual funds, cash or other forms of currency, bank accounts and accounts receivable.

29. Real estate investment trusts

If you like the idea of a mutual fund but would rather invest in real estate, a real estate investment trust (REIT) offers a similar solution focused on real estate. Real estate trusts use money from several investors to invest in real estate, which they also operate to ensure it generates income. All you have to do is invest a little money and a REIT will take care of the rest.

30. Volatility

Volatility refers to how likely it is for an investment to remain stable. Volatile investments are harder to predict and come with a higher risk, while stable investments aren’t as risky but don’t offer as much potential for profit.

What’s next: Making informed investments

Now that you have a better understanding of investing terms, you’re more prepared to make decisions about where to put your money. This knowledge will also help you better manage your investments. It’s also a good idea to talk to a financial adviser before you invest a significant amount of money into any financial product.

In addition to taking the time to learn more about the investments you’re interested in and getting advice when needed, you can also use Credit Karma to automate your savings. Consider a high-yield savings account with Credit Karma Savings among your interest-earning tools.

Sourcing

• Investing early can maximize your earning potential. Making Smart Investments: A Beginner’s Guide (August 2021)
• Percentage of Americans that own shares of stock. What Percentage of Americans Own Stock? (May 2022)
• How ETFs work. Exchange-Traded Funds 101 for Economists (January 2018)
• Bear and bull market explained. What is a bear market? (June 2022)
• How common stock works. Common Stock Explained: How Common Stock Works (March 2022)
• Company liquidation. Liquidation Basis Accounting and Reporting (July 2019)
• Bid and ask explained. Bid Definition (June 2022)
• Volatility explained. Stock Market Volatility and Return Analysis: A Systematic Literature Review (May 2020)

The job market is a competitive place, and companies are doing everything they can to attract top talent.

Competitive benefits like working from home, dog-friendly offices and stocked fridges are just a few of the things that businesses can implement to help them stand out in a crowded marketplace. While it can be easy for a company to set itself apart from the competition, what can employees and candidates do to stand out in the crowd?

Learn about what earning potential is, seven ways to boost your potential earnings to make more money, and nine skills you can take on to help increase your earning potential.

• What is earning potential?
• 7 ways to boost your potential earnings
• 9 skills that can increase your potential earnings

What is earning potential?

Earning potential is the amount of money that is possible to earn based on your …

• Skills
• Work history
• Employment
• Qualifications
• Job market
• Location

Maximizing your potential earnings will allow you not only more financial freedom but also more opportunity to budget your money and save for big life expenses, such as a home or a child’s college tuition, or to build up an emergency fund.

7 ways to boost your potential earnings

It can be challenging to make your résumé shine brightly in a sea of applicants. Luckily, there are a few things you can do to not only rise above the rest but also help increase your earning potential. Learn about some ways to boost your potential earnings below.

1. Go back to school

Consider going back to school to boost your potential earnings. According to the National Center for Education Statistics, the median earnings of 25- to 34-year-olds with a bachelor’s degree were 59% higher in 2022 than the earnings of those who completed high school alone.

Although this is one of the more challenging options, it’s an investment in your future that will likely pay off over time. Going back to school can also prepare you to switch to a career path that offers higher income.

For example, if you currently work in a low-paying field, such as retail or hospitality, going back to school to gain skills in a higher-paying field, such as healthcare or technology, could lead to an increase in your income.

2. Earn new certifications

Earning a new certification is also a great way to increase your potential income. Certifications are a great way to gain new experience or strengthen your skills in a specific area. It also shows that you’ve met a standard of competence — this can give you an edge in your industry and make you more well-rounded.

3. Attend conferences and seminars

You can also consider attending conferences and seminars. These events can provide great networking opportunities to allow you to connect with others in your field with common interests and goals, and discover new job leads. Changing jobs could also potentially lead to a salary increase.

4. Learn a new language

Understanding and being able to talk to others in a different language is especially beneficial in an international industry. And some careers, such as interpretation, translation or teaching a second language, require fluency in a second language in addition to specific training. By learning a new language, you could potentially pursue these language-specific careers that come with earning potential.

5. Find a trusted adviser

Look for a mentor or trusted adviser when looking to boost your potential income. This is especially helpful if you’re feeling stuck on what to do and you need some extra advice and support. A good adviser or mentorship experience can yield higher compensation, more career satisfaction, and additional opportunities for growth in the workplace.

6. Relocate

If you’re looking for a salary boost, consider relocating. Some cities offer higher salaries for the same job than others. However, it’s important to consider several factors before making such a decision.

You’ll want to consider cost of living in the new location before making a move — our cost of living calculator can help you figure out if the higher salary will cover your expenses and leave you with a comfortable standard of living. Be sure to also consider the job market and availability of jobs in the new location.

7. Study abroad

Studying abroad is another way to broaden your experiences that can be transferred into the workplace. Studying abroad can improve your language skills, which can make you more valuable to employers who work in international markets or who have clients that speak other languages.

Additionally, studying abroad could increase cultural awareness and adaptability — helping you better understand different cultures and navigate different environments. This can make you a more attractive candidate for global companies and help you stand out in a competitive job market.

9 skills that can increase your potential earnings

There are certain hard and soft skills you can learn that are in high demand, and some general ways you can be proactive that will help you in the long run. Below are skills that you can acquire to increase your potential earnings.

1. Project management

Project management is an important skill because it involves the ability to plan, organize and oversee the execution of projects from start to finish. According to the Project Management Institute, employers will need nearly 30 million individuals globally in project-management-oriented roles by 2035.

A skilled project manager is able to coordinate resources, manage timelines, allocate budgets and ensure that the project is completed on time and within budget.

2. Search engine optimization

Search engine optimization, or SEO, involves improving a website’s discoverability by search engines such as Google. SEO professionals are in high demand — the market size is projected to reach $176.16 billion in 2033.

It’s also a highly competitive field, so it’s important to continually improve your skills and stay up-to-date with the latest SEO trends and strategies. Consider trying online SEO courses through Semrush Academy or Moz if you’re just starting with SEO.

3. Coding

As the world becomes more tech-dependent, the demand for coders and developers is rising. Coders use computer languages to create different kinds of programs across various technological platforms. To learn to code, you can try out different boot camps online. Graduates from coding boot camps could see a median salary increase of $22,000 with their first job after graduation.

4. Public speaking

Public speaking is a great skill to learn, as it helps improve your verbal communication abilities, which can help in sales and in job interviews. To improve your public speaking skills, practice is key.

Consider taking a video of yourself speaking and watching for areas of improvement. You can also join speaking programs like Toastmasters to learn how to become an effective speaker. 

5. Paid advertising

If digital marketing is something you’re skilled at, consider adding paid advertising to your skillset. Paid advertising is a digital marketing skill that is sought after by companies that are looking to advertise their services and products. Paid advertising is usually associated with pay-per-click.

PPC is a strategy that allows businesses to pay a fee to have the website link at the top of the search results. Businesses will hire PPC experts to design and execute these campaigns to help drive results.

6. UX design

User experience (or UX) designers are talented at utilizing web design skills to create digital products that are centered around usability, branding and design to help ensure a top-notch user experience. If you’re already in the marketing field and you have experience with web design, this can be a great skill to add to your portfolio.

UX design can also be a great freelancing opportunity in addition to a full-time job to make some extra cash on the side — you can make around $45.85 per hour as a digital designer.

7. Artificial intelligence programming

Many businesses have been incorporating artificial intelligence into their sales and marketing strategies. AI typically combines skills in …

• Math
• Engineering
• Computer science
• Other related fields

Jobs are anticipated to be in high demand, with 11 million new jobs expected to be created in the AI industry by 2030, so this is a skill worth adding to your résumé.

8. Data analysis

Data analysis is another important skill to consider adding to your résumé to boost your potential earnings. Analytical thinking/innovation is one of the top skills forecasted for 2025 according to the World Economic Forum’s Future of Jobs Report.

Consider taking a Google Analytics course to strengthen this skill. Google Analytics is a popular tool involved in data analysis that can help businesses across industries make informed decisions.

9. Time management

Time management is an important soft skill to learn. When you manage your time effectively, you can focus on producing higher-quality work, because you have more time to devote to the task at hand. This can lead to increased client satisfaction and more opportunities for repeat business or referrals.

Acquire skills to boost your potential earning

Job requirements are constantly evolving to keep up with modern technologies and platforms. In order to stay relevant in the workforce and to give yourself better growth opportunities, stay on top of emerging skills that are important in your field. Not only does learning new skills help keep your mind sharp, but it also gives you a better chance at increasing your potential earning.

Once you’ve decided on your plan to increase your earning potential, be sure to also set some savings goals and a budget to maximize your income. After you create a budget, save your earnings in a high-yield savings account like Credit Karma Savings.

Sourcing

• The median earnings of those with a bachelor’s degree were 59% higher than the earnings of those who completed high school. Annual Earnings by Educational Attainment (May 2024)
• Earning a certification can result in a raise upwards of $12,000 a year. Global Knowledge (2020)
• A good advisor or mentorship experience can yield higher compensation, increased career satisfaction and more opportunities for promotions and advancements. University of Massachusetts Global (October 2022)
• Graduates from coding bootcamps see a median salary increase of $22,000 with their first job after graduation. Westcliff University (July 2021)
• Employers will need nearly 30 million individuals in project management-oriented roles by 2035. Project Management Institute (May 2025)
• Jobs are anticipated to be in high demand with 11 million specialists needed in the AI industry by 2025. World Economic Forum (January 2025)
• Analytical thinking and innovation is one of the top skills forecasted for 2025. World Economic Forum (January 2025)
• The SEO market is projected to reach $176.16 billion in 2033. Global Newswire (October 2025)
• You can make around $45.85 per hour as a digital designer. Bureau of Labor Statistics (May 2024)

Learning how to save money starts with knowing where your cash goes, then building a few repeatable habits that stick.

1. Create a budget
2. Track your spending
3. Make detailed budgeting plans
4. Try envelope budgeting
5. Use a budgeting app
6. Carpool to work or school
7. Audit your subscriptions
8. Switch to a cheaper phone plan
9. Lower your utility bills
10. Consider canceling your gym membership
11. Plan your groceries
12. Use coupons
13. Take advantage of seasonal sales
14. Designate no-spend days
15. Use the 30-day rule
16. Try the 24-hour rule
17. Build an emergency fund
18. Create a savings account for retirement
19. Use a high-yield savings account
20. Automate savings transfers
21. Consider investment accounts
22. Refinance your mortgage

• More tips to help you save money
• FAQs about saving money

1. Create a budget

When learning how to save money, assess how much you really have and where that money is going. Think about using the 50/30/20 rule to help you create a budget.

With the 50/30/20 rule, you split your after-tax income so that …

• 50% of your income is for essentials like rent and food
• 30% of your income is for extras like entertainment
• 20% of your income is for savings and debt, like accounts you owe or that help with emergencies and retirement

2. Track your spending

You may be surprised to learn where your money is actually going every week. By keeping a record of what you spend, you can see how small expenses take away from your monthly savings.

A great way to track your spending and start budgeting is by using a budgeting app, spreadsheet or even pen and paper to write down everything you spend.

3. Make detailed budgeting plans

Breaking your long-term goals into smaller, more-manageable milestones can help you save money more effectively.

For example, if your overall goal is to save $1,200 a year, start with smaller goals of $100 every month or even $25 every week. A detailed plan can help you get on track and make progress toward your bigger goal.

4. Try envelope budgeting

Image: Envelope-budgeting

Envelope budgeting can help you save money by limiting your spending to divided cash allowances. This method makes you more aware of your spending and encourages you not to spend too much of your money in one area.

5. Use a budgeting app

Using a budgeting app can help you not only with saving money but also with staying on track with spending goals, expenses and budgets. It can be an easy way to stay updated on how you’re doing and get more familiar with your spending habits.

6. Carpool to work or school

An easy way to save money on commuting costs is by sharing the ride. If you have kids, enlisting nearby parents to help lighten the burden of the school drop-off lines is a great way for everybody to save money on gas every month.

7. Audit your subscriptions

A 2026 Self Financial survey found that 59.9% of survey respondents pay for subscriptions they don’t use. Take a look at your monthly bank statements to audit your subscription services and cancel the ones that you no longer need.

8. Switch to a cheaper phone plan

When it comes to your phone plan, track how much data you’re actually using and stop paying for services you don’t need. This will allow you to save more money every month on your phone bill.

9. Lower your utility bills

Evaluate whether or not you’re being as efficient as possible with your utilities. Is your air conditioning always running in the background? What about an upright fan that you use for both cooling and white noise? Unplugging your small appliances while not in use is a great way to reduce your electricity bill.

10. Consider canceling your gym membership

If you get a lot of value out of your gym membership, this may not apply. But if your membership is costly, you might want to reevaluate what you can do at home or outdoors that’s just as effective.

Some money-saving techniques for those who want to prioritize their health on a budget include …

• Watching YouTube tutorials for home workouts
• Going for a walk or run in your neighborhood
• Swimming laps at your community pool
• Joining a local amateur sports league
• Playing workout video games
• Adding workout plans to lifestyle apps

11. Plan your groceries

Making a list of the food you want to eat for the week and the groceries you need can help you save money. Sticking to your list can help you avoid extra purchases and even help reduce your food waste in the meantime.

Use Credit Karma’s budget calculator if you need help determining a reasonable budget for your trips to the store.

12. Use coupons

Coupons are widely available and can be a convenient and easy way to save money when shopping. They can also help you get more bang for your buck. Often, coupons can get you a free item, a cheap bundle or even a discounted subscription plan.

Great places to find coupons include …

• Newspapers and magazines
• Grocery store ads
• Company websites
• Email subscriptions
• Website browsers and apps

13. Take advantage of seasonal sales

Demand for certain big-ticket items can fluctuate by the season. Consider timing your big purchases to rake in the savings. Late in the year, especially December, can be a good time to shop for a car, when many dealers are trying to hit year-end sales targets. 

14. Designate no-spend days

Challenge yourself and your family to go one day a week without buying anything, from your morning coffee to a movie ticket. You may learn to save better by reducing your spending and becoming more aware of how frequently you make small purchases that aren’t necessary.

15. Use the 30-day rule

When you want to make a large purchase, think about it first. Consider what it is and how much it costs, and if you feel that it’s still important after 30 days, maybe you’ll feel more confident purchasing it.

It’s also important to remember that dipping into your savings for a big purchase can deter your long-term goals. If it’s not an emergency, consider saving up additional funds for the purchase first.

16. Try the 24-hour rule

Image: 24-hour-rule-vs-30-day-rule

For less-expensive purchases, the 24-hour rule can give you the same pause the 30-day rule does for big-ticket items. Consider waiting an entire day before buying a small, nonessential item — you may find it’s not worth it after all.

17. Build an emergency fund

Some experts recommend setting aside about three to six months’ worth of living expenses in case of emergencies. Save your money to create a cushion that can help you avoid going into debt if you ever lose your job or have to pay unforeseen medical expenses.

If the idea of an emergency fund overwhelms you, start with our savings calculator to get you started on the right foot.

18. Create a savings account for retirement

When it comes to saving for your retirement, some experts recommend putting away at least 15% of your income each year. Determine how much you’ll need and break that down by paycheck to set aside a specific amount of money that’ll help you hit your goals over time.

19. Use a high-yield savings account

High-yield savings accounts can help you grow your savings without even thinking about it. All you need to do is deposit your earnings in an account and let interest do the work for you.

20. Automate savings transfers

Automating deposits into your savings account can help you save money more easily — and without thinking about it. There are several ways you can create automatic savings account deposits, and each bank offers a different solution. Here are a few examples.

• Some money-saving apps allow users to save spare change from their purchases.
• Certain banks will round up purchases to the nearest dollar and deposit that change into a savings account.
• There are also programs that automatically move money from your checking to your savings account for every debit card purchase you make.

Automated savings programs help you invest in yourself and your future.

21. Consider investment accounts

While assets like stocks, mutual funds and certificates of deposit shouldn’t be your only form of savings, they have the potential to provide attractive returns on your investment over time.

Before making any riskier investment moves, be sure to thoroughly research your options, or if you can, talk to a professional financial adviser.

22. Refinance your mortgage

You may find that you can save money on your monthly mortgage payment by taking advantage of a better mortgage rate — something that could add up to thousands of dollars over time.

Here are a few steps on how to refinance your mortgage.

1. Check your existing APR to see if it’s higher than the current market rates.
2. Double-check your credit scores.
3. Shop around for different mortgage lenders.
4. Use a mortgage calculator to crunch the numbers.
5. Complete a refinancing application.
6. Choose your lender, prepare for closing and pay fees.

Remember to do the math to ensure a refi makes financial sense for you, and consider talking to a financial adviser if you’d like a professional opinion.

More tips to help you save money

Want more insight on how to save money in specific situations? Whether you need to spend less money in general, want to save money with your family, or need ideas on bundling entertainment, these tips can help you in your saving journey.

How to spend less money

• Avoid eating out. Eating in can be a great way to save money every month. Plus, there are plenty of ways to make it fun and appealing. If you do eat out, you may still be able to save some money by ordering water rather than a soda or alcoholic beverage.
• Buy generic and used. A great way to save more while shopping is not allowing name brands to influence you. If the quality of the generic item is the same, you don’t necessarily need to buy the name brand. And if you love money-saving deals, local thrift stores, online auction sites and marketplaces can offer everything from clothes to electronics at stellar discounts. You can get slightly used high-quality items at a fraction of the cost of their newer counterparts.
• Use public transportation. Try replacing your drive to work one day a week. You’ll be able to get other things done on the bus or train while saving money on gas and avoiding some wear and tear on your car.
• Check your insurance rates. Car insurance companies regularly raise their rates, so you may save some money by shopping around for lower prices every so often. Shop around for auto insurance quotes to see if you can get a better deal.  
• Ask for discounts. Some facilities offer discounts for things like being retired or for older adults, AAA members or students. You never know what you can save if you don’t ask! 
• Unsubscribe from marketing emails. Sometimes marketing emails can lead to unplanned purchases. Unsubscribing can help prevent you from being tempted.
• Save your tax refunds. Rather than spending your tax refunds, set them aside in your savings account.

How to save money on entertainment

• Get a library card. Libraries don’t only offer books — you can also rent movies, audiobooks, comics and games, and attend free events like readings for kids on a regular basis.
• Find free events in your area. Browse social media to find free events in and around your area. You may find several family-friendly events or concerts that won’t cost you a penny.
• Watch matinees and rent movies. Many theaters offer discounted matinee tickets for movie showings in the daytime versus the evening. You can save money by waiting for movies to hit the rental market instead of seeing them in theaters.

How to save money with your family

• Have family game nights. Save money with a night in — play a board game or video game with your family on a designated night each week. You’ll save money on entertainment costs and bond with each other too.
• Double your meal recipes. When you cook, it might be smart to buy groceries in bulk and double your recipes. You can spend less time cooking throughout the week and save more money while you’re at it.
• Spend time outside. With the great outdoors almost always free to enjoy, there are tons of low-cost or cost-free activities. Try packing a basket and going on a nice family picnic in the park.
• Enjoy a staycation. Rather than spending money on expensive plane tickets and hotels, see what popular sights or experiences await you in your backyard as a tourist in your own city.
• Have a family yard sale. By selling old items around the home you no longer need, you may be able to raise some vacation or night-out funds — without eating into your cash on hand.
• Create a gift limit. If you have several members in your family, gift-giving during holidays or birthdays can become expensive. Set a price limit for family gifts to save some money.

Homeowner money-saving tips

• Close blinds and curtains. Closing your blinds and curtains when you’re not home is a good way to keep your house cool and lower your air conditioning usage.
• Be conscious of water usage and lower your water heater temp. Taking shorter showers can lower utility costs. You can also turn off the faucet when you brush your teeth and use low-water settings on your dishwasher and washing machines to help lower your water bill. By lowering your water heater temperature to 120°F, you may reduce the energy used to heat water.
• Start weatherproofing. Use caulk to mend holes and cracks in your walls. Identify windowpanes and door frames that have drafts and fill them in. Place plastic wrap around windows to keep the heat from escaping in the winter.
• DIY home repairs and cleaners. You may be able to save a good chunk of change by DIYing home repairs rather than paying a professional — if it’s something you can confidently handle. A professional is probably still a good idea if you’re not knowledgeable on the fix. Along the same lines, you may save money by forgoing store-bought cleaners to make your own. You may be surprised at how far one bottle of white vinegar and some lemon can get you! Do your research and see what you can make at home that’s just as effective.
• Use half as much laundry detergent. Nowadays, most detergents come concentrated. By cutting down on the amount of detergent you use, you can make your product stretch longer and ultimately spend less money on it.
• Put your bills on autopay. This can help ensure your mortgage, insurance or utility bills are paid on time and in full, so you can avoid possible late payment fees — which can also harm your credit.
• Avoid paper products. One way you can save some money is by choosing washable dishrags and napkins over paper towels. As a bonus, you’ll also contribute to lower demand for paper products.

Need a little extra cash?

Passive income comes from projects that may require upfront work but can make you money for little to no upkeep. Creating different passive income streams could be a creative side project that earns supplemental income.

We’ll review different types of passive income opportunities, suggested investment amounts and the time you may have to put in to earn passive income. You can use the table of contents below to jump to the one that looks most attractive to you.

1. Consider buying index funds
2. Review high-dividend stocks
3. Research money market investment funds
4. Pay off some debt
5. Examine real estate opportunities
6. Look into renting out unused space
7. Add to a high-yield savings account
8. Use cash-back rewards
9. Incorporate affiliate marketing
10. Take stock pictures to sell online
11. Write and sell an e-book
12. Post items for sale online
13. Create an app
14. Build an online course
15. Design and sell T-shirts
16. Start a blog
17. Sell designs online

1. Consider buying index funds

Index funds are a mix of investments like stocks or bonds designed to match a specific financial market. Index funds can help you diversify and sometimes protect against loss — the more stocks and bonds you own, the more likely you are to have some winners.

• Pro: Passive index funds that are not actively managed typically charge lower fees.
• Con: Investing has inherent risks.

2. Review high-dividend stocks

For people looking to try investing, high-dividend stocks may be for you. High-yield dividend stocks typically have a higher yield than the benchmark average. This type of investment may have higher payoffs but can be risky. If you consider this option, be sure to read the fine print.

• Pro: High-dividend investments may yield a higher dividend rate than average. That could help supplement your yearly income
• Con: Have investment risks.

3. Research money market investment funds

Money market investment funds can be relatively low-risk options and are an alternative to putting your money directly in the stock market. The goal of this investment is to earn money from interest. These investments may be backed by high-quality corporate or bank securities.

• Pro: These investments can be lower risk and sometimes easily liquidated.
• Con: Earnings may be low.

4. Pay off some debt

You may eventually generate passive income by making larger payments on your outstanding debts. Over time, you could be spending hundreds, or even thousands, on your debt’s interest. If you’re looking for different areas to invest in, consider getting out of debt.

• Pro: Taking care of your debt can help build your credit and free up your budget.
• Con: You aren’t technically earning money — you’re saving money over time.

5. Examine real estate opportunities

If you’re ready to settle down in one area, buying a home may be worth exploring. Buying a home allows you to contribute monthly payments to an investment, potentially earning you money if you sell in the future. The average home value increase has been 4.3% since 1991, according to the Federal Housing Finance Agency.

• Pro: Over time, your housing investment may grow in value as you accumulate home equity.
• Con: You may have to deal with more upkeep and repairs compared to renting your living space. Plus, your home may not always increase in value.

6. Look into renting out unused space

If you’re traveling, you may not use your home or apartment as much as you normally would. Instead of letting it sit empty, consider renting out your unused space to gain a second source of income. There are many online options that allow you to list your home for rent.

• Pro: You have the flexibility to post and restrict renting dates as you choose.
• Con: This option may take some time and work to learn and build consistent short-term renters.

7. Add to a high-yield savings account

If you’re just starting out on your investment journey, you may want to start simple. Consider contributing to a high-yield savings account. This allows you to earn higher-than-normal interest on your deposits.

• Pro: You may have the flexibility to contribute as much as you want and take out when you need to.
• Con: As most low-risk investment options go, these earnings may be lower than other options.

8. Use cash-back rewards

If you can make monthly repayments on time and in full, consider looking into different cashback rewards cards. Cashback rewards cards pay you a percentage of your purchasing amounts back to you over time. This may be a good option for people who don’t have a lot of time or money to invest right away.

• Pro: Sometimes, cash-back cards have sign-up bonuses that can amplify your earnings.
• Con: If you don’t pay your amount in full each month, you’ll usually pay interest, which could negate your cash-back rewards.

9. Incorporate affiliate marketing

If you have entrepreneurial spirit, you may consider affiliate marketing. Affiliate marketing is where you earn a percentage on products or services you recommend. For instance, if you have a high volume of followers on your blog, talk about products or services you love. While doing so, sign up for affiliate marketing platforms to create custom links. If the links are followed and items are purchased, it may increase your commission earnings.

• Pro: Much of the time, these links stay active as long as your post is live. You could earn money off these purchases even years after posting.
• Con: Your earnings aren’t guaranteed. If you have a strong follower base, you may have a stronger potential to earn more commissions.

10. Take stock pictures to sell online

Consider turning your passion into your passive income. If you like going out on the weekends to take photos and videos, consider posting them for sale online. That way people on the hunt for new stock images and videos may find and use your images. Plus, you’re able to sell these images for as long as you have them posted online.

• Pro: If you have an abundance of images or videos, you may be able to earn money on a “passion” project.
• Con: Some stock image websites charge commission rates and other fees to sell your work on their site.

11. Write and sell an e-book

If you have a story to tell or a skill you’d like to share, writing an eBook is a great way to make passive income. For instance, you could create a fitness eBook that lists out all your favorite exercises. Just remember that you may have to keep up with re-promoting your products to get them in front of those that may not have seen them yet.

• Pro: You have complete control over your story, message and pricing.
• Con: If you don’t have a strong and loyal following, sales may be slower to come.

12. Post items for sale online

Over time, there may be items you don’t use anymore and that you know still hold monetary value. You could sell these items on eBay, Amazon, Poshmark and various other sites. The downside is you may have more upkeep than other passive income ideas.

• Pro: You can generally list for sale whatever you want, when you want and for however much you want.
• Con: You may have to pay seller fees or commission rates depending on what seller platform you use.

13. Create an app

For tech-savvy creatives looking to make passive income, creating an app could be the path for you. If over the years you’ve found an opening in the app market, you may already have an idea of what you’d like to create. With the endless amount of video tutorials and learning guides online, you may have all the right tools right at your fingertips.

• Pro: Your investment option is available through a couple of clicks of a button. Plus, you’re able to have full rein over your creation and its listing price.
• Con: You may have to endure a rather steep learning curve. Not to mention, that curve could take a lot of upfront time to create.

14. Build an online course

Similar to an eBook, creating an online course is a great passive income example. If you’ve mastered certain skills, this may be perfect for you to demonstrate them. You could create an online course on any topic you’d like, from building a blog to starting a side gig.

• Pro: You’re able to use your authority in a certain space and have full control over the creation and sale value.
• Con: Once again, there may be a steep learning curve. Not to mention a lot of upfront time to put your best work forward.

15. Design and sell T-shirts

If you like photography or creating unique designs, consider putting them on a T-shirt and selling them. There are many platforms that allow creatives the ability to post and sell their art pieces. Consider purchasing the supplies to make your own. Once you’ve added your creative touch, sell them online to possibly make a profit off a hobby.

• Pro: This can be a fun and creative way to potentially increase your passive income over time.
• Con: You may have to deal with the upfront costs of purchasing your materials. Along with that, you’ll incur the costs of outsourcing operations and have to deal with upkeep.

16. Start a blog

Creating your own website could be an avenue for many different sources of passive income. You could create a blog, increase your following and boost your income with sales. You could create your own eBook, online course or even design T-shirts to sell all on one platform.

• Pro: Creating a website has relatively low initial investment rates. Plus, it can be done in just a few hours to days, depending on your design.
• Con: Online platforms require consistency and updates. Not to mention, your following won’t accumulate overnight.

17. Sell designs online

If you have graphic design skills, consider using them to make a passive income by creating Canva templates or selling designs on Etsy. As a Canva contributor, you can sell your licensed photos, graphics, stickers, or videos and start earning from the Canva users who may use your designs. Etsy also allows you to create a storefront and sell your creative designs online. 

• Pro: You can decide how much time you want to put into it and use this as a creative outlet that also provides a passive income.
• Con: If you’re not already creating these designs for personal use or enjoyment, it could feel time-consuming with little to no payoff if your designs don’t sell right away or aren’t chosen by consumers.

More passive income ideas

Here are a few more passive income ideas to get your creative juices flowing and start turning a profit with the skills you may already have.

18. Create NFTs to trade — Minting a nonfungible token (or NFT) allows you to publish your digital design or asset to a blockchain to be traded, bought or sold.
19. Become a social media influencer — Think about what you have to offer that makes you unique, and start sharing it on social media. As your following grows, you could have the opportunity to partner with brands and start turning a profit from your hobbies and day-to-day life.
20. Open a vending machine business — Stock your vending machine and turn a profit — sometimes with little to no maintenance.  
21. Fill out paid online surveys — Get paid for your opinion by finding paid surveys online to fill out in your free time.
22. Rent out storage space — If you have unused space in your house, consider making a profit from it by renting it out as storage space.
23. Refinance your mortgage — Consider refinancing to make the most of your home’s equity by investing the money from a cash-out refinance. Compare refinance rates to decide if it’s the right choice for you. 
24. Code software — Put your coding skills to use by creating software that can be sold for programs or apps.
25. Lease equipment — If you have tools or equipment stored in your shed, use it to make a passive income by leasing it out.
26. Live stream your video games — If video games are your thing, start live streaming your activity to build a following and gain exposure to potential collaborations and endorsement offers to monetize and showcase your skills. 
27. License your music — License the stock music you create to make a passive income anytime people download your music and pay the royalties.
28. Join a sleep study — Making money in your sleep sounds like a dream, but if you apply and meet the study requirements, you could get paid to sleep.
29. Sublease your home — If you have a spare room, consider subleasing it to save on your monthly payment and pocket that extra money.
30. Start a vlog — Video is taking over, so capitalize on it and start a vlog to share on social media that could open doors and serve as a passive income if you end up going viral.

If you’re looking for multiple streams of income to grow your net worth, exploring these passive income ideas is a good place to start. If you start early enough, you may end up earning more than you ever thought you would a couple of years down the road.

Image: active-income-vs-passive-income-examples

Passive income FAQs

Updated September 26, 2025

This date may not reflect recent changes in individual terms.

Editorial Note: Intuit Credit Karma receives compensation from third-party advertisers, but that doesn’t affect our editors’ opinions. Our third-party advertisers don’t review, approve or endorse our editorial content. Information about financial products not offered on Credit Karma is collected independently. Our content is accurate to the best of our knowledge when posted.

Written by: Andrew Dunn

Buying a home is often one of the most significant purchases most people make — and for the vast majority, paying in full with cash simply isn’t a realistic option. That’s why a mortgage exists: it lets you spread the cost over time.

Rocket Mortgage might be worth considering if you’re looking for a user-friendly and transparent borrowing experience. It offers a fully online application, meaning you can handle everything digitally and track your loan as it progresses.

When it comes to credit requirements, Rocket Mortgage sets clear thresholds based on the loan type. For conventional mortgages, the minimum score is generally 620. If your credit is a bit lower, FHA or VA loans (accessible to veterans and service members) may be available, if you qualify with a minimum score of 580. Rocket Mortgage doesn’t offer USDA or subprime (below 580 credit score) options, but they do provide guidance and resources to help you improve your credit, if needed.

Rocket Mortgage loans at a glance

• Conventional loans: Yes
• FHA loans: Yes
• VA loans: Yes
• Refinancing: Yes
• Jumbo loan: Yes
• Adjustable rates: Yes — 5/6m ARM, 7/6m ARM, 10/6m ARM
• Fixed rates: Yes — 8 to 30 years

Pros

• Online mortgage process
• Flexible fixed-rate loan terms with YOURgage® program
• Verified Approval℠ offerings
• Mortgages available for second homes or investment homes
• Available in all 50 states

Cons

• No home equity lines of credit available
• No USDA loans

6 things to know about a Rocket Mortgage loan

1. Online mortgage process

In most cases, Rocket Mortgage offers the ability to complete the mortgage process without having to talk to anyone.

And if you need customer service or expert advice with questions about things like an in-process loan, the company does have home loan experts available by phone during certain hours. If you’ve got a question about a new loan, you can also chat online any day.

2. Flexible fixed-rate loan terms

Generally, your options when it comes to the length of your loan are limited, with 30-year and 15-year fixed-rate mortgages being the standard across the industry. But the YOURgage program allows the choice of a loan term between eight and 29 years for your new mortgage.

3. Helpful tools, especially for new homebuyers

In addition to guiding you through the mortgage application process, Rocket Mortgage can help you search for homes and match with a real estate agent.

The website also has a number of tools, such as an affordability calculator, that can help you understand how much house you can afford, what your monthly payments might be, and even what your closing costs might look like before you decide to apply.

4. Verified Approval options

Rocket Mortgage offers preapproval letters, but goes a step further with its Verified Approval program. What’s the benefit of getting your approval verified? The company says the process gives you a competitive edge by letting the seller know your finances are secure.

5. Loan types and availability

Rocket Mortgage originates mortgages across the U.S. (though not in Puerto Rico) and is available to customers who are buying or refinancing a second home or investment property using a conventional loan, VA loan or FHA loan.

But it doesn’t offer home equity lines of credit (HELOCs). It also doesn’t accept USDA loan applications — a U.S. Department of Agriculture program that offers mortgages for low- and middle-income people in rural areas.

6. Minimum credit score needed

You may be approved for a Rocket Mortgage loan with credit scores as low as 580, though the type of loan you apply for could require better credit. Typically, the better your scores, the better your loan terms.

Understanding your credit scores is a good first step to building your credit.

Who is a Rocket Mortgage loan good for?

Rocket Mortgage could be a good option if you’re comfortable with an online mortgage experience (or even if you’re really hoping to avoid talking on the phone with anyone).

And even though it’s online, first-time buyers could benefit from how Rocket Mortgage walks you through the process. It’s best for those who are ready to buy a home, though the calculators and tools can come in handy even if you’re just starting to think about what’s possible.

And if you want nonstandard loan terms, check out the YOURgage program, which allows some out-of-the-box options for the length of your loan.

How to apply for a Rocket Mortgage loan

Rocket Mortgage’s online-first process makes the application process smooth, whether you log in using RocketMortgage.com or the mobile app.

You’ll need credit scores of at least 580 to qualify with Rocket Mortgage. If you qualify, the company will give you recommendations on what mortgages could work for your situation and quote rates.

Have the following information on hand as you apply:

• An email address for each person who will be on the loan
• Your online banking login
• Your income and employment history
• Your Social Security number

Not sure if Rocket Mortgage is right for you? Consider these alternatives.

If you want to compare interest rates with several mortgage lenders or your application is denied, keep in mind that you have as few as 14 days to shop around without your credit being affected by multiple hard inquiries. That’s important because while a single hard inquiry could drop your credit scores, several at the same time have the potential to significantly impact your credit.

• Better Mortgage: This lender also has an online mortgage application process.
• Bank of America: Check out Bank of America for additional loan options.

Pros

• Discounts available for returning customers

Cons

• Very high interest rates
• Not available in all states

What you need to know about a Green Trust Cash loan

Green Trust Cash is an online tribal lender that promises quick loans that you can use for unexpected emergency costs like a car repair. Since its loans come with very high interest rates, they’re not a good long-term financial solution and should only be used to get you through tough times if you’ve exhausted all other options.

You can apply for a loan in amounts up to $1,000. Here are some things to keep in mind before you apply for a Green Trust Cash loan.

High APRs

Green Trust Cash loan interest rates are quite high, especially when you compare them to the rates of other online lenders. If you go with a Green Trust Cash loan, you may be stuck with an APR in the mid-to-high triple digits. In fact, Green Trust’s rates can be even higher than the APRs of a typical payday loan.

Discounts for returning customers

If you’ve paid off one or more Green Trust Cash loans on time, you may be able to lock in discounts for future loans. Green Trust calls these members VIPs or VIP Gold members.

A closer look at Green Trust Cash personal loans

Here’s what else you should know about a loan from Green Trust Cash.

• No prepayment penalty — There are no prepayment penalties, so you can pay off your loan early and save on interest charges.
• Tribal lender — Green Trust Cash is operated by the Fort Belknap Indian Community of the Fort Belknap Reservation of Montana, which is an American Indian Tribe.
• Not available in all states — Green Trust doesn’t offer loans in Arkansas, Connecticut, Massachusetts, Montana, New York, Pennsylvania, Puerto Rico, Vermont, Virginia or West Virginia.

Who a Green Trust Cash loan is good for

You may benefit from a Green Trust Cash loan if you need money for an emergency expense as soon as possible. Since a Green Trust Cash loan is a very expensive financing solution, you should look at it as a last resort and only apply if you don’t have other options.

How to apply with Green Trust Cash

If you decide to apply for a Green Trust Cash loan, you’ll fill out an online application on Green Trust Cash’s website. You’ll be asked to enter an offer code if you received one.

Here’s what personal information you’ll be asked to provide as part of the Green Trust Cash application process.

• Full name
• Email address
• Date of birth
• Social Security number or Tax ID number
• Government ID type (state driver’s license, state ID card or U.S. passport)
• Phone number
• Address
• Rent or mortgage payment amount
• How long you’ve lived in your current home
• Primary source of income
• Pay frequency
• Last paycheck/income amount

After you apply, you’ll get an email about your application status. If you’re approved, make sure to read through your loan agreement so you’re aware of all the terms.

Not sure if Green Trust Cash is right for you? Consider these alternatives.

• Earnin: Earnin is an alternative option for emergency cash. It’s an app that allows you to borrow against your paycheck without fees or interest.
• Upstart: Upstart might be ideal if you want a lender with a prequalification option that considers more than just your credit scores.
• Payday alternative loans: Federal credit union members can consider these emergency cash options, which have limits on fees.

*Approval Odds are not a guarantee of approval. Credit Karma determines Approval Odds by comparing your credit profile to other Credit Karma members who were approved for the personal loan, or whether you meet certain criteria determined by the lender. Of course, there’s no such thing as a sure thing, but knowing your Approval Odds may help you narrow down your choices. For example, you may not be approved because you don’t meet the lender’s “ability to pay standard” after they verify your income and employment; or, you already have the maximum number of accounts with that specific lender.