How to build wealth in your 30s

Building wealth in your 30s doesn’t have to be witchcraft. Unless you’re a witch. But for the rest of us, some assets can help build wealth while avoiding the worst inflation has to offer. Here are just a few of them that might pique your interest.

Buying or investing in a small business

Small businesses can be defined by their firm revenue and employment size. So what is and is not a small business may change depending on what you want to invest in. And you can typically invest by either exchanging money for ownership and profits (i.e., equity) or lending money (i.e., debt). So whether you want to invest in dropshipping and vending machines or start a bold, new project from scratch, getting involved in a small business could be a great opportunity.

Stocks

Lines goes up. Not always, though. But experts recommend continuing to invest in equities, even during periods of high inflation. You can do this by focusing on investments designed to hedge against inflation or other equities. There are also ETFs (Exchange-traded funds) which might be able to keep your portfolio aloft while prices surge.

Franchises

Franchises are similar to small businesses, but typically for investors with more cash on hand. They’re businesses that license their branding and products to another owner or investor. But they can be great additions to a portfolio and might even be great additions for a community. They can be food or retail-related or even areas such as child enrichment, fitness gyms, and more. Now, if you want to franchise, you can choose to manage the location yourself, or rely on a management team (which is why this option typically requires a bit more money).

Life insurance

You didn’t think we were gonna talk about it. But we are! Life insurance can actually be used as an investment opportunity. How, Sway? Well, permanent life insurance policies, such as whole, often come with something called “cash value.” That means the policy grows interest over time that is tax-deferred. So the longer you keep up with your monthly payments, the more cash value your policy earns. And, depending on the policy, you might be able to borrow off that cash value. Pretty neat, huh? And there are cases to be made for combining term and permanent life insurance policies, depending on your needs.

Other assets that might be helpful

Inflation isn’t always fun (unless you’re one of those…balloon “enthusiasts”). But there’s a whole ecosystem of investments that could be helpful in these inflated times. Investments in things like TIPS (Treasury Inflation-Protected Securities), real estate, and commodities such as oil or metals can be great assets to look into. You just got to find which ones work best for you and your money.

Other wealth-building assets:

Things to keep in mind

Whether you’re a seasoned pro or a wee-baby investor, one of the best things you can do before investing is research. For small businesses, you should be looking into various markets and business opportunities that are open. The same could be said for stocks—what do the markets look like and what kind of investor are you? Being informed, doing research, and knowing what works best for you are great ways to keep your mind off rising costs and towards your goals.