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Raise Money For Investing Using 11 Poor Man Strategies
Unlike many of my fellow financial bloggers, I got street cred when I was poor. When we moved to San Jose, CA in the early 1980s, my family lived with another family until my parents could save up to rent an apartment. The house we lived in was a three bedroom, two bath house, located on McLaughlin Avenue. My parents were friends of the adults who rented this house. They met in Chihuahua, Mexico.
Things didn’t get any easier when my parents were able to rent an apartment. All they could afford was a one-bedroom in Sunny Court despite both working full-time. My sister and I slept in the living room. Food was not always plentiful. I remember many times that there was no extra food and school was where I only ate my regular meals. Clothing was bought at the craft store as needed. The shoes came from friends or, if money ran out, from Payless Shoes.
Life from month to month in those days was stressful even for a child. There is nothing worse than your parents clearly trying to make ends meet and you not being able to help. Back in Mexico, I would go out on the streets and sell gum or glitter shoes to make money. But in the US there are laws… child labor laws. You also need to speak your own language in most cases. At that time, I had just started learning English.
I’m not ashamed to admit that as a child I used to swim in the trash, steal from supermarkets and do cleaning jobs for the adults around me. Something to help my family. I am not proud of the actions that were illegal, I see that they can now be dismissed by the eyes of adults, but in those days they were necessary for me. Life without regrets is not life.
From my experience, I can present to you today ways to raise money that may be widely known among poor people, but not so much among middle class people. Well, maybe my middle class brothers know the following ways they can raise money too, but they may see it as “below”.
Many people do these activities because they need money to pay bills, eat and survive. I only did these because I wanted to invest money and wasn’t ready to use leverage (debt).
1) Save aluminum cans and glass bottles instead of putting them in my recycling bin. After four months, I take these to a recycling plant in Oceanside, CA and sell them for $15 to $25. That’s not much I know, but multiply that by 3, and you have an extra $45 to $75 a year. Poor people don’t rebuild; Looking for and selling cans, plastic and glass bottles!
2) Sell an item of value at a pawn shop for quick cash. I have sold watches I didn’t wear (birthday/Christmas gifts) and electronics. Saves a lot of time.
3) Sell things on Craigslist. Don’t use your bike anymore? Post a Craigslist ad and sell it to a private party. Find things around the house that you no longer need and are worth selling on Craigslist. If you have a lot of stuff but not a lot of value then do #4.
4) Garage or yard sales. Jessica and I have a garage sale at least twice a year. We make about $100 each time from our sold gems.
5) Sell a gift card for cash. What!? Yep…ever received a gift card worth cash and knew you weren’t going to use it? Sell it to a friend or go to the place and chop off your head. Let the person hold your card and check the balance if they don’t trust you.
6) They sell blood (I’ve never done this…even chicken). Find your local blood bank and sell that plasma!
7) Sell your hair on eBay. Yes, you can sell your hair online. I’ve never done it because no one wants my hair, but if I had Fabio’s curls…
8) Do you have money? Look under the arms of your bed, your bed, dusty utility drawers, under your car seat, everywhere. If you’ve saved up spare change, then it’s time to hit the supermarket and find your nearest Coin Star machine. It is easy to use. Just drop in all your change and the machine will count every penny, print you a receipt that you can then line up and pay, just like a casino!
9) Start using coupons and save on organics. Poor people don’t have a choice when it comes to buying safes and free food from grocery stores. For them, the price is the selling point. But for us, we can choose healthy foods from Trader Joe’s for example. Not telling you to eat to your heart’s content, but if you want to save a little extra for a few months, this might be an option.
10) Take the bus or go to work. We have an option that may not be poor. Depending on the city you live in, a bus pass will run you about $30-$45. You probably spend twice that amount driving yourself to and from work every day, even if gas prices drop. Like #8 above, this will also be a temporary strategy. Don’t you want to sit among the poor? Convince a partner to act on your savings plan. Or if you didn’t sell your bike, ride it to work for a month.
11) Buy cheap wine. I was buying $11-$15 Cabernet Sauvignon. I would drink about two bottles a month. Then I saw Sutter Home Moscato and Cab on sale for $3.99! Back on paper I was drinking malt liquor and bad beer. Now I’m all about cheap tasty wine and micro/craft beers. However, I have sometimes fallen back on the latter when saving for a “programme” investment. You can make your own!
Once I became poor I realized that most people do not have my level of wealth. I can do some of the above without feeling uncomfortable or embarrassed. I am confident enough with my circumstances that for me, the above scenarios are optional ways to raise money for investment purposes only. But what about the people who have to rely on these fundraising strategies to survive? I can imagine it. If this is your life, I can give you a great advice: stop blaming others and feel sorry for yourself! This will not help you. Instead, start by creating a list of ways you can improve. What to improve? Here are some lists that you need to make and brainstorm:
1) Free ways I can improve myself (what I know and can do).
2) Ways I can improve my decision making.
3) Ways I can improve what I spend money on.
4) Free ways to improve the people I know (focus on finding money wise, “better,” people to be part of your network). You can count me as part of your network!
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