Free money is available for you and me every day. If someone approached you and asked, “Would you like $20?” Would you shut them down? Another person approaches and says, “I want to trade you $50 for $100,” would you believe they’re off their rocker and tell them to get lost?
It happens
Free money is declined daily. Uninformed employees refuse employer monetary matches. Confused consumers say, “No thank you” to financial contributions on a regular basis.
Why?
Free money is negligently left on the table, daily. Employees fail to take advantage of all that their employers offer to them. Consumers mistakenly assume that corporate America is in the financial driver’s seat. It’s time to recognize and leverage every dollar that is offered to us and began maximizing our profits.
Here are over a dozen opportunities to get cash both directly and indirectly.
Free Money — 401(k) Match
Take the employer investment match! It’s estimated that around 25% of employees fail to take the full match (shrm.org).
I guess free money is not awesome to some people.
What’s an employer match?
Companies that offer a 401(k) plan usually offer a financial match of some type. You put in some money and the employer provides a kickback.
The most common match is a 50% match on the first 6% of contributions.
Let’s say a person earns $50,000 per year. The employee contributes 6% of their pay to their 401(k) plan or $3,000. The employer then matches 50% of the employee contribution.
The employee gets another $1,500 on top of their $3,000!
I happen to think that $1,500 of free money is a pretty good deal!
Here’s an article that I wrote about always taking the 401(k) match.
Free Money — Health Savings Account Contributions
Health savings accounts (HSA) are the triple-threat of investment opportunities. Contributions are made tax-free, grow tax-free, and are used tax-free! If your employer offers a health savings account at least consider it.
Some employers provide HSA contributions or matches. An employer might match contributions at a certain amount and limit.
Others simply make contributions for specific actions. Get a physical and provide proof and the employer makes a contribution. Join a health challenge and get a contribution.
My employer offers up to $800 in annual contribution for the employee and another $800 for their spouse.
Not too shabby!
Tuition Reimbursement
I squeezed every penny possible out of my employer for tuition reimbursement. When it was said and done, I received in excess of $30,000 in actual tuition reimbursements. WHAT?
Many companies cap annual tuition reimbursements at $5,250 because of tax implications. I received more than that amount but everything over $5,250 was considered taxable income. Still a pretty good deal, though.
Check with your employer about tuition reimbursement before signing your life away with a student loan.
If you’re working 40+ hours per week and squeezing in a few classes at a time start with community college. I was able to wipe out all of my gen ed credits at my local JC. One can make great progress at a community college with $5,250 in their pocket.
Here are some of the companies offering great tuition reimbursement programs: Amazon, Chipotle, FedEx, Home Depot, McDonald’s, Starbucks, Taco Bell, T-Mobile, UPS, Verizon, Wal-Mart, and Wells Fargo.
If you’re planning to go to school check with your employer and see what’s offered.
Paid Time Off (PTO) — Free Money
Employees forfeited 768,000,000 vacation days in 2018. The total financial damage was around $65 billion! How much did you give up?
Some states require unused PTO to be paid but not all.
Not using all of your accrued PTO is like forking over free work to your employer.
I’ve been guilty of not using all of my paid time off. Yes, not the wisest financial decision. I am working on closing that gap.
Take all of your vacation and holiday time that is available.
The opportunity cost of unused PTO is harder to quantify. Sharpening the saw promotes improved productivity.
Savings Accounts
Online banks, like Synchrony, Amex, CIT Bank, and Discover, pay about twelve times more interest than brick-and-mortar banks.
These banks actually pay people not to spend money. Savers can keep their savings liquid and also earn some extra cash in the process.
Interest rates are starting to tick up once again. That’s great news for savers.
You might not “get rich” from a simple savings account but there is no need to turn down free money.
Put your emergency fund and your sinking funds into a high-yield savings account and earn some free money!
Click here to learn more about sinking funds.
Cash Back From Credit Cards
Not everyone is a dyed-in-the-wool saver. Many would rather spend than save. Credit card companies, contrary to my melodramatic friend Dave, are not the enemy.
It’s up to you to be a big boy or girl and protect your family from financial ruin.
Many credit card companies offer 2% cashback on every purchase made. Will you experience a windfall of profitability? Nah, but you will have some extra cash to stick in your pocket.
One credit card offers 6% cash back on purchases made at grocery stores. Of course, there is a limit up to $6,000 and then it’s 2% for everything beyond that point. Spend $500 per year on groceries and get $360 in cashback.
Never use a credit card solely to get cashback, though. Only purchase things that you are already in your budget.
If you cannot or do not pay off your credit card each month then this strategy is not for you.
This strategy is reserved for mature boys and girls.
Credit Card Sign-Up Promotions
Credit card competition is tough. Banks and other financial institutions are fighting over an extremely fickle and loyal market.
One way they persuade consumers to give them a shot is by offering sign-up promotions.
There’s a business (side hustle?) card that is offering $500 in cash back after $4,500 is spent in the first 150 days. Then you will get from 1% to 3% cash back on all future purchases.
Again, my friend Dave denigrates credit card users as out of touch. He even states that “no one gets rich using credit cards.” He’s wrong. “No one” is a pretty broad-based term.
I personally know of a company earning over $1,000,000 per year in cashback through their business.
Never say never.
Again, if you carry a balance then credit cards are too complicated for you.
Here’s an article from NerdWallet on some of the best credit card promotions.
Job Referrals
The battle for talent is crazy right now. Find out if your employer offers referral bonuses for new hires. My employer is now offering bonuses of up to $2,000 for new hires.
Shake your network tree and make some calls. Personally, I think $2,000 is a nice perq.
Coinbase
Coinbase is the largest crypto exchange. If you sign up you will have options to earn various amounts of crypto for taking mini-courses. I’ve earned about $15 in crypto just by learning more about crypto. Plus, there’s always the option to get $10 in crypto for referring someone to Coinbase (referral link).
Life Insurance Referrals
Pretty much every adult needs term life insurance. It’s inexpensive and is a fantastic way to tell your family that you truly love them. Go Fund Me pages are fine in a pinch. Term life insurance is a much better way.
Companies such as Policy Genius offer referral bonuses. Hey, I realize that talking about life insurance won’t make you the life of the party. Please don’t do that.
However, when you’re having a serious conversation with a friend and they ask tell them. You getting a little bit of cash doesn’t impact their cost at all.
If you’re interested in obtaining term life insurance affordably and simply check out Policy Genius (referral link). That’s who we use.
Veteran Discounts
Companies love to kiss up to veterans so let them.
If a company offers a veteran discount take advantage of it. Home Depot allows vets to earn up to $400 per year in discounts or $800 if their spouse registers as well.
Click here to sign up for the Home Depot veteran savings program.
Hundreds of other companies offer veteran discounts as well.
Take. Every. Dollar.
I dare you to profit!
