Maybe you got a windfall of cash, or maybe you used different side hustles to increase your savings.
Whatever the case, if you’re wondering how to double 50k, there are a surprising number of options out there.
Between investing ideas and ways to flip your money, there are plenty of ways to turn $50,000 into $100,000 if that’s your goal.
If you’re ready to put your money to work, the following ideas to double $50,000 are worth considering!
How To Turn 50K Into 100K – The Best Methods To Double Your Money
One quick note about expectations and timeframes before we jump into how to turn 50k into 100k.
Some of the ideas in this post are more passive than others. So, decide on if you want passive or active income and how much time you can realistically dedicate.
Additionally, many of these methods can take years to accomplish. This is the nature of long-term investing.
If you ever encounter guides or programs that promise you can quickly double your money, proceed with caution since if something sounds too good to be true, it often is.
Finally, you can always consider consulting a financial advisor for advice and recommendations that suit your specific situation.
1. Start An Online Business
One way you can potentially double $50,000 is to start your own online business.
However, more “traditional” ecommerce businesses often require startup capital to manufacture and purchase the inventory you’re selling.
So, if you’ve ever thought about starting your own online brand and selling to consumers, you can launch a Shopify store and work on growing your brand.
It doesn’t matter if you sell apparel, software, digital downloads, or some other product; you know the brand you want to build, so it’s up to you to make it a reality.
Now, growing an online business isn’t easy, nor is success guaranteed.
I’ve worked on dozens of ecommerce stores when I worked in paid advertising, and while the earning ceiling is incredibly high, there’s also a lot to learn.
But with $50,000, you can definitely start your own website, buy inventory, and even invest in paid advertising or some sort of promotional channel to attract customers.
2. Invest In Real Estate
If you want to double $50k and like the idea of earning passive income, real estate investing could be for you.
With $50,000, you also have quite a few options here.
The first would be to pool your money with another investor or two so you can buy a small rental property. This strategy is pretty common between family members or close business partners.
Alternatively, you can invest in income-generating real estate with companies like Fundrise.
Fundrise is a real estate crowdfunding company that pools money from investors to buy income-generating real estate like multi-family homes and commercial office buildings.
Historically, Fundrise has returned about 8% annually to investors and you pay 1% in annual management and advisory fees.
Fundrise only requires $10 to begin investing, so it’s very beginner-friendly and is one of the more popular crowdfunding options out there.
Of course, turning $50k into $100k through real estate investing probably takes years.
However, for a more passive play, you can certainly consider this asset class.
3. Cryptocurrency Investing
Cryptocurrency investing has been extremely popular over the last few years.
And, like any new asset class, there are a lot of ways investors can diversify their portfolios and put their money to work.
The most obvious method is to buy and hold cryptocurrencies using popular exchanges like Coinbase with hopes that your crypto appreciates.
I’ve been slowly diversifying my portfolio with BTC, ETH, ADA, and some other coins, but of course, you need to do your own due diligence here.
However, there are also lots of passive income opportunities with crypto that are quite exciting.
For example, you can buy and deposit cryptocurrency with Nexo and begin earning daily interest on your crypto!
Nexo also has some very competitive APY rates and pays much more than any traditional high-interest savings account can.
You can actually earn up to 20% APY on different cryptos, and crypto like BTC pays 8% APY currently.
BlockFi is a similar company that offers Crypto Interest Accounts to let you put your crypto to work to generate yield.
Overall, this is a very exciting space with a lot of new income opportunities.
Is it an easy way or guaranteed way to double $50,000?
Absolutely not, and this is why it’s crucial to do your due diligence and to be an informed investor in crypto before making any moves.
If you’re completely new to the space, I also came out with a video on how to earn free Bitcoin if you want to take your first steps and enjoy some free money.
4. Traditional Investing
If you’re still wondering how to double 50,000 dollars, you can always try more traditional investing methods to begin generating wealth.
Personally, this is my main strategy, and most of my portfolio is in various stocks and ETFs.
And $50,000 is an incredibly powerful starting nest egg when you think about the power of time and compound interest.
I mean, here’s an example using a compound interest calculator from Investor.gov.
Let’s say you:
- Invest $50,000
- Earn approximately 7% annually
- Don’t invest another penny
- Wait 10 year
At this rate, you would basically double $50,000 in 10 years without doing anything!
This isn’t considering tax implications, but it’s also not adding in additional monthly contributions or accounting for things like dividend reinvesting.
The point is, one straightforward way to potentially turn 50k into 100k is to invest in companies and sectors you think will appreciate.
Starting to invest to make money daily is also easier than it’s even been.
I mean, you can invest online through your bank or with commission-free brokers like M1 Finance.
M1 Finance is also giving new accounts up to $500 for joining, so there are plenty of sign-up bonuses out there you can take advantage of as well.
5. Retail Arbitrage
Retail arbitrage is a very popular business model, and it basically involves buying popular products on clearance and then reselling them online.
Typically, retail arbitrage uses Amazon FBA to sell since this helps you get exposure to a massive online marketplace and simplify logistics.
With Amazon FBA, you ship products to Amazon fulfillment centers. When you make a sale, Amazon ships your products to customers, letting them enjoy Prime shipping and keeping order fulfillment off your plate.
Now, Amazon FBA is competitive, and you also pay seller fees and potential packaging fees, so margins can get tight.
But the whole retail arbitrage business model has potential, and sellers also use platforms like eBay or Mercari to find buyers.
Whatever sales channel you choose, the idea is to source popular products on clearance and to then resell them at a markup.
Examples of popular retail arbitrage product categories include:
I wouldn’t invest $50,000 upfront into inventory until you learn the ropes and start turning a profit.
But, this amount of starting capital is definitely enough to start, test, and scale a retail arbitrage business if this side hustle sounds interesting.
6. Invest In Alternative Assets
Like traditional investing, another option for what to do with 50k is to invest in alternative assets.
People do this all the time by buying artwork or even rare collectibles like Pokemon cards or sports cards with the hopes those assets appreciate.
And these days, you can also invest in alternative assets through your IRA to start saving for retirement.
For example, companies like Alto let you invest in alternative asset classes like:
- Fine wine
- Private equity
- Venture capital
There are 75+ investing partners to choose from, giving you access to a diverse range of alternative asset classes and opportunities.
Alto’s CryptoIRA doesn’t charge any monthly fees, so it’s a great way to invest in crypto for your retirement.
As for its main IRA product, prices start at $10 per month, which isn’t a high percent for larger portfolios.
Overall, if you want easier access to alternative asset classes to try and flip $50,000, you can definitely consider using Alto.
7. Create A Rental Business
Another passive idea to double $50,000 is to use the money to start some sort of rental business.
There are lots of things you can rent out for money, and $50k gives you a lot of room to try out some ideas.
The most obvious is to use the money to finish a room or upgrade some part of your house so you can rent it out on Airbnb.
Finishing a bedroom or small basement with this money could easily let you rent out the space for $75 to $150+ per month depending on the city, time of year, and how nice of a space you have.
But, there are even more rental ideas you can explore:
- Renting out spare storage space with Neighbor
- Buying and listing a vehicle on Turo
- Renting out an RV with RVShare
- Renting out instruments on Fretish
- Renting out things like camera equipment or drones on Fat Llama
This rental business idea is more feasible if you live in a decently populated area since you have more potential customers.
However, don’t be afraid to get creative.
I mean, people even make money renting out things like camping sites or unique clothing they own, so there are so many ways to monetize assets you own.
Extra Reading: How To Make $50,000 A Month – 8 Realistic Ideas.
8. Invest In Small Businesses
If you’re still wondering what to do with $50k and how to double your money, you can try investing in small businesses.
In the past, you needed a lot of capital and connections to invest like a venture capitalist.
Mainvest only requires $100 to start investing, and it offers a range of small businesses to invest in like:
- Food trucks
- Real estate developments
When you help fund a business, there’s a specific multiple and payout date that defines how much money the business owes you and by what date.
Mainvest targets 10-25% returns for investors, so multiples are usually in the 1.4x to 2x range.
With a 2x multiple, you can turn $50,000 into $100,000, although the process might take a few years as the business slowly pays off its debts.
Just note investing in small businesses carries risks since businesses can go under. This is why conducting due diligence is important, and always consider the risks.
Granted, Mainvest only accepts around 5% of applicants to its platform and has a serious vetting process. So, these are successful, growing businesses for the most part.
Frequently Asked Questions
How Can I Make Money With 50K?
There are lots of ways you can make with $50,000, with the two most common ideas being investing or starting some sort of business. Really, the idea is to put your money to work rather than letting it sit in a lackluster high-interest savings account.
How Can I Turn $50,000 Into Passive Income?
There are several ways to turn $50k into a source of passive income. For example, you can invest in income-generating real estate with companies like Fundrise. Investing in dividend-paying stocks or earning interest on your crypto with companies like Nexo are also strategies you can try.
I hope our guide on how to double 50k helps you decide how to put your money to work for you.
Just remember: it’s important to consider your investing time-frame and level of risk tolerance before making a decision.
Furthermore, don’t hesitate to consult a financial planner if you need a helping hand with making your decisions.
Thanks for reading!
Looking for other money-making ideas? Checkout:
- How To Quickly Double $10,000.
- How To Turn 10K Into 100K – 10 Different Ideas To Try.
- How To Flip $1,000 Into Profit – The Best Methods To Try.
Tom is a full-time blogger and freelance writer with a passion for side hustling, passive income, and the gig economy. His work has appeared on dozens of personal finance websites like Money Crashers, The College Investor, Investor Junkie, and more. This Online World is all about providing people with honest ways to make and save more money by using technology. To learn more about Tom, read his About Page!
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