Can You Turn $100 Into $500?

“Find” Money and Increase Your Savings Contributions
Start digging through those sofa cushions—or better yet, through your monthly expenses—and find a little extra money to squirrel away each month. Saving just $42 a month will get you to your $500 goal within a year, not including any interest you might accrue. 

A mindful approach to your spending habits may reveal simple ways you can quickly grow your savings. For example, at an average of $2.70 per cup, foregoing four cups of java per week from your local coffeehouse adds up quickly. Or preparing meals at home rather than eating out can save an average of $16 per meal.

Remember, money won’t save itself. Establish a savings account and set up automatic transfers to capture that extra cash.

Create a Designated Savings Account
Once you’ve determined a way to set aside funds on a regular basis, it’s time to consider where you’ll put your savings. While some savers like to see their money accrue, others prefer the “out of sight, out of mind” mentality to keep savings safe. If you’re the latter, open up a new savings account designated specifically for growing that $100 to $500. (You can even give the account a fun name.) This bucketing strategy to savings will help you stay focused and goal-oriented in your approach.

Take an Interest in Your Interest Earnings
If your money is sitting in your checking account, it’s probably not earning much interest—if any. Moving it into an interest-bearing savings account, certificate of deposit (CD) or money market account will help grow your dollars incrementally while giving you access to those funds if an emergency arises.

Look into online banking options, which often provide higher interest rates and lower fees. You won’t amass your $500 goal overnight, but interest is about growing over time or compounding. The longer you save, the more your money earns.

Rethink Your Risk Quotient
Yes, taking a seat at a blackjack table in Vegas or buying scratch-and-win lottery tickets might quadruple your cash in a flash—but odds are, you’ll lose it all. If you are comfortable taking a calculated risk, however, there are plenty of ways to increase your savings without going for broke. Investing your money in stocks, municipal bonds or mutual funds can provide a greater return on investment than FDIC-insured savings accounts. 

Typically, the riskier the investment, the greater the possibility of building (or losing) your fortune. Don’t want to risk it all? Diversifying your portfolio between savings accounts and investments can provide a balance for short- and long-term gain. Consult a professional financial advisor to find out the best options for you.

Invest in Yourself
If you’re looking for an investment that can provide immediate and long-term returns, look no further than building equity in your No.1 resource: you. Consider investing some (or all) of your $100 seed money into learning a new skill online that can increase your income right away—and into the future. In fact, a recent survey found that 87% of people who learned a new skill online improved their careers within the following six months.

Already have a talent and an entrepreneurial spirit? Invest that $100 in your own side gig. Spruce up your vehicle and take a turn driving for a rideshare service. Invest in graphic design software and turn your artistic talent into a part-time venture as a freelancer. Purchase social media ads promoting yourself as a dog walker, housecleaner or babysitter. Or set up your own retail shop on one of the many online marketplaces to sell your used or handmade goods.