The get-rich-quick scheme: the easy way to make money from home—that never works. Almost never. Here are five stories of get-rich-quick schemes that actually paid off.
Catch Me If You Can
Perhaps the most famous successful get-rich-quick scheme, thanks to Leonardo DiCaprio and Tom Hanks, is Frank Abagnale, Jr.'s check forging adventure. The movie follows DiCaprio as Abagnale, Jr. impersonating a pilot, substitute teacher and other roles. The real Abagnale, Jr. also created fake identities as a physician and an attorney, claiming he legitimately passed the Louisiana bar exam.
Abagnale's real profits came from check forgery. He estimated that he cashed $2.5 million worth of forged checks during five years in the 1960s. He made some of it by printing his bank account number on deposit slips so that other people accidentally made deposits into his account. Most of his success came from his skill at printing near-perfect fakes of payroll and other checks and persuading banks to give him the cash in advance.
Of course, Abagnale didn't make it out unscathed. He spent time in prisons in several countries, including a twelve-year sentence in U.S. federal prison. But $2.5 million (almost $20 million in 2016 dollars) is still a heavy stack of money to weigh against the less than five years he actually served of his federal sentence. And his forging experience has landed him lucrative speaking gigs and fraud-prevention jobs. So, yeah, successful. (Please don't do this. There are other ways to get rich without being a criminal.)
Online retail startup Jet.com held a contest. Not a "win $100 in gift cards for signing up ten friends" contest, but a "win 100,000 shares of the company for signing up the most people" contest. That's quite a prize, even for a company whose shares haven't gone public yet. And, like so many other online money-making "games"—poker, fantasy football, you know the rest—the real winners are the professionals, the people who make it a full-time job.
That's what Eric Martin did. Martin, from York, PA, had the idea to basically crowd-fund his own win: he tried recruiting sign-ups from Facebook and other social media outlets, but with little success. He eventually tried websites that offer prizes for users who sign up for things. After investing about $18,000 in advertising on those websites, he had 8,000 sign-ups in 3 weeks.
And he won. Awaiting a Jet.com IPO, Martin can only estimate the value of his 100,000 shares. One estimate values his ownership at $10 to 20 million. That's over 100,000% return. And that's quite a win.
Another ingenious exploit of a company contest. Healthy Choice pudding offered a mail-in rebate in 1999, giving away 500 frequent flyer miles for every 10 bar codes that a person mailed in. David Phillips was one of those people.
He did some calculations and found that, by buying the 25¢ individual cups and sending them in during the double-points month, he could earn 1,000 miles for every $2.50 worth of pudding. He eventually spent about $3,000 on pudding and earned 1.25 million miles. The kicker: those miles were worth $150,000, a 5,000% return.
The Brooklyn Bridge
Gregor MacGregor pulled off one of the biggest and most destructive get-rich-quick cons in history. In 1822, he returned to England after fighting in South America and announced that he was the prince of the land of Poyais off the coast of Honduras. He wrote a constitution, drafted banking systems, even created a guidebook, all to attract investors and colonists to the fertile country.
MacGregor raised £200,000 ($250,000) in direct investments and the market value of the bonds he sold rose to £3.6 billion, or $4.5 billion, in today's currency. Not only that, he also convinced seven ships of settlers to prepare to sail to Poyais. The first two left harbor in 1823 and journeyed across the Atlantic to what they found to be a completely deserted jungle. Only a third of the original colonists survived.
MacGregor fled to France and what did he do there? He started his scheme again and gathered a new fleet of French colonists to make the same journey. But the French government investigated and sent MacGregor to prison. His success, though, is infamous and the land he called Poyais remains a wilderness.
The Wolf of Wall Street
Yep, another successful get-rich-quick scheme adapted into a film with Leonardo DiCaprio in the lead role. DiCaprio plays Jordan Belfort, the stock broker who started selling penny stocks and eventually made millions of dollars inflating penny stock prices and selling them through his firm, Stratton Oakmont.
At its peak, the brokerage firm employed over a thousand brokers and issued stocks worth around $1 billion. As anyone who's seen the movie knows, Belfort found himself, like several others on this list, in prison. He only served 22 months in prison but faces a $100 million fine. That's okay, though. In 2014 he was making $30,000 per speaking engagement and he claimed that, with the royalties from the Scorsese film, he'd make upwards of $100 million in that year, alone.
It Can Happen
There you have it: once in a blue moon, a get-rich-quick scheme might pay off—and it might pay off in a huge way. You might be looking at a couple years of prison time, but the book deals and lecture tours will give you a salary once you're out. Oh, and call up Leo: he's in the middle of his post-Oscar celebration and he's done with gritty, hairy characters. He's looking for the next witty millionaire to play on screen, so take advantage of those Hollywood royalties to supplement your income.
Want a jail-free scheme that the Internet makes potentially easy? Go to your favorite crowd-funding site and ask 1,000,000 people for $1 each. Just don't forget to say thank you.
As anyone who has ever sold a house will tell you, you must prioritize curb appeal. Before a potential buyer even considers looking inside your house, they notice the outside first. Does it attract the right kind of attention? Does it take away from the feel you're going for? If you plan to sell sometime soon, you must think about these things. Here are some landscaping options to increase your home's curb appeal, so you can get the best price on your home.
Extensive Plants and Greenery
A barren front yard won't get you the price you want on your home. So, invest in at least a little bit of greenery to keep the surrounding area from looking too dead. Shrubs and bushes tie the house to the lawn that precedes it, and flower beds bring a pop of color to an otherwise drab structure. You can also strategically plant some trees to improve the overall feel of your home's exterior.
As we mentioned, your lawn is one of the most prominent features of your home's exterior. A patchy, dried-up lawn will quickly drive your home's price way down. Some of the best landscaping options for your home's curb appeal involve improving your lawn for the next inhabitant. Overall fertilization, ground aeration, underbrush removal, proper mowing—all of these lawn care tasks contribute to a greener and more lively area that invites people to see your house, rather than stay away from it.
There's nothing like a broken and disheveled pathway to make someone think twice about buying a property. Just as you want the entryway in your house to be welcoming, so too should the pathway leading up to the house be inviting. The pathway from the street to your front door provides plenty of real estate to get creative with. You don't have to settle for a boring concrete pathway. Consider something more eye catching, like a cobblestone path or intermittent brick patterns, as a way to better welcome potential buyers.
Usable Outdoor Furniture
Landscaping doesn't just involve the ground you walk on; also included are the items you use as extras to the overall look. Outdoor furniture is one such extra that you don't necessarily need but can look quite attractive if done correctly. Staging is important with outdoor furniture. Old, broken-down pieces will only look like more work to the potential buyer. A few comfortable chairs, a bench, or a table with an umbrella really go a long way to improving your outdoor aesthetics.
A good tip for deciding on curb appeal items is to decide what you personally would want to see as a part of a welcoming home's exterior. You don't need to go overboard, but a little bit of forethought could net you quite a lot of extra cash in the sale.
Many people strive to support their community by donating their time or their money. When you find a meaningful cause, you might be quick to cut a donation check. Though it's admirable to be quick to act charitably, you should be wary of several common mistakes made when giving to charity. Being mindful of these mistakes and learning tips for making informed charitable choices can help you make the most out of your generous check.
Acting Quickly Out of Emotion
Mission statements are meant to be compelling. If you're an emotionally driven individual, it's natural to pull out your wallet at the sight of a sad puppy on TV or when informed about food insecurity over the phone. Unfortunately, not all charities are as effective or official as they may seem.
Take your passion for helping others one step further by making sure your chosen charity is legit. Speaking with a representative, reviewing their website and social media accounts, and looking at testaments online can give you a better idea of whether the organization is worth your donation.
Forgetting to Keep Record of the Donation
Don't forget that you can reap some financial perks from giving back! With the proper documentation of your donation, you can acquire a better tax deductible.
If you donate more than $12,400 as a single filer or $24,800 as one of two joint filers, you're eligible to deduct that amount from your taxes. So, when a charity asks if you'd like a receipt of donation, always answer yes.
Donating Unusable Materials
Most charities can utilize a monetary donation—it's the physical donations that usually cause some issues. Providing a local nonprofit with irrelevant materials or gifting them with unusable products are surprisingly common mistakes made when giving to charity.
Always check your intended charity's website for a list of things they do and do not accept. The majority of places will provide a guideline to donating or offer contact information to clarify any questions.
Strictly Giving at Year's End
As more and more people get into the holiday spirit at the end of the year, nonprofit organizations see an influx of donations. While it's great to spread holiday cheer via a monetary donation, it's important to keep that spirit going year-round.
With regular donations, charities can more effectively allocate their annual budget. Setting up an automatic monthly donation with the charity of your choosing can maximize your impact. You can account for a monthly donation by foregoing a costly coffee every once in a while.
Knowing how much you should spend on home maintenance each year is hard to figure out and may be preventing you from buying your first home. The types of costs you'll incur depend on the house you buy and its location. The one certainty is that you should start saving now. Read on to figure out how much to start setting aside based on the home you own.
The Age of Your House
Consider several factors when budgeting for home repairs. If you've purchased a new home, your house likely won't require as much maintenance for a few years. Homes built 20 or more years ago are likely to require more maintenance, including replacing and keeping your windows clean. Further, depending on your home's location, weather can cause additional strain over time, so you may need to budget for more repairs.
The One-Percent Rule
An easy way to budget for home repairs is to follow the one-percent rule. Set aside one percent of your home's purchase price each year to cover maintenance costs. For instance, if you paid $200,000 for your home, you would set aside $2,000 each year. This plan is not foolproof. If you bought your home for a good deal during a buyer's market, your home could require more repairs than you've budgeted for.
The Square-Foot Rule
Easy to calculate, you can also budget for home maintenance by saving one dollar for every square foot of your home. This pricing method is more consistent than pricing it by how much you paid because the rate relies on the objective size of your home. Unfortunately, it does not consider inflation for the area where you live, so make sure you also budget for increased taxes and labor costs if you live in or near a city.
The Mix and Match Method
Since there is no infallible rule for how much you should spend on home maintenance, you can combine both methods to get an idea for a budget. Average your results from the square-foot rule and the one-percent rule to arrive at a budget that works for you. You should also increase your savings by 10 percent for each risk factor that affects your home, such as weather and age.
Holding on to savings is easier in theory than practice. Once you know how much you should spend on home maintenance, you'll know what to aim for and be more prepared for an emergency. If you are having trouble securing funds for home repairs, consider taking out a home equity loan, borrowing money from friends or family, or applying for funds through a home repair program through your local government for low-income individuals.