What could I invest in that gives a consistent 5% return per month?

Asked 4 years ago

We’re starting the kids in daycare next week ($1,400/month). Is there anything that I could invest in that gives a consistent 5% return/month? This way, I could pay for daycare with my monthly returns, and it not affect my budget. Maybe it's unrealistic to expect, but it seems like a good possibility.

Investment advice

Andia Rispah Igobwa

Wednesday, May 05, 2021

As much as you anticipate a good return on your investment, it’s also important to keep in mind that you can also lose some money. Meaning there are risks involved.
Based on your question, I’d suggest you find other real ways to earn passive income, plus the market is unstable lately.
However, it is more likely that you can make that amount of money in crypto than in stocks right now, but they are riskier - so your expected return is not guaranteed.
Also, 5% consistent automatic return on investment doesn’t exist - if you’re asking for a guaranteed return of 5%. Bonds are 2%, and there is no secrete stock somewhere to give you that kind of return. 
Earning 60% ROI every year is really not realistic, but you can also achieve it if you are willing to take on very high risks.
You can consider applying for dependent care, where you’ll be reimbursed up to $500/month for childcare. You don’t save that much per month, but you don’t pay taxes on it. The maximum you can contribute is $5k per year per child.