How should i invest money?

That's like asking - "how should I work?" There are a hundred other questions you need to answer first...
1) how much money
2) for what purpose - retirement, a house, baby, rainy day, car, etc
3) are you going to need the money anytime soon?
4) how adverse to risk are you?
5) what do you know about stocks, bonds,mutual funds, etc.
6) how old are you?
7) what is you complete financial picture?

Without the answers to these questions there isn't a person in the world who could answer your question with your interests in mind....since we don't know them! Go do your homework.

Buy Real Estate property and rent it out, the better ones are duplexes that have two rental units and generate twice the money. Welcome to The Wonderful World of Real Estate! Best Wishes!

I will simplify your question with the most important aspect of investment. SAVE, SAVE,Save- start now and don't stop. As you learn more then invest but at least you will have a pile to work with.
2 other rules:
1. Diversify your savings between (stocks, bonds, cash, and maybe some real estate some day)
2. Keep your costs down on investments-fees,etc.

First in your education about making money..see below if you want to find out more about trading stocks

Depends in how much you have. I know many people invest in Prosper:
https://www.prosper.com/lend/about_lendi...
It needs lenders to help out the borrowers. Just trying to keep the cycle going.

Investing in "individual" stocks takes a lot of knowledge and practice; so I would not suggest doing this until you understand completely how the stock markets work.

Vanguard.com is ideal for long term investors who want to learn about mutual funds, index funds, and exchange-traded-funds (ETFs). Trading funds is less risky than trying to trade "individual" stocks.

Unless you plan on spending everyday of your life looking at stock charts trying to determine the best time to get in and out of "individual" stocks, I would look into some sort of fund.

Also be very careful about asking for stock tips online. Most are probably worthless or contain unethical motives. Do not fall for any Pump-and-Dump scams.

As far as books go, I actually started out with the Investing for Dummies books, and they definitely pushed me in the right direction. To many other books have their own agendas in my opinion.

The websites below all contain plenty of FREE information to get you started in the right direction.

There are so many places you can invest your money its ridiculous. The first place you should invest is for retirement. There are many other places you should invest so you can earn some nice returns over the years. I did most of my research on this site.

http://www.plannerconnect.com/investment...
http://www.plannerconnect.com/

That site has a section of just gerenal investing questions and information that is pretty nice. When I had questions about investing I made a list of them and gave these guys a call. They helped me figure out what investment strategy would work for me, so far everything is going well!

Wisely.