I know I’ve talked about this before, but in thinking about the 4 key personal finance questions, the starting point is income. My thinking is that we need income in order to save and invest, and that’s the engine that drives our personal finance car, so to speak.
So what can we do to increase our income?
Probably plenty of things. Given that this list of options could potentially be quite lengthy, I thought I’d focus on five that we could look at today.
Focus on doing your job as well as possible
I know that many people might want to immediately start with side income, but I don’t agree. The reason is that our primary income, for most of us, will come from our employment. Sure, it may not seem as exciting or entrepreneurial as creating your own side hustle, but it’s probably what pays the bills. Thus, do it was well as possible in order to grow your career and increase your salary.
Protect your career income
So, part of how we do this is probably covered by what we discussed above, but I think another part of it is keeping your ear to the ground and knowing what’s transpiring around you. Many organizations are transforming on a regular basis, and even if we don’t notice the changes outwardly, they manifest themselves in occasional big events such as layoffs, restructurings, and the like. If we lose a job or get derailed, we’re at a disadvantaged position when it comes to making more money. It’s important to stay in the game.
Actively build your network
Based on my experience, it’s a good idea to work on building your network at all times. It’s nice to have your network when you need it, but for that to be the case it’s vital to be tending to this network regularly. Meaning, make quality connections with new people as well as regularly keeping in touch with people you now. Perhaps more importantly, helping others when you can – without expecting anything directly back in return – is a great idea. All told, these efforts can only help you because it’s often who you know that really matters.
Learn new, in-demand skills
These skills don’t necessarily have to be new to the marketplace, but they can also be skills that are simply new to you. One example might be a new type of software or application. Or, it could be shoring up weaknesses. For example, working on public speaking skills. Whatever the case, personal development and growth can really help us on our quest to make more money
Work on a side hustle
Okay, so this one finally made its appearance here! I know this has been all the rage in personal finance circles for a while, and I think it’s important to diversify income sources. Once we make sure we’re properly applying the 80/20 rule to focus on the most important things first, it can be a good idea to diversify sources of income. Having multiple income streams can not only be a measure of protection, but can also be great way to truly earn additional, incremental income.
My Questions for You
How focused are you on earning more money?
Which of these 5 actions are you currently taking, and how are you going about it?