It’s been said that the average millionaire has at least 7 different streams of income, so in this article I want to share with you some methods of how to increase your individual revenue streams to make money outside of your job.
I know that many people don’t necessarily care about “becoming a millionaire” specifically, and are really just looking for ways to achieve financial independence. But regardless of what your goal is, in order to achieve either of these you must find more than one source of income.
Not only is this important to have in the event something happens in your career (or life) that negatively impacts your main source, but it’s also an important step in removing what I consider to be the biggest barrier to financial freedom – something I refer to as the “time for money exchange.”
What is the “Time for Money Exchange?”
The unfortunate way most people make their money is by trading it for their time. They go to work for a certain number of days during the week, and work a certain number of hours. Based on the number of hours they work determines the amount of money they get paid.
This is the time for money exchange.
The issue with this method of making money is that no matter how hard a person works, there’s only 24 hours in a day.
So, by definition, they will always be limited by the time they have available, thus limiting the amount of money they can make. This doesn’t even take into consideration factors like needing rest, spending time with friends or family, or simply the inability to work due to businesses being closed during certain days or times.
So, how do we alleviate the issue? By putting our time and money into things that can make us more money without having to trade in our time, also known as passive income.
Stocks and Dividends
The first income stream comes through the purchase of stocks that pay dividends.
Stock market investments are one of the best ways to increase your monthly income, but it is important to take the right steps in order to maximize returns.
A great way to start investing is by opening an individual retirement account, or IRA, which allows you to invest with pre-tax dollars. Investment companies such as Stash or Webull offer commission-free trades for most stocks.
Whether you choose to invest in ETFs or individual stocks, dividends—as well as capital gains—can be a great source of passive income if managed correctly.
Dividends are payments made by companies (usually quarterly) to their stakeholders based on profits made during their fiscal year; these payments go directly back into your account so long as it has been opened at least 60 days prior (and typically longer), or can sometimes even be setup to automatically reinvest back into the company by buying more of that same stock, which leads to higher dividend payouts over an extended period of time.
In contrast, capital gains are generated when you sell shares of stock at an inflated price; this usually happens when there’s been significant growth between acquisition dates and sale dates within a specified time period (typically 90 days after being purchased).
Stash allows you to buy ETFs that contain only dividend-paying companies, which takes out all the guesswork and research. Just create an account, search for “dividends,” and start investing in their Dividends ETF. It’s that simple. You will now begin to receive dividends each quarter based on your percentage of ownership in the company combined with the company’s quarterly earnings.
Website or Blog
The next few income streams come from building your own website or blog, which is one of the best ways to achieve financial freedom. It allows you to promote your skills and talents, products or services that you sell, affiliate products, or can even be used for promoting and selling books or courses that you have written, whether digital or hardcopy!
Not only can you use a website as its own single source of income by selling your own products and/or services, but you can also turn it into additional income streams by incorporating affiliate products and paid advertising using platforms such as Google Adsense or company-direct paid sponsorships – turning a single website into potentially 3 or even 4 different income streams.
Affiliate marketing is a great way to make money online (learn how to get started with affiliate marketing by downloading my free passive income eBook here). You can get started with affiliate marketing even if you have no investment at all, and you make money by promoting other people’s products or services.
If you want to promote someone else’s product:
- Find an offer (a product or service) that is relevant to your audience and that will provide value for them
- Use Google AdWords Keyword Planner tool to find highly searched keywords related to the offer.
- Create articles on your website covering the benefits of using the product or service, what issues it helps resolve, and how it can help someone achieve specific goals.
- Share your articles across various social media platforms.
Social media is one of the easiest ways to make money. It’s also one of the easiest ways to network, build relationships, and grow your business or personal brand. Even if you just want to get your name out there, social media is a great place for that too!
Plus, if you use social media correctly, it can help increase traffic to your website or other platforms, which will generate more income.
As for turning social media platforms themselves into an income stream, many of the major social media platforms today will not only pay content creators directly, but offer tools for your audience to pay you as well for your helpful content.
This means that while each social media platform can be used to send traffic to your blog or website, each platform can also be its own individual income stream.
YouTubers can earn money in multiple ways by creating informative and entertaining videos that attract a consistent viewership.
As long as you’ve met the minimum requirements set out by YouTube, the platform will pay you a portion of their ad revenue made from the ads that get displayed on your YouTube videos.
Additionally, once monetization has been activated on your YouTube channel, it will also unlock the “Super Thanks” and “Paid Subscription” features, which are additional ways to generate income from your channel outside of the ad revenue.
The “Super Thanks” feature allows viewers to send you “tips” as a thank you for your helpful content, and the “paid subscription” feature allows you to sign up for a Youtubers private content area where you can post content only viewable by paying subscribers.
Although YouTube is a free platform, there are some best practices you should follow to ensure your content is engaging enough to attract viewers and gain advertising revenue:
- Choose a topic that you’re passionate about. Your passion will be evident in your work and will draw others to it.
- Make sure your video is easy to understand and follow. If it’s not, viewers won’t watch the entire thing (or they’ll just close the tab), meaning they won’t see any ads on the page while they’re there, meaning no money for you!
- Ensure that your video is well-edited so as not to distract from what matters most: The information being conveyed.
Instagram and TikTok
While Instagram and TikTok won’t pay you directly for ad revenue in the same way YouTube does, they still include features that allow your audience to pay you.
With the explosion of short form vertical videos (through both Instagram Reels and TikTok), you no longer need to be all that great at video editing to make a decent side income from making videos.
Both platforms now offer content creators the ability to receive “gifts” from their audience by changing their account type from a “personal” account to a “business” account, and then meeting the minimum requirements.
The idea of creating your own personal brand and social media content around a hobby or niche is that you’re helping other people get from where they are, to where you are in reference to skill level or ability.
While doing this through various online platforms is a great way to expand your reach, get visibility, and remove the “time for money” exchange – there’s nothing like hands-on instruction and in-person interaction. If you can teach someone how to do something through the internet, you can teach them in person too!
Having clients that you help on a regular basis is another great way to generate an additional income stream!
Create an Online Course
Teach what you know! In the same way you can coach individual clients on how to achieve specific results in a certain hobby or niche, you can do the same thing virtually (and scale much faster) by creating a step-by-step digital course through a platform such as Udemy or Teachable.
Once your course videos have been created and uploaded, all you need to do is promote it (by using various free social media platforms). As people begin to enroll in your online course, the income becomes passive as all of the content has already been pre-recorded and uploaded for them to view.
If you are interested in any type of digital media creation, including but not limited to: websites, marketing campaigns, blog posts, articles, graphics, logos, etc; then you can use your creative skills to become a freelance creator across several platforms.
Websites such as iWriter, Upwork, and Fiverr allow you to get paid by connecting with people around the globe looking for various different types of digital media products. You can set your own hours, choose which projects you want to apply for and accept, and all the transaction and business details are handled by the individual platforms.
All you have to worry about is creating whatever media is required of the individual job postings you apply for or accept!
Real Estate or Income Properties
To get started, you’ll want to evaluate the pros and cons of income properties. This is important because owning income properties can bring you a lot of benefits—but it also has its challenges.
Owning income properties is a great way to diversify your investments and make money while you sleep. When done right, it can provide passive income that allows you to take more vacations or spend more time with family.
If buying your first home, consider looking into a multi-unit property such as a duplex or small apartment building instead of something like a single family home or condo. This way you can earn additional income from renters while also having your own place to live, without having to worry about multiple mortgages to start.
Keep in mind investing in real estate requires patience and dedication—and there are no guarantees that everything will work out as planned! Be prepared for some bumps along the road when buying or selling property because they could slow down your progress toward financial freedom.
On top of that, managing rental properties takes time away from other projects like making an impact through volunteering work or starting another business venture altogether. Luckily there are services like rental management companies that can handle all of the hard work for you, and they are usually pretty inexpensive.
The cryptocurrency market is still extremely new, and will undoubtedly have lots of ups and downs over the next couple of decades before it really smooths out.
With that being said, right now it is an incredible long-term investment opportunity if you do just a little bit of research and get knowledgeable on the basics.
One of the amazing things about many cryptocurrencies is that they pay out much higher interest rates (APY) than traditional banking investments. For example, your average checking account pays only about 0.5% APY, while using a platform such as BlockFi will pay you upwards of 9% APY.
BlockFi works in the same way as a bank account does in the sense that you just deposit your cryptocurrency into your account, and the platform pays you interest for keeping it in there (the same way your checking or savings account does).
If you want to achieve financial independence you need to find ways to earn income outside of your job. The above are just a few ideas of ways that this can be done.
- Save your money
- Invest your money into income-generating assets
- Find additional ways to make money outside of your job
- Be disciplined, patient and persistent
If you continuously and repeatedly put your money into assets, investments, and products that work for you and make you more money, you will begin to see your income and cash flow increase exponentially as time goes on.
If you want to become a millionaire or just achieve financial independence you need to find ways to earn income outside of your job. The above are just a few ideas of ways that this can be done.
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