The Future Of Work: How To Diversify Your Income To Survive Recession
Due to the pandemic, the economy has taken a big hit, not only in the US but worldwide. We could be facing one of the most significant recession in history in the next few years. So, it is an excellent time to start thinking of diversifying your sources of income. You can make active investments like gig work or reselling stuff, or you can make passive investments like in the stock market or putting your money in a high-interest savings account.
The difference is that with active income, you do something to receive money, while with passive income, you invest your money or time once and continue to earn profit over time. Either way, these are some of the things you can start doing to make more money and survive any economic crisis.
Reselling products is buying stuff that you didn’t make yourself and selling it again. It can be anything from furniture to tech devices or art. What most people do is spend some time going through garage sales, drift stores, or online market places to find cheap things. Some of these market places are Facebook, eBay, and Craiglist.
It doesn’t have to be something used. Many people buy cheap products from online wholesale stores and then sell the products on their own. You can even sell what other people make. You talk to the person and make a deal. It is a good choice, but it requires a little bit of work and dedication.
Sell your Skills
If you are good at something, you should take advantage of it. There are many ways, but first, you should look at your skills and find the one that will bring you more revenue. One of the options is to create a Youtube channel and upload videos where you talk about your skill, experience, or make how-to videos. The problem with Youtube is that it has a lot of competition, and it is hard to start seeing a profit.
The second option is to create an online course where you teach your expertise and sell it. The good thing is that you only put effort when creating the course; after that, you can forget about it and only come back to maybe do some updating. And you will continue to receive income as long people continue to buy it.
There are other skills. If you are an artist or a writer, that can also bring you a lot of profit. Artists often auction their art on eBay, for example. Writers can create eBooks and continue to receive revenue for a lot of time after publishing it.
Another option is to research which skills are more attractive for online courses and learn them. For example, tech skills are in high demand all over the world, and you can learn them in no time with an intensive coding bootcamp. That way, you can use the skills you learn to generate more income.
Invest in the Market
Putting your money in the stock market is one of the best passive investments people can make. It depends on how you go about it, but most people hire a broker that can be a person or software, and they forget about it. Today, some platforms act as brokers, and you just have to put the money in and forget about it.
The other way is by managing the investment yourself. It can be better this way because you make sure exactly where your money is going. Some people don’t like to give their money to a broker, especially if it is a lot of money. But to do the investment yourself, you have to do a lot of research and reading to learn how everything works and minimize losses.
Crowdfunded Real Estate
Crowdfunded real estate is a new method in real estate investing. It consists of several investors owning one property. It is a good option for investors because they don’t have to buy the whole property, and they can become shareholders for as little as $5,000. This means investors don’t put all their money in just one property, and, that way, they spread the risk.
Overall it is a good option if you have some money to invest. On the other hand, if you only have a few bucks, then you should start with other investment options and build up your budget.
Gig work or freelancing has become a popular choice for professionals nowadays. For a beginner, it can be an excellent option for some extra income. Some even dedicate themselves exclusively to this type of work. The work is usually done on a project basis. Once the project ends, they receive money and continue to the next gig.
Freelancing has many benefits. It can be a side income source for your day job, you can adapt it to your schedule, and you can choose simple projects that will bring you a quick profit. There are many online platforms with freelance jobs, and you can promote your skills between your friends to find different gigs.
Affiliate marketing has gained a lot of popularity, thanks to social media platforms. It consists of getting a link to one online store or product and promote it to your network of friends and followers. Every time a follower clicks on your link, you receive a commission if the person that clicked buys the product.
The most popular affiliate partners are Amazon, eBay, and ShareASale, but almost any brand offer their affiliate deals nowadays. However, this side hustle is more effective if you have a community of followers. The more people buy the product you promote, the more profit you will make.
High-Interest Savings Accounts
The last but not least effective way to diversify your income is to put your money in a savings account with high-interest percentages. That way, your money will produce more money by just sitting at the bank.
The downside is that even when banks offer high-interest rates, the profit is low compared to other investments. And you will see the gain in the long run. If you aren’t the kind of person that takes risks, this is an excellent option.