Working in the finance industry, I often speak to people who hope to improve their financial quality of life, and credit score. Although there are various ways to accomplish this goal, this article will touch on an option that is often overlooked. What is this option you might ask? Well it is the option to increase your income. Yep, make extra money… boost your income. Simple right? Haha not always! Here is a short list of legitimate ways to increase your income, which will of course help you reach your financial goals.
1. Get a Job That Pays You More
Get a job that pays you more. Consider using social media tools such as LinkedIn, Facebook or Twitter to connect with everyone you know in your effort to land that better paying job. It may not always be what you know, but who you know.
2. Get a Side Job
Use an app or visit an employment website such as snag.com, care.com or sittercity.com to get a seasonal or side gig job related to something you enjoy. If you enjoy dogs, earn extra money walking dogs or pet sitting. If you enjoy children then tutoring or babysitting would be a nice way to earn extra money for your budget. Don’t forget to check out a more familiar option such as the help wanted section of your community newsletter, newspaper, blog or website. See where I am going with this…you owe it to yourself to check it out.
Another option, is to find employment for the teenager or young adult in your household.
3. Review Your W-4
Look at your W-4, and consider withholding less taxes. If you usually get a tax refund, then you may want to consider having less tax withheld. The more allowances you claim, the less tax will be withheld from your paycheck, which then gives you more money each paycheck to save for unexpected expenses. Check out the IRS Withholding Calculator located on the IRS website to see if this is an option for you. Be careful, if not enough is withheld, you will owe money…and no one wants that to happen.
4. Use Your Talents
Use your special talent to earn extra money…yes, create a “side hustle” using your special gift. DJ on the weekends, earn extra money as a wedding photographer, or coach or umpire. We must not forget about taking surveys. Yes, taking surveys online do not require a special talent, but it is still a legitimate way to earn extra cash.
5. Sell Items You Don't Use
Sell items you no longer want or need. You can conduct an old fashioned yard sale or sell your unwanted items through a consignment shop. Many people are selling items on online sites such as eBay, Etsy, and Bonanza, just to name a few. You may also want to check out a smartphone app such as LetGo, OfferUp and Linger to sell items you no longer want for additional income.
6. Cut Back on Expenses
“A penny saved is penny earned” is an expression that we can use to help us reach our financial goals. For example, increase your income by cutting back on the unnecessary expenses associated with your hobby, your job, and with your life in general. Do this and you will have more money in your pocket. We will let you determine what is unnecessary.
7. Ask For Family Help
Ask a trusted family member for a loan before taking out a new loan that may have a high interest rate and monthly payment you may struggle to make on time each month.
8. Get a Part Time Job
Earn extra money working part-time at a ride-share company. Although this is not an endorsement, I personally know many people that have successfully earned extra income by working part-time for ride-share companies such as Uber, Lyft, Curb, and Ola. Driving strangers around town may not be the “thing” for you, but consider a 2nd or part-time job that fits your personality and lifestyle. There is no denying that a 2nd or part-time job will increase your income.
9. Ask for a Raise Or More Hours
Don’t forget that you can always ask for a raise or request to work more hours. Then use your additional income to improve your credit health, and credit report by saving more for unexpected expenses, and paying down debt. A great credit score should save you money in interest over time, which is always great.
10. Rent Out Items/Property
If you don’t mind sharing your things, you can rent out a room, your car, or even your home while you are away, but please take the necessary steps to protect yourself and your property in the event things don’t go as planned.
11. Tap Into Owed Child Support
If you are eligible for child support, and you are not consistently getting support, then you may want to look into getting help through the courts. Extra income can help you pay your bills on time, stay below your credit limit, and improve your credit health.
12. Collect Owed Money
Finally, you can increase your income by collecting money that is owed to you. Yes, collect the money that is owed to you.
There are various ways to improve your financial situation. Increasing or boosting your income is just one way. So, please use this short list to put extra money in your pocket, perhaps pay off your debt, maybe save for unexpected expenses, or simply work towards maintaining a positive budget while improving your financial well-being.
Want to learn additional ways to nudge yourself to better financial decisions, and better financial health? Contact your NFCC Certified Credit Counselor at APPRISEN.
Can a friend use these tips to increase their income? If so, then share. Feel free to leave a comment below on additional legitimate ways to increase income as a means to manage your debt. Have a question for an Apprisen Certified Consumer Credit Counselor? Visit us online at apprisen.com.