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Increase Your Income in Ways Most People Don’t Know

Increase Your Income in Ways Most People Don’t Know

Like it or not, money is a reality we all have to face. Most of us understand that the things that are really important in life are experiences, friends, and family, but it is hard to escape the fact that financial freedom gives you a lot more time to make the most of those things. Couple that with the fact that not being able to pay your bills is one of the most stressful experiences a person can have, and you begin to understand that the ability to generate income is a key skill for most people. So what can you do to most effectively increase income?

1. Make a plan.

As with most things in life, the key to making money is to have a good plan in place. Having a set of instructions to follow will keep you on task and help you feel like you are making progress even on days when it is hard to see any movement. Each week, think of what you want to accomplish and write down the things you will need to do to get there. Break down the steps you will take to reach you goal and assign each of them to a day on your calendar. When that day comes, make sure you are doing everything you can to move towards success.

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2. Prioritize your actions.

It is a simple fact of life that 20% of the work you do will be responsible for 80% of the success you achieve. Whether you call it the 80/20 rule or Pareto’s Principle, the lesson remains the same: you should prioritize the 20% of your work that is likely to lead to success. Identify and focus your energy on proven sources of income or projects with a good probability of paying off big time. You still need the other 80%, which is usually side projects or ideas in the making, but build your day around your core projects and avenues for success.

3. Try something new.

Nothing will erode your confidence like spinning your wheels on a project that ends up going nowhere. If you have committed a lot of time to a project that isn’t paying off, don’t be afraid to walk away. There is a principle in psychology called justification of effort that says people are more committed to things that they have invested a lot of time and energy in already. This can lead to stubbornly wasting your time on things that will never pay off. Know when you cut your losses and move on to something new.

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4. Say “no.”

Your time is the most valuable resource you have and overextending yourself will drain it. Taking on too many projects will also lead to increased stress and less opportunity to pursue exciting opportunities. Cultivate your ability to say no to things. When a new opportunity comes along, ask yourself if the investment of time it requires is likely to pay off in a way that you feel is appropriate. If the answer is no, walk away.

5. Surround yourself with success.

It may seem counter-intuitive, but a great way to achieve financial success is to act like you already have. The notion of “fake it until you make it” actually holds some water. If you spend your time hanging out with successful people in places where money tends to concentrate itself, you will stumble into more opportunities to achieve success yourself. Make friends with people who have already achieved what you hope to achieve and use those ties to your advantage.

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6. Be a leader.

A well-known key to success in business and in life is the ability to recognize an opportunity before anyone else. With that in mind, you should always be on the lookout for the next great path to success. Keep your mind as open as possible and never stop engaging with the world in creative ways. Expose yourself to as many conflicting perspectives as you can by reading books to disagree with and taking meetings with people you don’t like. Viewing something from all angles is the best way to really understand it and will help you blaze a new trail.

7. Understand time versus replication.

The idea of time is so important, it is worth mentioning again. It is the only resource you can’t do anything to change. No matter who you are or how much money you make, there will still only be 24 hours in a day. For that reason you should focus your energy on sources of income that you can easily reproduce. Do something once and then replicate it as many times as possible to bring in the most money. This is the philosophy promoted my creator of the Dilbert comic strip Scott Adams in his book How to Fail at Almost Everything and Still Win Big and it holds true for you too. Now he makes a living drawing a single comic and having it published in thousands of newspapers all over the world. Time is valuable, so make sure your work transcends it.

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Featured photo credit: 401(K) 2012 via flickr.com

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Last Updated on January 21, 2020

How to Develop a Millionaire Mindset in 6 Simple Steps

How to Develop a Millionaire Mindset in 6 Simple Steps

We all like to dream about being financially wealthy. For most people though, it remains a dream and nothing more. Why is that?

It’s because most people don’t set their mind to achieving that goal. They might not be happy in their current situation but they’re comfortable – and comfort is one of the biggest enemies of growth.

How do you go about developing that millionaire mindset? By following these simple steps:

1. Focus On What You Want – And Take It!

So many people are too timid to admit they want something and go for it. When there is something that you want to accomplish don’t think “I could never actually do that”, think “I could do that and I WILL do that”.

Millionaires play to win, not to avoid defeat.

This doesn’t mean to have to become a selfish jerk. What it means is becoming more assertive and honest with yourself. You don’t have to grab off other people. There is a big pot of unclaimed gold in the middle of the table — why shouldn’t you be the one to claim it? You deserve it!

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2. Become Goal-Orientated

It’s almost impossible to achieve anything if you don’t set firm goals. Only lottery winners become millionaires overnight. By setting yourself attainable goals, you will get there eventually. Don’t try to get rich quickly — get rich slowly.

Let’s take the idea of making your first million dollars and expand on what kind of goals you might set to get there. Let’s also say you’re starting at a break-even position – you’re making enough to get by with a few luxuries, but nothing more.

Your goal for the first year can be having $10,000 in the bank within a year. It won’t be easy but it is doable. Next, you need to figure out the steps you need to take to achieve that goal.

Always look at ways to make growth before cutbacks. With that in mind, you might want to see if you can negotiate a pay rise with your boss, or if there’s another job out there that will pay better. You might be comfortable in your old job but remember, comfort stunts growth.

You may also have other skills outside of your workplace that you can monetize to boost your bank balance. Maybe you can design websites for people, at a fee of course, or make alterations to clothes.

If this is still not enough to make the money you need to save $10,000 in a year, then it’s time to look at cutbacks. Do you have a bunch of old junk that someone else might love? Sell it! Do you really need to spend $10 on your lunch everyday when you could make your own for a fraction of the cost?

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If you are to become a millionaire, you need to start accumulating money.

Here’re some tips to help you: How to Become Goal Oriented and Achieve More in Life

3. Don’t Spend Your Money – Invest It

The reason you need to accumulate money is for step three. Millionaires tend to be frugal people, and that’s because they know the true value of money is in investing. Being your own boss goes hand-in-hand with becoming a millionaire. You’ll want to quit your regular job at some point.

Stop working for your money and make your money work for you.

Rather than buying yourself a new iPad, that $500 could be used to invest in the stock market. Find the right shares (more on that later), and that money could easily double within a year.

There’s not just the stock market — there’s also property, and your own education.

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4. Never Stop Learning

The best thing you can invest in is yourself.

Once most people leave the education system, they think their learning days are over. Well theirs might be, but yours shouldn’t be. Successful people continually learn and adapt.

Billionaire Warren Buffet estimates that he read at least 100 books on investing before he turned twenty. Most people never read another book after they’ve left school. Who would you rather be?

Learn everything you can about how economics works, how the stocks markets work, how they trend.

Learn new skills. If you have an interest in it, learn everything you can about it. You’d be surprised at how often, seemingly useless skills, can become extremely useful in the right situation.

Start developing the habit of learning continuously: How to Create a Habit of Continuous Learning for a Better You

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5. Think Big

While I advise to start off with small goals, you absolutely should have a big goal in mind. If you have a business idea, then that is your ultimate goal – to start that business and make a success of it. If you want to invest your way to millions of dollars and do little work other than research, then that is your big goal.

There is no shame in not achieving a big goal. If you run a business and aim to make $1 million profit in a year and “only” make $200,000, then you’re still significantly ahead of most people.

Aim for the stars, if you fail you’ll still be over the moon.

6. Enjoy the Attention

To be successful, you have to be willing to promote yourself and enjoy the attention to a certain extent. Now the attention doesn’t need to be on yourself, it could be on your brand, but attention definitely attracts money.

Never be embarrassed to get your name out there. That means finding a spotlight and being brave enough to step right up underneath it.

If you run a business, try contacting the local papers. You’d be surprised at how amenable they often are to running a story about you and your business, and it’s all free publicity.

Above all, remember: You control your own destiny. Push hard enough for anything and you’ll get it.

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Featured photo credit: Austin Distel via unsplash.com

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